MillerKnoll, Inc. Announces Steady Growth in Q2 Fiscal Year 2025 Performance

MillerKnoll, Inc., a prominent player in the design and manufacturing of furniture, recently released its fiscal second quarter results for 2025, ending on November 30, 2024. The report reveals a growth trajectory despite facing broad macroeconomic challenges.

Financial Performance Overview

In the second quarter, MillerKnoll reported consolidated net sales of $970.4 million, a growth of 2.2% compared to the same period last year. This achievement was largely attributed to the increasing strength of the Americas Contract and International Contract Specialty segments. Gross margins remained notably strong at 38.8%, reflecting an ongoing commitment to maintaining profitability while managing operational costs effectively.

The company's strategic efforts allowed it to return around $93.1 million to shareholders via dividends and stock repurchases in the first half of fiscal year 2025. Furthermore, the earnings per diluted share showed an 8.9% increase from the previous year, signaling robust financial health.

Segment Performance

The Americas Contract segment demonstrated remarkable resilience, achieving net sales of $504.2 million—an increase of 5.9% year-over-year. Notably, order growth improved throughout the quarter, confirming a positive outlook as leading indicators highlighted increased demand.

Conversely, the International Contract Specialty segment recorded mixed results with net sales of $246.3 million, up by 2.1% year-over-year. While growth continued in the APMEA region, some geographical areas faced decreased order volumes, primarily influenced by market conditions.

The Global Retail segment encountered slight declines with reported net sales of $219.9 million, down 5.3% compared to the prior year. Acknowledging the seasonal timing impacts from holiday promotions, MillerKnoll leaders indicated that certain sales would shift into the next quarter, further stabilizing projections.

Outlook for Upcoming Quarters

MillerKnoll's management expressed optimism about the potential for improving demand trends across most markets. The company expects the upcoming fiscal third quarter will experience standard seasonal softness but maintains its guidance for continued sales and earnings growth for the full fiscal year.

The leadership team also emphasized their commitment to innovative design solutions and superior customer service, positioning MillerKnoll on a firm foundation for competitive advantages moving forward.

Conclusion

Overall, MillerKnoll's second quarter results for fiscal year 2025 reflect a strategic handling of economic pressures while still promoting growth and enhancing shareholder value. With a solid liquidity position and a promising outlook for various segments, MillerKnoll remains a formidable entity in the furniture market, continuing its legacy of design excellence and market leadership.