--- title: "HNI | 8-K: FY2027 Q2 Revenue Misses Estimate at USD 1.472 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/294356595.md" datetime: "2026-07-30T11:34:33.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/294356595.md) - [en](https://longbridge.com/en/news/294356595.md) - [zh-HK](https://longbridge.com/zh-HK/news/294356595.md) --- # HNI | 8-K: FY2027 Q2 Revenue Misses Estimate at USD 1.472 B Revenue: As of FY2027 Q2, the actual value is USD 1.472 B, missing the estimate of USD 1.541 B. EPS: As of FY2027 Q2, the actual value is USD 0.7, missing the estimate of USD 1.14. EBIT: As of FY2027 Q2, the actual value is USD 94.9 M. ### Consolidated Financial Performance (Three Months Ended July 4, 2026 vs June 28, 2025) #### Net Sales - Totaled $1,472.4 million, an increase of 121% from $667.1 million in the prior year quarter. Organically, net sales increased 0.1% year-over-year. The acquisition of Steelcase increased year-over-year sales by $806.9 million. #### Gross Profit % - **GAAP**: Expanded to 44.0%, up 110 basis points from 42.9%. - **Non-GAAP**: Expanded to 44.4%, up 150 basis points from 42.9%. #### Selling, General, and Administrative (SG&A) Expenses % - **GAAP**: Increased to 36.2%, up 390 basis points from 32.3%. - **Non-GAAP**: Increased to 34.8%, up 290 basis points from 31.9%. #### Acquisition and Related Costs - Amounted to $4.2 million. #### Restructuring and Impairment Charges - Were $17.9 million. #### Operating Income - **GAAP**: Reached $92.1 million, a 35.1% increase from $68.2 million. - **GAAP Operating Income %**: Contracted to 6.3%, down -390 basis points from 10.2%. - **Non-GAAP**: Increased to $141.4 million, up 92.7% from $73.4 million. - **Non-GAAP Operating Income %**: Contracted to 9.6%, down -140 basis points from 11.0%. #### Net Income - **GAAP**: Was $51.1 million, compared to $48.3 million in the prior-year quarter. - **Non-GAAP**: Was $92.6 million. #### Effective Tax Rate - **GAAP**: Stood at 28.2%, compared to 22.2% in the prior-year quarter. - **Non-GAAP**: Stood at 24.9%, compared to 22.2% in the prior-year quarter. ### Segment Financial Performance (Three Months Ended July 4, 2026 vs June 28, 2025) #### Workplace Furnishings Segment - **Net Sales (GAAP)**: Increased 157% to $1,323.7 million from $516.0 million. Organically, net sales increased 0.6% year-over-year. The Steelcase acquisition contributed $806.9 million to net sales. - **Operating Income (GAAP)**: Increased 54.5% to $101.7 million from $65.8 million. - **Operating Income % (GAAP)**: Contracted to 7.7%, down -510 basis points from 12.8%. - **Operating Income (Non-GAAP)**: Increased 109% to $141.4 million from $67.7 million. - **Operating Income % (Non-GAAP)**: Contracted to 10.7%, down -240 basis points from 13.1%. - **Orders**: Increased five percent year-over-year organically. #### Residential Building Products Segment - **Net Sales (GAAP)**: Decreased -1.6% to $148.7 million from $151.1 million. - **Operating Income (GAAP)**: Decreased -1.2% to $23.4 million from $23.7 million. - **Operating Income % (GAAP)**: Remained flat at 15.7%. - **Operating Income (Non-GAAP)**: Increased 28.4% to $30.4 million from $23.7 million. - **Operating Income % (Non-GAAP)**: Expanded to 20.4%, up 470 basis points from 15.7%. - **Orders**: Mostly unchanged compared to the prior year, with low single-digit growth over the most recent five-week period. ### Cash Flow and Balance Sheet (Six Months Ended July 4, 2026 vs June 28, 2025) #### Net Cash Flows from Operating Activities - Were - $32.0 million, compared to $43.7 million in the prior year. #### Net Cash Flows from Investing Activities - Were - $79.8 million, compared to - $18.4 million in the prior year. #### Capital Expenditures - Increased to $62.4 million from $30.3 million. #### Net Cash Flows from Financing Activities - Were $6.4 million, compared to - $15.8 million in the prior year. #### Cash and Cash Equivalents - Totaled $105.0 million as of July 4, 2026, down from $209.2 million as of January 3, 2026. #### Long-Term Debt - Was $1,357.1 million as of July 4, 2026, up from $1,276.9 million as of January 3, 2026. ### Outlook / Guidance HNI Corporation expects low-single digit organic net sales growth for both segments in 2026 and anticipates 20-25 percent non-GAAP EPS growth for the full year 2026. For the third quarter of 2026, the company projects high single-digit net sales growth year-over-year for legacy Workplace Furnishings and approximately 175-180 percent total Workplace Furnishings net sales growth including Steelcase, while Residential Building Products net sales are expected to be roughly unchanged. Non-GAAP diluted earnings per share for the third quarter of 2026 are expected to increase in the mid-to-high 20 percent range from third quarter 2025 levels. ### Related Stocks - [HNI.US](https://longbridge.com/en/quote/HNI.US.md) ## Related News & Research - [HNI (NYSE:HNI) Updates FY 2026 Earnings Guidance](https://longbridge.com/en/news/294374587.md) - [HNI: Strong EPS growth, margin gains, and synergy realization drive raised outlook for 2026](https://longbridge.com/en/news/294394959.md) - [Here's How Much $1000 Invested In Amazon.com 10 Years Ago Would Be Worth Today](https://longbridge.com/en/news/294565450.md) - [OPEC+ set for September quota increase followed by pause, sources say](https://longbridge.com/en/news/294599434.md) - [How Stronger Earnings, Richer Buybacks and Tougher Proxy Rules At First Commonwealth (FCF) Have Changed Its Investment Story](https://longbridge.com/en/news/294609602.md)