Somnigroup International Inc (SGI)

Leggett & Platt (LEG) shares slide after earnings miss and guidance withdrawalMay 7, 2026 8:53 AM
IH Market News Leggett & Platt (NYSE:LEG) reported weaker-than-expected first-quarter results on Thursday and withdrew its 2026 outlook following the announcement of its pending acquisition by Somnigroup International Inc. (NYSE:SGI).Shares of the company fell 8.06% after the earnings release. Earnings and revenue miss expectations The company posted adjusted earnings of $0.15 per share for the quarter, missing the analyst consensus estimate of $0.25 by $0.10.Revenue totaled $918 million, down 10% from the prior year and below analyst expectations of $949.65 million.Leggett & Platt said the decline reflected a 5% impact from divestitures and a 5% decrease in organic sales, driven by a 9% drop in volume across most of its end markets. Company withdraws 2026 guidance The company withdrew its previously issued 2026 financial guidance due to the planned acquisition by Somnigroup International, which was announced on April 13.The transaction is expected to close by the end of 2026, pending shareholder approval and regulatory clearances.President and CEO Karl Glassman said quarterly sales were generally in line with company expectations, but acknowledged weaker conditions in the bedding business.“demand in our domestic bedding business was lower than anticipated, as the overall health of the U.S. industry remains challenged.”The company estimates that the U.S. mattress market declined by a high single-digit to low double-digit percentage during the first quarter. Profitability pressured by lower demand and margin compression Adjusted EBIT declined to $43 million from $67 million in the first quarter of 2025.Leggett & Platt said the decrease was mainly driven by lower sales volume, margin pressure within the Flooring business, and the absence of contributions from the divested Aerospace segment.The company also noted that the war in Iran contributed to rising transportation expenses and longer shipping transit times late in the quarter.Additionally, higher chemical prices are expected to pressure costs further during the second quarter. Cash flow weakens as debt remains elevated Operating cash flow was negative $56 million during the quarter, representing a deterioration of $63 million compared with the same period last year.At quarter-end, net debt stood at 2.8 times trailing 12-month adjusted EBITDA. More about Leggett & Platt Leggett & Platt manufactures engineered components and products used in bedding, furniture, flooring, automotive seating, and other industrial applications. The company supplies materials and systems to manufacturers across consumer and industrial markets globally.Leggett & Platt stock price Original: Leggett & Platt (LEG) shares slide after earnings miss and guidance withdrawal

Somnigroup International Inc. Reports First Quarter 2026 ResultsMay 7, 2026 6:36 AM
PR Newswire (US) - First Quarter 2026 Net Sales Increased 12% to $1.8 Billion
- EPS Growth of 388% and Adjusted EPS(1) Growth of 20%
- Record First Quarter Cash Flows from Operations of $246 MillionDALLAS, May 7, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Company") announced financial results for the first quarter ended March 31, 2026 and reaffirmed financial guidance for the full year 2026. FIRST QUARTER 2026 FINANCIAL SUMMARYTotal net sales increased 12.3% to $1,801.5 million as compared to $1,604.7 million in the first quarter of 2025, primarily driven by the inclusion of Mattress Firm sales for a full quarter as compared to the first quarter of 2025, which included Mattress Firm for the period of February 5, 2025 through March 31, 2025.Gross margin was 43.1% as compared to 36.2% in the first quarter of 2025. Adjusted gross margin(1) was 43.6% as compared to 42.2% in the first quarter of 2025.Operating income increased 1,317.4% to $187.1 million as compared to $13.2 million in the first quarter of 2025, which was negatively impacted by one-time transaction costs related to the Mattress Firm acquisition. Adjusted operating income(1) increased 17.4% to $214.6 million as compared to $182.8 million in the first quarter of 2025.Net income increased 414.8% to $104.2 million as compared to net loss of $(33.1) million in the first quarter of 2025, which was negatively impacted by one-time transaction costs related to the Mattress Firm acquisition. Adjusted net income(1) increased 28.4% to $124.5 million as compared to $97.0 million in the first quarter of 2025.Earnings per diluted share ("EPS") increased 388.2% to $0.49 as compared to loss per diluted share of $(0.17) in the first quarter of 2025, which was negatively impacted by one-time transaction costs related to the Mattress Firm acquisition. Adjusted EPS(1) increased 20.4% to $0.59 as compared to $0.49 in the first quarter of 2025.KEY HIGHLIGHTS(in millions, except percentages and per common share amounts)     Three Months Ended
%
Reported
ChangeMarch 31,
2026
March 31,
2025Net sales$         1,801.5
$         1,604.7
12.3 %Net income (loss)$            104.2
$            (33.1)
414.8 %Adjusted net income (1)$            124.5
$              97.0
28.4 %Earnings (loss) per share$              0.49
$            (0.17)
388.2 %Adjusted EPS (1)$              0.59
$              0.49
20.4 %Company Chairman and CEO Scott Thompson commented, "While navigating challenging market conditions, we delivered solid financial results this quarter, including a robust 20% increase in adjusted EPS. Our performance in this muted market environment reflects the strength of our business and our continued focus on operational discipline and supporting our customers. Our scale, trusted brands, and omnichannel capabilities provide a solid foundation to succeed and support long–term value creation."Business Segment HighlightsThe Company's business segments include Mattress Firm (acquired on February 5, 2025), Tempur Sealy North America and Tempur Sealy International. Corporate operating expenses are not included in any of the business segments and are presented separately as a reconciling item to consolidated results.Mattress Firm net sales increased 49.2% to $885.9 million as compared to $593.7 million in the first quarter of 2025, primarily driven by the inclusion of net sales for a full quarter as compared to the first quarter of 2025, which included Mattress Firm for the period of February 5, 2025 through March 31, 2025. All Mattress Firm sales are reported through the direct channel.Mattress Firm gross margin was 30.8% as compared to 32.2% in the first quarter of 2025. Adjusted gross margin(1) declined 360 basis points to 31.5% as compared to 35.1% in the first quarter of 2025. These declines were primarily driven by investments in promotional expenses, product mix and fixed cost deleverage.Mattress Firm operating margin was 3.8% as compared to 1.1% in the first quarter of 2025. Adjusted operating margin(1) declined 230 basis points to 4.9% as compared to 7.2% in the first quarter of 2025, primarily driven by the decline in gross margin and the inclusion of operating income for a full quarter as compared to the first quarter of 2025, which included Mattress Firm for the period of February 5, 2025 through March 31, 2025. These declines were partially offset by favorable co-operative advertising expense.Tempur Sealy North America net sales decreased 20.2% to $563.5 million as compared to $706.2 million in the first quarter of 2025, primarily driven by the accounting elimination of sales to Mattress Firm. Net sales through the wholesale channel decreased $111.0 million, or 19.0%, to $473.5 million as compared to the first quarter of 2025, primarily driven by the accounting elimination of sales to Mattress Firm for a full quarter in 2026 as compared to the first quarter of 2025, which eliminated sales to Mattress Firm for the period of February 5, 2025 through March 31, 2025. Net sales through the direct channel decreased $31.7 million, or 26.0%, to $90.0 million as compared to the first quarter of 2025, primarily driven by a decrease in sales from the divestiture of Sleep Outfitters in the second quarter of 2025.North America gross margin was 57.9% as compared to 34.0% in the first quarter of 2025. Adjusted gross margin(1) improved 1,300 basis points to 58.3% as compared to 45.3% in the first quarter of 2025. These improvements were primarily driven by the achievement of synergies, the elimination of sales to Mattress Firm, lower product launch costs and operational efficiencies.North America operating margin was 23.4% as compared to 5.7% in the first quarter of 2025. Adjusted operating margin(1) improved 710 basis points to 24.3% as compared to 17.2% in the first quarter of 2025. These improvements were primarily driven by the improvement in gross margin and the impact of the Mattress Firm acquisition, partially offset by investments in co-operative advertising expense.Tempur Sealy International net sales increased 15.5% to $352.1 million as compared to $304.8 million in the first quarter of 2025, primarily driven by strong performance in key markets. On a constant currency basis(1), International net sales increased 7.2% as compared to the first quarter of 2025. Net sales through the direct channel increased $29.8 million, or 15.6%, to $220.4 million as compared to the first quarter of 2025. Net sales through the wholesale channel increased $17.5 million, or 15.3%, to $131.7 million as compared to the first quarter of 2025.International gross margin improved 140 basis points to 50.4% as compared to 49.0% in the first quarter of 2025. The improvement was primarily driven by favorable mix and operational efficiencies.International operating margin improved 160 basis points to 18.4% as compared to 16.8% in the first quarter of 2025. The improvement was primarily driven by the improvement in gross margin and operating expense leverage.Corporate operating expense decreased to $42.9 million as compared to $85.0 million in the first quarter of 2025, primarily driven by decreased costs related to the Mattress Firm acquisition. Adjusted operating expense(1) was $30.6 million as compared to $32.8 million in the first quarter of 2025.Consolidated Financial PositionConsolidated net income increased 414.8% to $104.2 million as compared to net loss of $(33.1) million in the first quarter of 2025. Adjusted net income(1) increased 28.4% to $124.5 million as compared to $97.0 million in the first quarter of 2025. EPS increased 388.2% to $0.49 as compared to loss per share of $(0.17) in the first quarter of 2025. Adjusted EPS(1) increased 20.4% to $0.59 as compared to $0.49 in the first quarter of 2025.The Company ended the first quarter of 2026 with total debt of $4.6 billion and consolidated indebtedness less netted cash(1) of $4.5 billion. Leverage based on the ratio of consolidated indebtedness less netted cash(1) to adjusted EBITDA(1) was 3.07 times for the quarter ended March 31, 2026.Financial GuidanceFor the full year 2026, the Company currently expects adjusted EPS(1) to be between $3.00 to $3.40, which represents an approximate 19% increase from 2025 adjusted EPS(1) at the mid-point of the range.The Company noted that its expectations are based on information available at the time of this release, and are subject to changing conditions and risks, many of which are outside the Company's control, including the possible imposition of new tariffs or retaliatory tariffs, a potential U.S. government shutdown and its effect on sales and supply of materials, increases in existing tariffs and other changes in trade policy and regulations and the resulting uncertainty of the macroeconomic environment. The Company is unable to reconcile forward–looking adjusted EPS, a non–GAAP financial measure, to EPS, its most directly comparable forward–looking GAAP financial measure, without unreasonable efforts, because the Company is currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact EPS in 2026.(1)This is a non-GAAP financial measure. Please refer to "Non-GAAP Financial Measures and Constant Currency Information" below.Proposed Acquisition of Leggett & PlattOn April 13, 2026, the Company announced it has signed a definitive agreement to acquire Leggett & Platt, Incorporated ("Leggett & Platt"), a diversified component manufacturer, in an all-stock transaction valued at approximately $2.5 billion based on the closing price of Somnigroup International's common stock as of April 10, 2026 and inclusive of Leggett & Platt's existing indebtedness. The Company expects the transaction to close by year-end 2026, subject to the satisfaction of customary closing conditions, including approval by Leggett & Platt's shareholders and receipt of applicable regulatory approvals. A separate press release related to the announcement of this transaction can be found on the Company's investor relations website at investor.somnigroup.com.Dividend DeclaredToday, the Company announced that its Board of Directors declared a quarterly cash dividend of $0.17 per share, payable on June 4, 2026 to shareholders of record at the close of business on May 21, 2026.Conference Call Information Somnigroup International Inc. will host a live conference call to discuss financial results today, May 7, 2026, at 8:00 a.m. Eastern Time. The call will be webcast and can be accessed on the Company's investor relations website at investor.somnigroup.com. After the conference call, a webcast replay will remain available on the investor relations section of the Company's website for 30 days.Non-GAAP Financial Measures and Constant Currency InformationFor additional information regarding EBITDA, adjusted EBITDA, adjusted EPS, adjusted net income, adjusted gross profit, adjusted gross margin, adjusted operating income (expense), adjusted operating margin, consolidated indebtedness and consolidated indebtedness less netted cash (all of which are non-GAAP financial measures), please refer to the reconciliations and other information included in the attached schedules. For information on the methodology used to present information on a constant currency basis, please refer to "Constant Currency Information" included in the attached schedules.Forward-Looking StatementsThis press release contains statements that may be characterized as "forward-looking," within the meaning of the federal securities laws. Such statements might include information concerning one or more of the Company's plans, guidance, objectives, goals, strategies and other information that is not historical information. When used in this release, the words "assumes," "estimates," "expects," "guidance," "anticipates," "might," "projects," "plans," "proposed," "targets," "intends," "believes," "will," "contemplates" and variations of such words or similar expressions are intended to identify forward-looking statements. These forward-looking statements include, without limitation, statements relating to the Company's expectations regarding the Mattress Firm acquisition and the pending Leggett & Platt acquisition, expectations regarding post-closing supply agreements, future performance, synergies, integration of acquired companies with our business, including the Mattress Firm acquisition and the pending Leggett & Platt acquisition, the Company's expected quarterly results, full year guidance and outperformance relative to the broader industry, the Company's quarterly cash dividend, the Company's expectations regarding geopolitical events (including the war in Ukraine and the war in the Middle East) and any related effect on pricing, sales and supply of materials, the imposition of new tariffs or retaliatory tariffs, increases in existing tariffs and other changes in trade policy and regulations, changes in tax laws generally, including the H.R. 1 bill, a potential U.S. government shutdown and its effect on sales and supply of materials, loss of suppliers and disruptions in the supply of raw materials, the macroeconomic environment including its impact on consumer behavior, foreign exchange rates and fluctuations in such rates, the bedding industry, financial infrastructure, adjusted EPS for 2026 and subsequent periods and the Company's expectations for sales and adjusted EPS growth, including the Company's long-term expectations with respect to projected compound annual growth rate of sales and adjusted EPS through 2028 and broader market growth, product launches, expected hiring and advertising, capital project timelines, channel growth, acquisitions and commodities outlook. Any forward-looking statements contained herein are based upon current expectations and beliefs and various assumptions. There can be no assurance that the Company will realize these expectations, meet its guidance or that these beliefs will prove correct.Numerous factors, many of which are beyond the Company's control, could cause actual results to differ materially from any that may be expressed herein as forward-looking statements. These potential risks include the ability to close the pending Leggett & Platt acquisition, which depends on the satisfaction of customary closing conditions, including approval by Leggett & Platt's shareholders and receipt of applicable regulatory approvals; the ability to successfully integrate Mattress Firm and Leggett & Platt into the Company's operations and realize synergies from the transactions; the possibility that the expected benefits of the Mattress Firm and Leggett & Platt acquisitions are not realized when expected or at all; general economic, financial and industry conditions, particularly conditions relating to the financial performance and related credit issues present in the retail sector, as well as consumer confidence and the availability of consumer financing; the impact of the macroeconomic environment in both the U.S. and internationally on the Company; uncertainties arising from national and global events and any related effect on pricing, sales and supply of materials; industry competition; the effects of consolidation of retailers on revenues and costs; and consumer acceptance and changes in demand for the Company's products and the factors discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2025. There may be other factors that may cause the Company's actual results to differ materially from the forward-looking statements. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made.About Somnigroup International Inc. Somnigroup (NYSE: SGI) is the world's leading bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored solutions.Investor Relations Contact:Lauren Avritt
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com  SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Statements of Income (Loss)(in millions, except percentages and per common share amounts)(unaudited)

Three Months Ended


March 31,
Chg %
2026
2025

Net sales$    1,801.5
$    1,604.7
12.3 %Cost of sales1,024.6
1,024.2

Gross profit776.9
580.5
33.8 %Selling and marketing expenses428.5
362.6

General, administrative and other expenses166.9
209.5

Equity income in earnings of unconsolidated affiliates(5.6)
(4.8)

Operating income187.1
13.2
1,317.4 %





Other expense, net:




Interest expense, net60.0
61.3

Other (income) expense, net(10.2)
1.2

Total other expense, net49.8
62.5







Income (loss) before income taxes137.3
(49.3)
378.5 %Income tax (provision) benefit(33.4)
16.5

Net income (loss) before non-controlling interest103.9
(32.8)
416.8 %Less: Net (loss) income attributable to non-controlling interest(0.3)
0.3

Net income (loss) attributable to Somnigroup International Inc.     $       104.2
$       (33.1)
414.8 %





Earnings (loss) per common share:




Basic$         0.50
$       (0.17)
394.1 %Diluted$         0.49
$       (0.17)
388.2 %





Weighted average common shares outstanding:




Basic210.3
194.9

Diluted212.6
198.9

 SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Balance Sheets(in millions)

March 31, 2026
December 31, 2025ASSETS(unaudited)





Current Assets:


Cash and cash equivalents$                         110.8
$                      134.9Accounts receivable, net339.1
358.5Inventories631.0
630.0Prepaid expenses and other current assets164.8
170.7Total Current Assets1,245.7
1,294.1Property, plant and equipment, net1,009.8
1,019.2Goodwill4,586.9
4,595.9Trade name and other intangible assets, net2,582.6
2,587.1Operating lease right-of-use assets1,876.4
1,878.8Deferred income taxes18.3
18.5Other non-current assets219.9
207.1Total Assets$                    11,539.6
$                 11,600.7



LIABILITIES AND STOCKHOLDERS' EQUITY






Current Liabilities:


Accounts payable$                         465.1
$                      401.6Accrued expenses and other current liabilities610.1
636.5Short-term operating lease obligations400.7
399.6Current portion of long-term debt112.1
112.4Income taxes payable18.2
15.1Total Current Liabilities1,606.2
1,565.2Long-term debt, net4,436.4
4,573.3Long-term operating lease obligations1,585.3
1,589.8Deferred income taxes625.7
624.9Other non-current liabilities130.7
130.6Total Liabilities8,384.3
8,483.8



Redeemable non-controlling interest7.9
8.9



Total Stockholders' Equity3,147.4
3,108.0Total Liabilities, Redeemable Non-Controlling Interest and Stockholders' Equity     $                    11,539.6
$                 11,600.7 SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Statements of Cash Flows(in millions)(unaudited)

Three Months Ended
March 31,
2026
2025CASH FLOWS FROM OPERATING ACTIVITIES:


Net income (loss) before non-controlling interest$                    103.9
$                    (32.8)Adjustments to reconcile net income (loss) to net cash provided by operating activities:


Depreciation and amortization60.9
57.7Amortization of stock-based compensation11.6
8.4Amortization of deferred financing costs1.7
1.7Bad debt expense1.9
4.7Deferred income taxes1.7
—Dividends received from unconsolidated affiliates5.3
5.5Equity income in earnings of unconsolidated affiliates(5.6)
(4.8)Foreign currency adjustments and other2.6
0.8Changes in operating assets and liabilities, net of effect of business acquisitions62.5
65.2Net cash provided by operating activities246.5
106.4



CASH FLOWS FROM INVESTING ACTIVITIES:


Purchases of property, plant and equipment(60.5)
(24.0)Acquisitions, net of cash acquired—
(2,835.0)Purchases of investments(0.3)
—Other0.1
0.1Net cash used in investing activities(60.7)
(2,858.9)



CASH FLOWS FROM FINANCING ACTIVITIES:


Proceeds from borrowings under long-term debt obligations1,164.9
1,880.4Repayments of borrowings under long-term debt obligations(1,299.3)
(663.1)Proceeds from exercise of stock options—
1.0Treasury stock repurchased(26.2)
(37.5)Dividends paid(36.7)
(32.9)Repayments of finance lease obligations and other(7.4)
(5.8)Net cash (used in) provided by financing activities(204.7)
1,142.1



NET EFFECT OF EXCHANGE RATE CHANGES ON CASH, CASH EQUIVALENTS AND     
RESTRICTED CASH(5.2)
11.8Decrease in cash, cash equivalents and restricted cash(24.1)
(1,598.6)CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period134.9
1,709.7CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period$                    110.8
$                    111.1Summary of Channel SalesThe following table highlights net sales information, by channel and by business segment, for the three months ended March 31, 2026 and 2025:
Three Months Ended March 31,(in millions)Consolidated
Mattress Firm
Tempur Sealy North
America
Tempur Sealy International
2026
2025
2026
2025
2026
2025
2026
2025Direct (a)$        1,196.3
$           906.0
$           885.9
$           593.7
$             90.0
$           121.7
$           220.4
$           190.6Wholesale (b)     605.2
698.7
—
—
473.5
584.5
131.7
114.2
$        1,801.5
$        1,604.7
$           885.9
$           593.7
$           563.5
$           706.2
$           352.1
$           304.8

(a)The Direct channel includes company-owned stores, online and call centers.(b)The Wholesale channel includes all third party retailers, including third party distribution, hospitality and healthcare.SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Financial Measures
(in millions, except percentages, ratios and per common share amounts)The Company provides information regarding adjusted net income, EBITDA, adjusted EBITDA, adjusted EPS, adjusted gross profit, adjusted gross margin, adjusted operating income (expense), adjusted operating margin, consolidated indebtedness and consolidated indebtedness less netted cash, which are not recognized terms under GAAP and do not purport to be alternatives to net income, earnings per share, gross profit, gross margin, operating income (expense) and operating margin as a measure of operating performance, or an alternative to total debt as a measure of liquidity. The Company believes these non-GAAP financial measures provide investors with performance measures that better reflect the Company's underlying operations and trends, providing a perspective not immediately apparent from net income, gross profit, gross margin, operating income (expense) and operating margin. The adjustments management makes to derive the non-GAAP financial measures include adjustments to exclude items that may cause short-term fluctuations in the nearest GAAP financial measure, but which management does not consider to be the fundamental attributes or primary drivers of the Company's business.The Company believes that exclusion of these items assists in providing a more complete understanding of the Company's underlying results from operations and trends, and management uses these measures along with the corresponding GAAP financial measures to manage the Company's business, to evaluate its consolidated and business segment performance compared to prior periods and the marketplace, to establish operational goals and to provide continuity to investors for comparability purposes. Limitations associated with the use of these non-GAAP financial measures include that these measures do not present all of the amounts associated with the Company's results as determined in accordance with GAAP. These non-GAAP financial measures should be considered supplemental in nature and should not be construed as more significant than comparable financial measures defined by GAAP. Because not all companies use identical calculations, these presentations may not be comparable to other similarly titled measures of other companies. For more information about these non-GAAP financial measures and a reconciliation to the nearest GAAP financial measure, please refer to the reconciliations on the following pages.Constant Currency InformationIn this press release the Company refers to, and in other press releases and other communications with investors the Company may refer to, net sales, earnings or other historical financial information on a "constant currency basis", which is a non-GAAP financial measure. These references to constant currency basis do not include operational impacts that could result from fluctuations in foreign currency rates. To provide information on a constant currency basis, the applicable financial results are adjusted based on a simple mathematical model that translates current period results in local currency using the comparable prior corresponding period's currency conversion rate. This approach is used for countries where the functional currency is the local country currency. This information is provided so that certain financial results can be viewed without the impact of fluctuations in foreign currency rates, thereby facilitating period-to-period comparisons of business performance.Adjusted Net Income and Adjusted EPSA reconciliation of reported net income to adjusted net income and the calculation of adjusted EPS are provided below. Management believes that the use of these non-GAAP financial measures provides investors with additional useful information with respect to the impact of various adjustments as described in the footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported net income to adjusted net income and the calculation of adjusted EPS for the three months ended March 31, 2026 and 2025:
Three Months Ended(in millions, except per share amounts)March 31, 2026
March 31, 2025Net income (loss)$                         104.2
$                         (33.1)Business combination charges (1)13.9
—Legal and other charges (2)8.6
—Transaction costs (3)3.6
51.9Acquisition-related costs (4)—
114.2Transaction-related interest expense, net (5)     —
6.8Supply chain transition costs (6)—
3.5Adjusted income tax provision (7)(5.8)
(46.3)Adjusted net income$                         124.5
$                           97.0



Adjusted earnings per common share, diluted$                           0.59
$                           0.49



Diluted shares outstanding212.6
198.9 Please refer to Footnotes at the end of this release.Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Income (Expense) and Adjusted Operating MarginA reconciliation of gross profit and gross margin to adjusted gross profit and adjusted gross margin, respectively, and operating income (expense) and operating margin to adjusted operating income (expense) and adjusted operating margin, respectively, are provided below. Management believes that the use of these non-GAAP financial measures provides investors with additional useful information with respect to the impact of various adjustments as described in the footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the three months ended March 31, 2026.
1Q 2026(in millions, except percentages)Consolidated
 Margin
Mattress Firm
Margin
Tempur
Sealy North
America
 Margin
Tempur
Sealy
International
 Margin
 CorporateNet sales$       1,801.5


$          885.9


$          563.5


$          352.1


$              —

















Gross profit$          776.9
43.1 %
$          272.9
30.8 %
$          326.4
57.9 %
$          177.6
50.4 %
$              —Adjustments:
















Business combination
charges (1)8.7


6.5


2.2


—


—Total adjustments8.7


6.5


2.2


—


—

















Adjusted gross profit$          785.6
43.6 %
$          279.4
31.5 %
$          328.6
58.3 %
$          177.6
50.4 %
$              —

















Operating income (expense)$          187.1
10.4 %
$            33.4
3.8 %
$          131.7
23.4 %
$            64.9
18.4 %
$          (42.9)Adjustments:
















Business combination
charges (1)15.3


9.8


2.9


—


2.6Legal and other charges (2)8.6


—


2.5


—


6.1Transaction costs (3)3.6


—


—


—


3.6Total adjustments27.5


9.8


5.4


—


12.3

















Adjusted operating income
(expense)$          214.6
11.9 %
$            43.2
4.9 %
$          137.1
24.3 %
$            64.9
18.4 %
$          (30.6)The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the three months ended March 31, 2025:
1Q 2025(in millions, except percentages)     Consolidated
Margin
Mattress
Firm
Margin
Tempur
Sealy North
America
Margin
Tempur Sealy
International
Margin
CorporateNet sales$       1,604.7


$          593.7


$          706.2


$           304.8


$              —

















Gross profit$          580.5
36.2 %
$          191.2
32.2 %
$          240.0
34.0 %
$           149.3
49.0 %
$              —Adjustments:
















Acquisition-related costs (4)95.4


17.4


78.0


—


—Supply chain transition
costs (6)1.9


—


1.9


—


—Total adjustments97.3


17.4


79.9


—


—

















Adjusted gross profit$          677.8
42.2 %
$          208.6
35.1 %
$          319.9
45.3 %
$           149.3
49.0 %
$              —

















Operating income (expense)$           13.2
0.8 %
$             6.8
1.1 %
$           40.3
5.7 %
$             51.1
16.8 %
$          (85.0)Adjustments:
















Acquisition-related costs (4)114.2


34.2


78.0


—


2.0Transaction costs (3)51.9


1.7


—


—


50.2Supply chain transition
costs (6)3.5


—


3.5


—


—Total adjustments169.6


35.9


81.5


—


52.2

















Adjusted operating income
(expense)$          182.8
11.4 %
$           42.7
7.2 %
$          121.8
17.2 %
$             51.1
16.8 %
$          (32.8)EBITDA, Adjusted EBITDA and Consolidated Indebtedness less Netted CashThe following reconciliations are provided below:Net income to EBITDA and adjusted EBITDARatio of consolidated indebtedness less netted cash to adjusted EBITDATotal debt, net to consolidated indebtedness less netted cashManagement believes that presenting these non-GAAP measures provides investors with useful information with respect to the Company's operating performance, cash flow generation and comparisons from period to period, as well as general information about the Company's leverage.The Company's credit agreement (the "2023 Credit Agreement") provides the definition of adjusted EBITDA. Accordingly, the Company presents adjusted EBITDA to provide information regarding the Company's compliance with requirements under the 2023 Credit Agreement.The following table sets forth the reconciliation of the Company's reported net income to the calculations of EBITDA and adjusted EBITDA for the three months ended March 31, 2026 and 2025:
Three Months Ended(in millions)March 31, 2026
March 31, 2025Net income (loss)$                       104.2
$                       (33.1)Interest expense, net60.0
54.5Transaction-related interest expense, net (5)     —
6.8Income tax provision (benefit)33.4
(16.5)Depreciation and amortization73.1
66.6EBITDA$                       270.7
$                         78.3Adjustments:


Business combination charges (1)13.9
—Legal and other charges (2)8.6
—Transaction costs (3)3.6
51.9Acquisition-related costs (4)—
114.2Supply chain transition costs (6)—
3.5Adjusted EBITDA$                       296.8
$                       247.9The following table sets forth the reconciliation of the Company's net income to the calculations of EBITDA and adjusted EBITDA for the trailing twelve months ended March 31, 2026:
Trailing Twelve Months Ended(in millions)March 31, 2026Net income$                                                           521.4Interest expense, net266.6Income tax provision145.6Depreciation and amortization298.1EBITDA$                                                        1,231.7Adjustments:
Business combination charges (1)67.7Loss on disposal of business (8)13.9Disposition-related costs (9)10.5Legal and other charges (2)8.6Supply chain transition costs (6)8.6Transaction costs (3)7.7Cloud-based computing arrangements impairment (10)6.2Adjusted EBITDA$                                                        1,354.9Loss from unrestricted subsidiary (11)(0.9)Future cost synergies to be realized from Mattress Firm acquisition (12)100.0Adjusted EBITDA per credit facility$                                                        1,454.0

Consolidated indebtedness less netted cash $                                                        4,467.1

Ratio of consolidated indebtedness less netted cash to adjusted EBITDA per credit facility     3.07 timesUnder the 2023 Credit Agreement, the definition of adjusted EBITDA per credit facility contains certain restrictions that limit adjustments to net income when calculating adjusted EBITDA. For the trailing twelve months ended March 31, 2026, the Company's adjustments to net income when calculating adjusted EBITDA did not exceed the allowable amount under the 2023 Credit Agreement.The ratio of consolidated indebtedness less netted cash to adjusted EBITDA per credit facility is 3.07 times for the trailing twelve months ended March 31, 2026. The 2023 Credit Agreement requires the Company to maintain a ratio of consolidated indebtedness less netted cash to adjusted EBITDA of less than 5.00 times.The following table sets forth the reconciliation of the Company's reported total debt to the calculation of consolidated indebtedness less netted cash as of March 31, 2026. "Consolidated Indebtedness" and "Netted Cash" are terms used in the 2023 Credit Agreement for purposes of certain financial covenants.(in millions)March 31, 2026Total debt, net$                                4,548.5Plus: Deferred financing costs (13)29.4Consolidated indebtedness4,577.9Less: Netted cash (14)110.8Consolidated indebtedness less netted cash     $                                4,467.1Footnotes:(1)In the first quarter of 2026, the Company recorded $13.9 million of business combination charges. Cost of sales included $8.7 million of charges primarily related to the floor model transition associated with the refinement of Mattress Firm's multi-branded merchandising plan. Operating expenses included $6.6 million of professional fees and restructuring costs. Other income, net also included a benefit of $3.4 million resulting from the acquisition of Mattress Firm, offset by $2.0 million of charges related to Mattress Firm store refreshes. In the trailing twelve months ended March 31, 2026, the Company recognized $67.7 million of business combination charges primarily related to the floor model transition associated with the refinement of Mattress Firm's multi-branded merchandising plan, professional fees and restructuring costs.

(2)In the first quarter and the trailing twelve months ended March 31, 2026, the Company recorded $8.6 million of one-time charges, including $6.1 million of legal fees and $2.5 million of customer-related charges.

(3)In the first quarter of 2026, the Company recorded $3.6 million of transaction costs, primarily associated with legal and professional fees related to the proposed acquisition of Leggett & Platt. In the first quarter of 2025, the Company recorded $51.9 million of transaction costs associated with legal and professional fees related to the Mattress Firm acquisition. In the trailing twelve months ended March 31, 2026, the Company recorded $7.7 million of transaction costs primarily related to the Mattress Firm acquisition and related divestitures, and the proposed acquisition of Leggett & Platt.

(4)In the first quarter of 2025, the Company recognized $114.2 million of acquisition-related costs following the Mattress Firm acquisition. Cost of sales included $95.4 million, primarily related to one-time business combination accounting and purchase price allocation adjustments. Operating expenses included $18.8 million of professional fees and restructuring costs.

(5)In the first quarter of 2025, the Company incurred $6.8 million of transaction-related interest expense, net of interest income, related to the Term B Loan drawn and held in escrow. The proceeds of the Term B Loan were released upon the closing of the acquisition of Mattress Firm on February 5, 2025.

(6)In the first quarter of 2025, the Company recorded $3.5 million of supply chain transition costs associated with the consolidation of certain manufacturing facilities, with $1.9 million recorded in cost of sales and $1.6 million recorded in operating expenses.  In the trailing twelve months ended March 31, 2026, the Company recorded $8.6 million of supply chain transition costs, with $1.6 million recorded in cost of sales and $0.6 million recorded in other expenses. Other expenses included $6.4 million of costs, primarily related to a manufacturing facility lease termination.

(7)Adjusted income tax provision represents the tax effects associated with the aforementioned items and other non-recurring discrete items.

(8)In the trailing twelve months ended March 31, 2026, the Company recorded a $13.9 million loss on disposal of business, net of proceeds of $9.0 million, associated with the divestiture of 73 Mattress Firm stores and its Sleep Outfitters subsidiary.

(9)In the trailing twelve months ended March 31, 2026, the Company recorded $10.5 million of disposition-related costs, primarily related to retail store transition costs incurred for the divestiture to Mattress Warehouse.

(10)In the trailing twelve months ended March 31, 2026, the Company recorded $6.2 million of impairment charges related to certain cloud-based computing arrangements.

(11)A subsidiary in the Tempur Sealy North America business segment was accounted for as held for sale and designated as an unrestricted subsidiary under the 2023 Credit Agreement. Therefore, this subsidiary's financial results were excluded from the Company's adjusted financial measures for covenant compliance purposes.

(12)In the trailing twelve months ended March 31, 2026, the Company is permitted to include $100.0 million of future cost synergies expected to be realized in connection with acquisitions for the purpose of calculating the Company's adjusted EBITDA in accordance with the 2023 Credit Agreement.

(13)The Company presents deferred financing costs as a direct reduction from the carrying amount of the related debt in the Condensed Consolidated Balance Sheets. For purposes of determining total debt for financial covenant purposes, the Company has added these costs back to total debt, net as calculated per the Condensed Consolidated Balance Sheets.

(14)Netted cash includes cash and cash equivalents for domestic and foreign subsidiaries designated as restricted subsidiaries in the 2023 Credit Agreement.  View original content:https://www.prnewswire.com/news-releases/somnigroup-international-inc-reports-first-quarter-2026-results-302764595.htmlSOURCE Somnigroup International Original: Somnigroup International Inc. Reports First Quarter 2026 Results

Somnigroup Announces Second Quarter Cash DividendMay 7, 2026 6:37 AM
PR Newswire (US) DALLAS, May 7, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Company" or "Somnigroup") today announced that its Board of Directors has declared a second quarter cash dividend on its common stock of $0.17 per share. The dividend is payable on June 4, 2026, to shareholders of record as of May 21, 2026.About Somnigroup International Inc.Somnigroup is the world's leading bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide, through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored sleep solutions.We seek to deliver long-term value for our shareholders through prudent capital allocation, including managing investments in our businesses. We are guided by our core value of Doing the Right Thing and committed to our global responsibility to protect the environment and the communities in which we operate. For more information, please visit www.somnigroup.com.Investor Relations Contact
Lauren Avritt
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com   View original content:https://www.prnewswire.com/news-releases/somnigroup-announces-second-quarter-cash-dividend-302764661.htmlSOURCE Somnigroup International Original: Somnigroup Announces Second Quarter Cash Dividend

Somnigroup to Report First Quarter 2026 Financial ResultsApril 15, 2026 6:55 AM
PR Newswire (US)

DALLAS, April 15, 2026 /PRNewswire/ -- Somnigroup International, Inc. (NYSE: SGI, "Company" or "Somnigroup") will release its financial results for the first quarter ended March 31, 2026, before the NYSE opening of regular trading on Thursday, May 7, 2026. The Company will hold a conference call at 8:00 a.m. Eastern Time.
The call will be webcast and can be accessed on the Company's investor relations website at www.somnigroup.com. After the conference call, a webcast replay will remain available on the website for 30 days.About Somnigroup Somnigroup (NYSE: SGI) is the world's largest bedding company, dedicated to improving people's lives through better sleep. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored solutions.Somnigroup Investor Relations ContactLauren Avritt
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com



View original content:https://www.prnewswire.com/news-releases/somnigroup-to-report-first-quarter-2026-financial-results-302742391.htmlSOURCE Somnigroup International

Original: Somnigroup to Report First Quarter 2026 Financial Results

Somnigroup International, the World's Leading Bedding Company, to Acquire Leggett & Platt, A Diversified Component Manufacturer and Key Somnigroup Supplier, in an All-Stock TransactionApril 13, 2026 6:36 AM
PR Newswire (US)

–  Continues vertical integration strategy, enhancing consumer-centric innovation –  Expands addressable market in bedding and into non-bedding industries –  Reduces financial leverage and drives operating cash flow –  Drives immediate adjusted EPS accretion before synergies –  Creates meaningful synergy opportunitiesDALLAS and CARTHAGE, Mo., April 13, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Somnigroup") and Leggett & Platt, Incorporated (NYSE: LEG, "Leggett & Platt") today announced that the companies have signed a definitive agreement pursuant to which Somnigroup will acquire Leggett & Platt in an all-stock transaction valued at approximately $2.5 billion based on Somnigroup's closing share price on April 10, 2026.Under the terms of the agreement, Leggett & Platt shareholders will receive 0.1455 shares of Somnigroup common stock in exchange for each share of Leggett & Platt common stock they own. As a result of the transaction, Leggett & Platt's shareholders will own approximately 9% of the combined company on a fully diluted basis. The agreement has been unanimously approved by the Boards of Directors of Somnigroup and Leggett & Platt.The transaction is currently anticipated to close by year-end 2026, subject to the satisfaction of customary closing conditions, including approval by Leggett & Platt's shareholders and receipt of applicable regulatory approvals. The transaction does not require Somnigroup shareholder approval.Following the close of the transaction, Leggett & Platt is expected to operate as a separate business unit within Somnigroup, similar to Tempur Sealy, Mattress Firm, and Dreams, and to maintain its offices in Carthage, Missouri. Leggett & Platt's Chairman and CEO, Karl Glassman, will continue to lead Leggett & Platt following the closing date and will assist with a seamless transition to a new CEO of the Leggett & Platt business unit within twelve months of the closing date. Somnigroup and Leggett & Platt have collaborated for nearly 50 years to drive innovation in the bedding market. With a deep, longstanding partnership and strong cultural alignment, the companies know each other well, and the combination is expected to further strengthen their ability to deliver innovative bedding products. Together, after giving effect to the transaction, including elimination of intercompany sales, the combined company generated 2025 net sales of approximately $11.2 billion, approximately $1.7 billion of adjusted EBITDA, and $1.1 billion of operating cash flow. The combined company is expected to operate 175 manufacturing facilities across 36 countries worldwide, supported by a global workforce of more than 36,000 colleagues. The combined company will continue to honor Leggett & Platt's existing supply agreements with customers in the bedding industry.Leggett & Platt is a diversified manufacturer that designs and produces a broad variety of engineered components and products that can be found in many homes and automobiles. It is a leading supplier of bedding components and solutions; automotive seat comfort and convenience systems; home and work furniture components; geo components; flooring underlayment; and hydraulic cylinders for material handling and heavy construction applications.Somnigroup Chairman and CEO Scott Thompson said, "We are proud to have Leggett & Platt join Somnigroup. Leggett & Platt's strong engineering capabilities, diversified end users and cash–generating financial profile meaningfully enhance our global platform. This combination is consistent with our vertical integration strategy, which drives innovation and value for customers while also enhancing shareholder value. By bringing a successful supply partner into our group, we accelerate our ability to deliver differentiated, consumer–centric innovation. This combination is evidence of our commitment to disciplined capital allocation centered on long–term shareholder value creation."Leggett & Platt Chairman and CEO Karl Glassman said, "We are pleased to reach this agreement with Somnigroup, a valued long–standing customer and partner. This transaction provides Leggett & Platt shareholders with the opportunity to participate in the future growth and value creation of a leading global company on a tax deferred basis. On behalf of our Board of Directors and management team, I would like to thank the Leggett & Platt team for their hard work and dedication. For more than 140 years, we have provided our customers with innovation and quality. I believe this combination positions us to continue that track record and deliver compelling strategic and financial value for our customers, employees and shareholders."Strategic Rationale
The companies expect the combination to leverage the individual strengths of Somnigroup and Leggett & Platt to realize five strategic benefits.Continues Vertical Integration Strategy, Enhancing Consumer-Centric Innovation.
The combination enables closer collaboration between component engineering, mattress design, and consumer trends, supporting accelerated innovation cycles and more cost effective consumer-centric product constructions.Expands Addressable Markets in Bedding and Into Non-Bedding Industries.
The combination provides access to incremental addressable markets beyond bedding, expanding long-term growth opportunities and cash flow generation. Additionally, Leggett & Platt's diversified sales streams and geographic presence lessen reliance on any single category, product or geographic market, reducing overall volatility.Reduces Financial Leverage and Drives Operating Cash Flow.
The combination is expected to lower Somnigroup's net financial leverage and increases financial flexibility. Enhanced balance sheet capacity supports an expanded capital allocation strategy, which we, in turn, expect will drive shareholder value and enhance the combined company's competitive position.Drives Immediate Adjusted EPS Accretion Before Synergies.
The combination is expected to be accretive to adjusted EPS before synergies in the first year post close*.Creates Meaningful Synergy Opportunities.
The combination presents cost synergy opportunities with an expected net positive impact on adjusted EBITDA of $50 million on a fully implemented annual run-rate basis. The main categories of anticipated synergies are sourcing, operations and product innovation. We expect that these synergies will be fully realized over a three-year period, with approximately $10 million benefiting adjusted EBITDA in the first twelve months post-closing.*Post closing, Somnigroup expects Leggett & Platt's financial results will be presented as a new reporting segment within the Somnigroup business. Leggett & Platt's sales to Somnigroup's other reporting segments will be eliminated, with no impact to reported Leggett & Platt segment profits. In 2025, Somnigroup represented 7% of Leggett & Platt's net sales. Additionally, in accordance with GAAP, Somnigroup expects to incur approximately $50 million of annualized non-cash expense from the adjustment to fair value of the acquired Leggett & Platt business, which will primarily impact cost of goods sold, and Somnigroup expects to incur approximately $10 million of annualized non-cash expense from the adjustment to fair value of the acquired Leggett & Platt bonds, which will impact interest expense.Financial Impact
As of December 31, 2025, Leggett & Platt's net leverage under its credit agreement was 2.4 times adjusted EBITDA. Somnigroup expects to leave Leggett & Platt's existing long-term bond debt in place following the transaction.Advisors
Goldman Sachs & Co. LLC is serving as exclusive financial advisor and Cleary Gottlieb Steen & Hamilton LLP is serving as legal counsel to Somnigroup. J.P. Morgan Securities LLC is serving as exclusive financial advisor and Latham & Watkins LLP is serving as legal counsel to Leggett & Platt.Forward-Looking Statements
This press release contains statements that may be characterized as "forward-looking" within the meaning of the federal securities laws. Such statements might include information concerning one or more of Somnigroup's and Leggett & Platt's plans, guidance, objectives, goals, strategies, and other information that is not historical information. When used in this release, the words "will," "targets," "expects," "anticipates," "plans," "proposed," "intends," "outlook," and variations of such words or similar expressions are intended to identify forward-looking statements. These forward-looking statements include, without limitation, statements relating to Somnigroup's expectations regarding the impact of the proposed transaction on Somnigroup's brands, products, customer base, results of operations, or financial position, its share repurchases, adjusted EPS, net leverage, operating cash flow, net income, future performance, cost and run-rate synergies, funding sources, expected capital structure, the financial impact of Leggett & Platt's existing long-term debt, ability to deleverage after the proposed transaction, the expected timing and likelihood of completion of the proposed transaction, the integration of Leggett & Platt with Somnigroup's business and personnel and Somnigroup's and Leggett & Platt's post-acquisition financial reporting. Any forward-looking statements contained herein are based upon current expectations and beliefs and various assumptions. There can be no assurance that these expectations or beliefs will prove correct.Numerous factors, many of which are beyond Somnigroup's and Leggett & Platt's control, could cause actual results to differ materially from any that may be expressed herein as forward-looking statements. These potential risks include risks associated with Leggett & Platt's ongoing operations; the ability to obtain the requisite Leggett & Platt shareholder approval; the risk that Somnigroup or Leggett & Platt may be unable to obtain governmental and regulatory approvals required for the proposed transaction (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the proposed transaction); the risk that an event, change or other circumstance could give rise to the termination of the proposed transaction; the risk of delays in completing the proposed transaction; the ability to successfully integrate Leggett & Platt into Somnigroup's operations and realize synergies from the proposed transaction and the expected run-rate of such synergies; the possibility that the expected benefits of the acquisition are not realized when expected or at all; the risk that any announcement relating to the proposed transaction could have adverse effects on the market price of Somnigroup's or Leggett & Platt's common stock; the risk of litigation related to the proposed transaction; the diversion of management time from ongoing business operations and opportunities as a result of the proposed transaction; the risk of adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the proposed transaction; general economic, financial and industry conditions, particularly conditions relating to the financial performance and related credit issues present in the retail sector, as well as consumer confidence and the availability of consumer financing; the impact of the macroeconomic environment in both the U.S. and internationally on Somnigroup and Leggett & Platt; uncertainties arising from national and global events; industry competition; the effects of consolidation of retailers on revenues and costs; consumer acceptance and changes in demand for Somnigroup's and Leggett & Platt's products; and other risks inherent in Somnigroup's and Leggett & Platt's businesses.All such factors are difficult to predict, are beyond Somnigroup's and Leggett & Platt's control, and are subject to additional risks and uncertainties, including those detailed in Somnigroup's annual report on Form 10-K for the year ended December 31, 2025 and those detailed in Leggett & Platt's annual report on Form 10-K for the year ended December 31, 2025. These risks, as well as other risks related to the proposed transaction, will be included in the Form S-4 and proxy statement/prospectus (each as defined below) that Somnigroup and Leggett & Platt intend to file with the United States Securities and Exchange Commission (the "SEC") in connection with the proposed transaction. There may be other factors that may cause Somnigroup's and Leggett & Platt's actual results to differ materially from the forward-looking statements. Neither Somnigroup nor Leggett & Platt undertakes any obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.No Offer or Solicitation
This press release is not intended to be, and shall not constitute, an offer to sell, buy or exchange or the solicitation of an offer to sell, buy or exchange any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.Additional Information and Where to Find It
In connection with the proposed transaction, Somnigroup intends to file with the SEC a registration statement on Form S-4 (the "Form S-4") that will include a proxy statement of Leggett & Platt and that will also constitute a prospectus of Somnigroup with respect to the shares of Somnigroup common stock to be issued in the proposed transaction (the "proxy statement/prospectus"). The definitive proxy statement/prospectus (if and when available) will be filed with the SEC by, and mailed to shareholders of, Leggett & Platt. Each of Somnigroup and Leggett & Platt may also file other relevant documents with the SEC regarding the proposed transaction.This press release is not a substitute for the Form S-4, the proxy statement/prospectus or any other document that Somnigroup or Leggett & Platt may file with the SEC in connection with the proposed transaction. INVESTORS AND SECURITY HOLDERS OF SOMNIGROUP AND LEGGETT & PLATT ARE URGED TO READ THE FORM S-4, THE PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, CAREFULLY IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and security holders will be able to obtain copies of these documents (if and when available), as well as other filings containing information about Somnigroup and Leggett & Platt, free of charge on the SEC's website at www.sec.gov. Copies of the documents filed with, or furnished to, the SEC by Somnigroup will be available free of charge on Somnigroup's website at https://somnigroup.com/investor-resources/financials/sec-filings/default.aspx. Copies of the documents filed with, or furnished to, the SEC by Leggett & Platt will be available free of charge on Leggett & Platt's website at https://leggett.gcs-web.com/financials/sec-filings. The information included on, or accessible through, Somnigroup's or Leggett & Platt's website is not incorporated by reference into this communication.Participants in Solicitation
Somnigroup, Leggett & Platt and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies with respect to the proposed transaction under the rules of the SEC. You can find information about Somnigroup's executive officers and directors in Somnigroup's definitive proxy statement filed with the SEC on March 31, 2026, under the section entitled "Proposal No. 1 — Election of Directors - Executive Officers," "Proposal No. 1 — Election of Directors - Nominees to Board of Directors," "Stock Ownership – Stock Ownership of Certain Beneficial Owners and Directors and Executive Officers," "Executive Compensation and Related Information - Compensation of Executive Officers" and "Director Compensation." You can find information about Leggett & Platt's executive officers and directors in Leggett & Platt's Annual Report on Form 10-K for the year ended December 31, 2025, under the section entitled "Supplemental Information: Information about our Executive Officers," and "Directors, Executive Officers and Corporate Governance," and in Leggett & Platt's definitive proxy statement filed with the SEC on April 7, 2026, under the sections entitled "Corporate Governance and Board Matters - Director Compensation," "Proposals to be Voted On at the Annual Meeting - Proposal One: Election of Directors," "Executive Compensation and Related Matters - Compensation Discussion & Analysis" and "Security Ownership - Security Ownership of Directors and Executive Officers." Additional information regarding the interests of the participants in the solicitation of proxies will be included in the Form S-4, the proxy statement/prospectus and other relevant materials to be filed with the SEC if and when they become available. You should read the Form S-4 and the proxy statement/prospectus carefully when available before making any voting or investment decisions. You may obtain free copies of these documents using the sources indicated above.About Somnigroup International
Somnigroup is the world's leading bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide, through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored sleep solutions.We seek to deliver long-term value for our shareholders through prudent capital allocation, including managing investments in our businesses. We are guided by our core value of Doing the Right Thing and committed to our global responsibility to protect the environment and the communities in which we operate. For more information, please visit www.somnigroup.com.About Leggett & Platt
Leggett & Platt is a diversified manufacturer that designs and produces a broad variety of engineered components and products that can be found in many homes and automobiles. The 143-year-old company is a leading supplier of bedding components and solutions; automotive seat comfort and convenience systems; home and work furniture components; geo components; flooring underlayment; and hydraulic cylinders for material handling and heavy construction applications.Investor Relations ContactsFor Somnigroup:
Lauren Avritt
Investor Relations
Somnigroup International Inc.
800-805-3635
Investor.relations@somnigroup.comFor Leggett & Platt:
Ryan M. Kleiboeker
Investor Relations
Leggett & Platt, Incorporated
417-358-8131
invest@leggett.com 



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Original: Somnigroup International, the World's Leading Bedding Company, to Acquire Leggett & Platt, A Diversified Component Manufacturer and Key Somnigroup Supplier, in an All-Stock Transaction

Tempur-Pedic and National Sleep Foundation Team Up to Discover What's Really Keeping Americans AwakeMarch 2, 2026 8:00 AM
PR Newswire (US)

Upcoming Data to Deliver One of the Most Comprehensive Looks at Disruptors of American SleepLEXINGTON, Ky., March 2, 2026 /PRNewswire/ -- Tempur-Pedic, a highly recognized brand within the Tempur Sealy International (Tempur Sealy) portfolio, is teaming up with National Sleep Foundation (NSF) to help get to the bottom of a key question for sleep health: Why aren't Americans sleeping as well as they should? The new collaboration brings together NSF's national survey research and millions of nights of real-world sleep data from Tempur-Pedic's Sleeptracker-AI® system, which has been providing nightly insights since it launched in 2019.The goal is simple. By combining how people say they're sleeping with what the data show as factors impacting sleep patterns and sleep quality, the collaboration hopes to paint a clearer picture of what's disrupting our sleep routines. Tempur-Pedic's implementation of the Sleeptracker-AI technology platform is made possible through its partnership with Fullpower-AI® (Fullpower).In 2025, Tempur Sealy and Fullpower signed a multi-year extension through 2036 for exclusive rights to embed Sleeptracker-AI technology in its products. This agreement secures continued access to one of the industry's most advanced AI sleep platforms, ensuring continued sleep insights and coaching for consumers globally."Understanding sleep means combining what people feel with what the data show," said Brent Pfister, SVP of Brand Management and New Product Development at Tempur Sealy. "Tempur-Pedic has invested heavily in advancing sleep technology to help people better understand their nightly rest. The Sleeptracker-AI system uses under mattress sensors to track detailed physiological signals including heart rate, breathing rate, micro movements, and sleep stages without requiring users to wear a device."The Sleeptracker-AI technology isn't just convenient. In collaboration with Stanford University's Division of Sleep Medicine and under the scientific leadership of Dr. Clete Kushida, the Sleeptracker-AI platform has been validated using established clinical methodologies and demonstrated accurate, reliable measurement of sleep stages and sleep continuity. This level of peer-reviewed scientific validation distinguishes it from many consumer sleep technologies available today. The upcoming research findings are expected to shed new light on the environmental, behavioral, and physiological factors that disrupt sleep. These insights will help consumers and the sleep industry better support Americans in achieving the sleep they need.In addition to the upcoming research, Tempur-Pedic is a gold sponsor of National Sleep Foundation's Sleep Awareness Week® campaign (March 8-14). NSF's annual campaign emphasizes the importance of sleep to health and well-being and encourages the public to prioritize getting enough of the quality sleep they need.About Tempur Sealy International Tempur Sealy is committed to improving the sleep of more people, every night, all around the world. As a leading designer, manufacturer, distributor and retailer of bedding products worldwide, we know how crucial a good night of sleep is to overall health and wellness. Utilizing over a century of knowledge and industry-leading innovation, we deliver award-winning products that provide breakthrough sleep solutions to consumers in over 100 countries.Our highly recognized brands include Tempur-Pedic®, Sealy® and Stearns & Foster® and our popular non-branded offerings consist of value-focused private label and OEM products. With the range of our offerings and variety of purchasing options, we are dedicated to continuing to turn our mission to improve the sleep of more people, every night, all around the world into a reality. Tempur Sealy is a wholly owned business of Somnigroup International Inc. (NYSE: SGI).About the National Sleep FoundationThere's only one National Sleep Foundation (NSF). NSF is an independent 501(c)3 nonprofit organization dedicated to improving health and well-being through sleep education and advocacy. Founded in 1990, the NSF is committed to advancing excellence in sleep health theory, research and practice. In its 35 years, NSF has promoted sleep health through expert recommendations, consensus guidelines, tech standards, and easy-to-use tips and tools to improve sleep. For more information about NSF, visit www.theNSF.org ¦ SleepHealthJournal.org.Contact: Erin Grant
Tempur Sealy International, Inc.
800-805-3635
Publicrelations@tempursealy.com



View original content:https://www.prnewswire.com/news-releases/tempur-pedic-and-national-sleep-foundation-team-up-to-discover-whats-really-keeping-americans-awake-302700965.htmlSOURCE Tempur Sealy International, Inc.

Original: Tempur-Pedic and National Sleep Foundation Team Up to Discover What's Really Keeping Americans Awake

Somnigroup International posts in-line Q4 earnings, sales trail forecastsFebruary 17, 2026 10:38 AM
IH Market News
Somnigroup International Inc (NYSE:SGI) on Tuesday delivered fourth-quarter adjusted earnings that met analyst projections, though revenue came in below market expectations.Shares of the mattress maker declined 0.99% in pre-market trading following the release.The company reported adjusted earnings per share of $0.72 for the quarter, matching Wall Street estimates.Revenue totaled $1.87 billion, missing the $1.93 billion consensus forecast.Even so, consolidated sales jumped 54.7% year over year, largely reflecting the addition of $892.1 million in revenue from Mattress Firm.Operating income climbed 93.7% to $247.1 million, up from $127.6 million in the fourth quarter of 2024. Adjusted operating income rose 59.8% to $267.8 million.Gross margin expanded to 44.0%, compared with 40.1% in the prior-year period.“We are pleased to report record fourth quarter net sales and adjusted EBITDA, along with a 20% increase in adjusted EPS,” said Scott Thompson, Company Chairman and CEO. “These results mark a continuation of the strength we displayed throughout the year, as we enhanced our competitive position and executed a successful combination with Mattress Firm.”For fiscal 2026, Somnigroup projected adjusted EPS between $3.00 and $3.40, implying roughly 19% growth at the midpoint compared with 2025. The company also raised its quarterly dividend by 13% to $0.17 per share.Thompson added that the group expects adjusted EPS to rise from $2.70 in 2025 to about $5.15 by 2028, equating to a compound annual growth rate of 24%.Somnigroup International stock price

Original: Somnigroup International posts in-line Q4 earnings, sales trail forecasts

Somnigroup International Inc. Reports Fourth Quarter and Full Year 2025 ResultsFebruary 17, 2026 6:36 AM
PR Newswire (US)

Fourth Quarter 2025 Consolidated Sales Growth of 55% Fourth Quarter EPS Growth of 65% and Adjusted EPS(1) Growth of 20% Strong Fourth Quarter Operating Income Growth of 94% Increased Quarterly Cash Dividend 13% to $0.17 per shareDALLAS, Feb. 17, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Company") announced financial results for the fourth quarter and year ended December 31, 2025 and issued financial guidance for the full year 2026.
FOURTH QUARTER 2025 FINANCIAL SUMMARYTotal net sales increased 54.7% to $1,868.4 million as compared to $1,207.9 million in the fourth quarter of 2024, primarily driven by the inclusion of $892.1 million of Mattress Firm sales, offset by the accounting elimination of $269.0 million of sales from the Tempur Sealy North America segment to the Mattress Firm segment. Direct sales as a percent of net sales increased to 65.2% as compared to 26.9% in the fourth quarter of 2024.Gross margin was 44.0% as compared to 40.1% in the fourth quarter of 2024. Adjusted gross margin(1) was 44.9% as compared to 42.0% in the fourth quarter of 2024.Operating income increased 93.7% to $247.1 million as compared to $127.6 million in the fourth quarter of 2024. Adjusted operating income(1) increased 59.8% to $267.8 million as compared to $167.6 million in the fourth quarter of 2024. Both were primarily driven by the inclusion of Mattress Firm and realized sales and cost synergies.Net income increased 95.8% to $140.8 million as compared to $71.9 million in the fourth quarter of 2024. Adjusted net income(1) increased 43.4% to $153.7 million as compared to $107.2 million in the fourth quarter of 2024.Earnings per diluted share ("EPS") increased 65.0% to $0.66 as compared to $0.40 in the fourth quarter of 2024. Adjusted EPS(1) increased 20.0% to $0.72 as compared to $0.60 in the fourth quarter of 2024.KEY HIGHLIGHTS
(in millions, except percentages and per
common share amounts)Three Months Ended
%
Reported
Change
Year Ended
% Reported
ChangeDecember 31,
2025
December 31,
2024
December 31,
2025
December 31,
2024
Net sales$         1,868.4
$         1,207.9
54.7 %
$        7,476.5
$         4,930.9
51.6 %Net income$            140.8
$              71.9
95.8 %
$           384.1
$            384.3
(0.1) %Adjusted net income (1)$            153.7
$            107.2
43.4 %
$           565.3
$            455.1
24.2 %EPS$              0.66
$              0.40
65.0 %
$             1.84
$              2.16
(14.8) %Adjusted EPS (1)$              0.72
$              0.60
20.0 %
$             2.70
$              2.55
5.9 %Company Chairman and CEO Scott Thompson commented, "We are pleased to report record fourth quarter net sales and adjusted EBITDA, along with a 20% increase in adjusted EPS. These results mark a continuation of the strength we displayed throughout the year, as we enhanced our competitive position and executed a successful combination with Mattress Firm.Thompson continued, "We accomplished this while the industry remained at record lows, demonstrating the strength of our unmatched global scale and vertically integrated structure, broad omnichannel reach and diverse portfolio of trusted brands and innovative products. These competitive advantages position us to capitalize on the industry recovery and realize substantial growth."Business Segment Highlights: Fourth Quarter 2025The Company's business segments include Mattress Firm (acquired on February 5, 2025), Tempur Sealy North America and Tempur Sealy International. Corporate operating expenses are not included in any of the business segments and are presented separately as a reconciling item to consolidated results.Mattress Firm net sales were $892.1 million for the fourth quarter of 2025. All Mattress Firm sales are reported through the direct channel.Mattress Firm gross margin was 30.8% for the fourth quarter of 2025. Adjusted gross margin(1) was 32.4% for the fourth quarter of 2025.Mattress Firm operating margin was 4.4% for the fourth quarter of 2025. Adjusted operating margin(1) was 5.4% for the fourth quarter of 2025.Tempur Sealy North America net sales were impacted by the accounting elimination of $269.0 million of sales to Mattress Firm and the divestiture of Sleep Outfitters, which resulted in a net decrease to net sales of $273.6 million to $620.5 million as compared to $894.1 million in the fourth quarter of 2024. Net sales through the wholesale channel decreased $246.4 million to $518.7 million as compared to the fourth quarter of 2024, primarily driven by the accounting elimination of $269.0 million of sales to Mattress Firm. Net sales through the direct channel decreased $27.2 million, or 21.1%, to $101.8 million as compared to the fourth quarter of 2024, primarily driven by a decrease in sales from the divestiture of Sleep Outfitters.North America gross margin was 59.0% as compared to 36.4% in the fourth quarter of 2024. Adjusted gross margin(1) improved 2,050 basis points to 59.5% as compared to 39.0% in the fourth quarter of 2024. These improvements were primarily driven by the elimination of sales to Mattress Firm, operational efficiencies and favorable mix.North America operating margin was 27.2% as compared to 11.6% in the fourth quarter of 2024. Adjusted operating margin(1) improved 1,280 basis points to 27.6% as compared to 14.8% in the fourth quarter of 2024. These improvements were primarily driven by the impact of the Mattress Firm acquisition, the improvement in gross margin and operating expense leverage.Tempur Sealy International net sales increased 13.4% to $355.8 million as compared to $313.8 million in the fourth quarter of 2024, primarily driven by expanded distribution. On a constant currency basis(1), International net sales increased 8.6% as compared to the fourth quarter of 2024. Net sales through the direct channel increased $29.2 million, or 14.9%, to $224.6 million as compared to the fourth quarter of 2024. Net sales through the wholesale channel increased $12.8 million, or 10.8%, to $131.2 million as compared to the fourth quarter of 2024.International gross margin improved 50 basis points to 51.1% as compared to 50.6% in the fourth quarter of 2024. The improvement was primarily driven by operational efficiencies, partially offset by unfavorable mix.International operating margin declined 60 basis points to 20.6% as compared to 21.2% in the fourth quarter of 2024. Adjusted operating margin(1) improved 110 basis points to 22.3% as compared to 21.2% in the fourth quarter of 2024. The improvement was primarily driven by operating expense leverage and the improvement in gross margin, offset by Asia JV performance.Corporate operating expense decreased to $34.3 million as compared to $43.0 million in the fourth quarter of 2024, primarily driven by decreased costs related to the Mattress Firm acquisition. Adjusted operating expense(1) was $31.7 million as compared to $31.0 million in the fourth quarter of 2024.Consolidated Financial PositionConsolidated net income increased 95.8% to $140.8 million as compared to $71.9 million in the fourth quarter of 2024. Adjusted net income(1) increased 43.4% to $153.7 million as compared to $107.2 million in the fourth quarter of 2024. EPS increased 65.0% to $0.66 as compared to $0.40 in the fourth quarter of 2024. Adjusted EPS(1) increased 20.0% to $0.72 as compared to $0.60 in the fourth quarter of 2024.The Company ended the fourth quarter of 2025 with total debt of $4.7 billion and consolidated indebtedness less netted cash(1) of $4.6 billion. Leverage based on the ratio of consolidated indebtedness less netted cash(1) to adjusted EBITDA(1) was 3.21 times for the year ended December 31, 2025.Financial GuidanceFor the full year 2026, the Company currently expects adjusted EPS(1) between $3.00 to $3.40, which represents an approximate 19% increase from 2025 adjusted EPS at the mid-point of the range.The Company noted that its expectations are based on information available at the time of this release, and are subject to changing conditions and risks, many of which are outside the Company's control, including the possible imposition of new tariffs or retaliatory tariffs, a potential U.S. government shutdown and its effect on sales and supply of materials, increases in existing tariffs and other changes in trade policy and regulations and the resulting uncertainty of the macroeconomic environment. The Company is unable to reconcile forward–looking adjusted EPS, a non–GAAP financial measure, to EPS, its most directly comparable forward–looking GAAP financial measure, without unreasonable efforts, because the Company is currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact EPS in 2026.Dividend IncreaseToday, the Company announced that its Board of Directors increased the quarterly cash dividend by 13% to $0.17 per share. This is the sixth increase to the dividend since 2021. The dividend is payable on March 19, 2026 to shareholders of record at the close of business on March 5, 2026.Long-term PerspectiveCompany Chairman and CEO Scott Thompson commented, "Let me conclude by taking a step back to share longer-term perspectives. We have seen our markets performing below their historical trend line of growth and, despite this, our execution has led to robust adjusted EPS(1) growth. We believe 2026 will benefit from continued execution and the benefits from combining with Mattress Firm. Looking beyond this year, we are planning for the bedding industry to return to growth, while simultaneously realizing incremental benefits from the Mattress Firm transaction and continued industry leading execution. We are internally targeting sales to grow at a compound annual rate of mid single digits. This indicates that we expect Somnigroup adjusted EPS(1) to increase from $2.70 in 2025 to approximately $5.15 by 2028, a compound annual growth rate of 24%."Prior Period RecastPrior period information on the condensed consolidated statements of income has been recast to conform to the current period presentation for the reclassification of certain costs from selling and marketing expenses to cost of sales.(1) This is a non-GAAP financial measure. Please refer to "Non-GAAP Financial Measures and Constant Currency Information" below.Conference Call Information Somnigroup International Inc. will host a live conference call to discuss financial results today, February 17, 2026, at 8:00 a.m. Eastern Time. The call will be webcast and can be accessed on the Company's investor relations website at investor.somnigroup.com. After the conference call, a webcast replay will remain available on the investor relations section of the Company's website for 30 days.Non-GAAP Financial Measures and Constant Currency InformationFor additional information regarding EBITDA, adjusted EBITDA, adjusted EPS, adjusted net income, adjusted gross profit, adjusted gross margin, adjusted operating income (expense), adjusted operating margin, consolidated indebtedness and consolidated indebtedness less netted cash (all of which are non-GAAP financial measures), please refer to the reconciliations and other information included in the attached schedules. For information on the methodology used to present information on a constant currency basis, please refer to "Constant Currency Information" included in the attached schedules.Forward-Looking StatementsThis press release contains statements that may be characterized as "forward-looking," within the meaning of the federal securities laws. Such statements might include information concerning one or more of the Company's plans, guidance, objectives, goals, strategies and other information that is not historical information. When used in this release, the words "assumes," "estimates," "expects," "guidance," "anticipates," "might," "projects," "plans," "proposed," "targets," "intends," "believes," "will," "contemplates" and variations of such words or similar expressions are intended to identify forward-looking statements. These forward-looking statements include, without limitation, statements relating to the Company's expectations regarding the Mattress Firm acquisition, expectations regarding post-closing supply agreements, future performance, synergies, integration of acquired companies with our business, including the Mattress Firm acquisition, the Company's expected quarterly results, full year guidance and outperformance relative to the broader industry, the Company's quarterly cash dividend, the Company's expectations regarding geopolitical events (including the war in Ukraine and the conflict in the Middle East), the imposition of new tariffs or retaliatory tariffs, increases in existing tariffs and other changes in trade policy and regulations, changes in tax laws generally, including the H.R. 1 bill, a potential U.S. government shutdown and its effect on sales and supply of materials, loss of suppliers and disruptions in the supply of raw materials, the macroeconomic environment including its impact on consumer behavior, foreign exchange rates and fluctuations in such rates, the bedding industry, financial infrastructure, adjusted EPS for 2026 and subsequent periods and the Company's expectations for sales and adjusted EPS growth, including the Company's long-term expectations with respect to projected compound annual growth rate of sales and adjusted EPS through 2028 and broader market growth, product launches, expected hiring and advertising, capital project timelines, channel growth, acquisitions and commodities outlook. Any forward-looking statements contained herein are based upon current expectations and beliefs and various assumptions. There can be no assurance that the Company will realize these expectations, meet its guidance or that these beliefs will prove correct.Numerous factors, many of which are beyond the Company's control, could cause actual results to differ materially from any that may be expressed herein as forward-looking statements. These potential risks include the ability to successfully integrate Mattress Firm into the Company's operations and realize synergies from the transaction; the possibility that the expected benefits of the acquisition are not realized when expected or at all; general economic, financial and industry conditions, particularly conditions relating to the financial performance and related credit issues present in the retail sector, as well as consumer confidence and the availability of consumer financing; the impact of the macroeconomic environment in both the U.S. and internationally on the Company; uncertainties arising from national and global events; industry competition; the effects of consolidation of retailers on revenues and costs; and consumer acceptance and changes in demand for the Company's products and the factors discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024. There may be other factors that may cause the Company's actual results to differ materially from the forward-looking statements. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made.About Somnigroup International Inc. Somnigroup (NYSE: SGI) is the world's largest bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored solutions.Investor Relations Contact:Aubrey Moore
Lauren Avritt
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Statements of Income(in millions, except percentages and per common share amounts)(unaudited)

Three Months Ended


Twelve Months Ended


December 31,
Chg %
December 31,
Chg %
2025
2024


2025
2024

Net sales$    1,868.4
$    1,207.9
54.7 %
$    7,476.5
$    4,930.9
51.6 %Cost of sales1,045.7
723.4


4,293.3
2,903.0

Gross profit822.7
484.5
69.8 %
3,183.2
2,027.9
57.0 %Selling and marketing expenses435.1
239.5


1,739.0
939.4

General, administrative and other expenses149.2
125.8


695.0
473.2

Loss on disposal of business—
—


13.9
—

Equity income in earnings of unconsolidated affiliates(8.7)
(8.4)


(19.6)
(18.9)

Operating income247.1
127.6
93.7 %
754.9
634.2
19.0 %











Other expense, net:










Interest expense, net64.2
36.3


267.9
134.8

Other (income) expense, net(10.8)
(4.4)


6.0
(4.9)

  Total other expense, net53.4
31.9


273.9
129.9













Income before income taxes193.7
95.7
102.4 %
481.0
504.3
(4.6) %Income tax provision(52.8)
(23.1)


(95.7)
(118.6)

Net income before non-controlling interest140.9
72.6
94.1 %
385.3
385.7
(0.1) %Less: Net income attributable to non-controlling interest0.1
0.7


1.2
1.4

Net income attributable to Somnigroup International Inc.$       140.8
$         71.9
95.8 %
$       384.1
$       384.3
(0.1) %











Earnings per common share:










Basic$         0.67
$         0.41
63.4 %
$         1.86
$         2.21
(15.8) %Diluted$         0.66
$         0.40
65.0 %
$         1.84
$         2.16
(14.8) %











Weighted average common shares outstanding:










Basic209.9
173.7


206.0
173.6

Diluted212.9
178.7


209.2
178.2

 SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Balance Sheets(in millions)

December 31, 2025
December 31, 2024ASSETS(unaudited)





Current Assets:


Cash and cash equivalents$                         134.9
$                      117.4Accounts receivable, net358.5
404.5Inventories630.0
447.0Prepaid expenses and other current assets170.7
96.5Total Current Assets1,294.1
1,065.4Restricted cash—
1,592.3Property, plant and equipment, net1,019.2
811.1Goodwill4,617.4
1,066.7Trade name and other intangible assets, net2,587.1
700.5Operating lease right-of-use assets1,878.8
598.8Deferred income taxes18.5
15.3Other non-current assets198.9
130.3Total Assets$                    11,614.0
$                   5,980.4



LIABILITIES AND STOCKHOLDERS' EQUITY






Current Liabilities:


Accounts payable$                         401.6
$                      360.5Accrued expenses and other current liabilities636.5
393.9Short-term operating lease obligations399.6
126.8Current portion of long-term debt112.4
69.5Income taxes payable15.1
9.6Total Current Liabilities1,565.2
960.3Long-term debt, net4,573.3
3,740.4Long-term operating lease obligations1,589.8
532.1Deferred income taxes638.2
108.3Other non-current liabilities130.6
71.0Total Liabilities8,497.1
5,412.1



Redeemable non-controlling interest8.9
9.3



Stockholders' Equity:


Common stock, $0.01 par value, 500.0 million shares authorized; 283.8 million shares
issued as of December 31, 2025 and December 31, 20242.8
2.8Additional paid in capital1,038.7
501.2Retained earnings3,829.2
3,571.8Accumulated other comprehensive loss(98.4)
(186.8)Treasury stock at cost; 73.9 million and 110.2 million shares as of December 31, 2025
and December 31, 2024, respectively(1,664.3)
(3,330.0)Total Stockholders' Equity3,108.0
559.0Total Liabilities, Redeemable Non-Controlling Interest and Stockholders' Equity$                    11,614.0
$                   5,980.4 SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIESCondensed Consolidated Statements of Cash Flows(in millions)(unaudited)

Twelve Months Ended
December 31,
2025
2024CASH FLOWS FROM OPERATING ACTIVITIES:


Net income before non-controlling interest$                    385.3
$                    385.7Adjustments to reconcile net income to net cash provided by operating activities:


  Depreciation and amortization249.5
165.1  Amortization of stock-based compensation41.0
36.4  Amortization of deferred financing costs6.7
4.3  Bad debt expense5.6
22.5  Deferred income taxes25.8
(19.2)  Dividends received from unconsolidated affiliates20.5
24.3  Equity income in earnings of unconsolidated affiliates(19.6)
(18.9)  Loss on disposal of business13.9
—  Foreign currency adjustments and other16.9
1.7  Changes in operating assets and liabilities, net of effect of business acquisitions:


  Accounts receivable72.6
(7.3)  Inventories136.5
26.8  Prepaid expenses and other assets(18.9)
(23.6)  Operating leases, net8.8
2.3  Accounts payable(133.1)
58.3  Accrued expenses and other liabilities(35.5)
(21.1)  Income taxes receivable and payable24.1
29.2Net cash provided by operating activities800.1
666.5



CASH FLOWS FROM INVESTING ACTIVITIES:


Purchases of property, plant and equipment(166.9)
(97.3)Acquisitions, net of cash acquired(2,824.5)
—Purchases of investments(41.7)
—Other8.8
0.6Net cash used in investing activities(3,024.3)
(96.7)



CASH FLOWS FROM FINANCING ACTIVITIES:


Proceeds from borrowings under long-term debt obligations4,364.1
3,007.0Repayments of borrowings under long-term debt obligations(3,514.3)
(1,760.6)Proceeds from exercise of stock options49.5
0.5Treasury stock repurchased(132.4)
(43.8)Dividends paid(127.4)
(92.7)Repayments of finance lease obligations and other(22.6)
(33.0)Net cash provided by financing activities616.9
1,077.4



NET EFFECT OF EXCHANGE RATE CHANGES ON CASH, CASH EQUIVALENTS AND
RESTRICTED CASH32.5
(12.4)(Decrease) increase in cash, cash equivalents and restricted cash(1,574.8)
1,634.8CASH, CASH EQUIVALENTS AND RESTRICTED CASH, beginning of period1,709.7
74.9CASH, CASH EQUIVALENTS AND RESTRICTED CASH, end of period$                    134.9
$                 1,709.7Summary of Channel SalesThe following table highlights net sales information, by channel and by business segment, for the three months ended December 31, 2025 and 2024:
Three Months Ended December 31,(in millions)Consolidated
Mattress Firm
Tempur Sealy North
America
Tempur Sealy International
2025
2024
2025
2024
2025
2024
2025
2024Direct (a)1,218.5
324.4
892.1
—
101.8
129.0
224.6
195.4Wholesale (b)$           649.9
$           883.5
$                —
$                —
$           518.7
$           765.1
$           131.2
$           118.4
$        1,868.4
$        1,207.9
$           892.1
$                —
$           620.5
$           894.1
$           355.8
$           313.8

(a)The Direct channel includes company-owned stores, online and call centers.(b)The Wholesale channel includes all third party retailers, including third party distribution, hospitality and healthcare.SOMNIGROUP INTERNATIONAL INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Financial Measures
(in millions, except percentages, ratios and per common share amounts)The Company provides information regarding adjusted net income, EBITDA, adjusted EBITDA, adjusted EPS, adjusted gross profit, adjusted gross margin, adjusted operating income (expense), adjusted operating margin, consolidated indebtedness and consolidated indebtedness less netted cash, which are not recognized terms under GAAP and do not purport to be alternatives to net income, earnings per share, gross profit, gross margin, operating income (expense) and operating margin as a measure of operating performance, or an alternative to total debt as a measure of liquidity. The Company believes these non-GAAP financial measures provide investors with performance measures that better reflect the Company's underlying operations and trends, providing a perspective not immediately apparent from net income, gross profit, gross margin, operating income (expense) and operating margin. The adjustments management makes to derive the non-GAAP financial measures include adjustments to exclude items that may cause short-term fluctuations in the nearest GAAP financial measure, but which management does not consider to be the fundamental attributes or primary drivers of the Company's business.The Company believes that exclusion of these items assists in providing a more complete understanding of the Company's underlying results from operations and trends, and management uses these measures along with the corresponding GAAP financial measures to manage the Company's business, to evaluate its consolidated and business segment performance compared to prior periods and the marketplace, to establish operational goals and to provide continuity to investors for comparability purposes. Limitations associated with the use of these non-GAAP financial measures include that these measures do not present all of the amounts associated with the Company's results as determined in accordance with GAAP. These non-GAAP financial measures should be considered supplemental in nature and should not be construed as more significant than comparable financial measures defined by GAAP. Because not all companies use identical calculations, these presentations may not be comparable to other similarly titled measures of other companies. For more information about these non-GAAP financial measures and a reconciliation to the nearest GAAP financial measure, please refer to the reconciliations on the following pages.Constant Currency InformationIn this press release the Company refers to, and in other press releases and other communications with investors the Company may refer to, net sales, earnings or other historical financial information on a "constant currency basis", which is a non-GAAP financial measure. These references to constant currency basis do not include operational impacts that could result from fluctuations in foreign currency rates. To provide information on a constant currency basis, the applicable financial results are adjusted based on a simple mathematical model that translates current period results in local currency using the comparable prior corresponding period's currency conversion rate. This approach is used for countries where the functional currency is the local country currency. This information is provided so that certain financial results can be viewed without the impact of fluctuations in foreign currency rates, thereby facilitating period-to-period comparisons of business performance.Adjusted Net Income and Adjusted EPSA reconciliation of reported net income to adjusted net income and the calculation of adjusted EPS are provided below. Management believes that the use of these non-GAAP financial measures provides investors with additional useful information with respect to the impact of various adjustments as described in the footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported net income to adjusted net income and the calculation of adjusted EPS for the three months ended December 31, 2025 and 2024:
Three Months Ended(in millions, except per share amounts)December 31, 2025
December 31, 2024Net income$                         140.8
$                           71.9Business combination charges (1)4.0
—Cloud-based computing arrangements impairment (2)6.2
—Transaction costs (3)0.1
12.0Customer-related transition charges (4)—
26.7Transaction-related interest expense (5)—
9.8Supply chain transition costs (6)—
1.3Cybersecurity event (7)—
(4.9)Adjusted income tax benefit (provision) (8)2.6
(9.6)Adjusted net income$                         153.7
$                         107.2



Adjusted earnings per common share, diluted$                           0.72
$                           0.60



Diluted shares outstanding212.9
178.7
Please refer to Footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported net income to adjusted net income and the calculation of adjusted EPS for the years ended December 31, 2025 and 2024:
Year Ended(in millions, except per common share amounts)December 31, 2025
December 31, 2024Net income$                               384.1
$                               384.3Acquisition-related costs (9)114.2
—Transaction costs (3)56.0
47.8Business combination charges (1)53.8
—Loss on disposal of business (10)13.9
—Supply chain transition costs (6)12.1
9.5Disposition-related costs (11)10.5
—Transaction-related interest expense (5)6.8
9.8Cloud-based computing arrangements impairment (2)6.2
—Customer-related transition charges (4)—
26.7Operational start-up costs (12)—
3.1Cybersecurity event (7)—
(4.9)Adjusted income tax provision (8)(92.3)
(21.2)Adjusted net income$                               565.3
$                               455.1



Adjusted earnings per share, diluted$                                 2.70
$                                 2.55



Diluted shares outstanding209.2
178.2
Please refer to Footnotes at the end of this release.Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Income (Expense) and Adjusted Operating MarginA reconciliation of gross profit and gross margin to adjusted gross profit and adjusted gross margin, respectively, and operating income (expense) and operating margin to adjusted operating income (expense) and adjusted operating margin, respectively, are provided below. Management believes that the use of these non-GAAP financial measures provides investors with additional useful information with respect to the impact of various adjustments as described in the footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the three months ended December 31, 2025.
4Q 2025(in millions, except
percentages)Consolidated
 Margin
Mattress
Firm
Margin
Tempur
Sealy North
America
 Margin
Tempur
Sealy
International
 Margin
 CorporateNet sales$       1,868.4


$          892.1


$          620.5


$          355.8


$              —

















Gross profit$          822.7
44.0 %
$          275.0
30.8 %
$          366.0
59.0 %
$          181.7
51.1 %
$              —Adjustments:
















Business combination
charges (1)16.7


13.8


2.9


—


—Total adjustments16.7


13.8


2.9


—


—

















Adjusted gross profit$          839.4
44.9 %
$          288.8
32.4 %
$          368.9
59.5 %
$          181.7
51.1 %
$              —

















Operating income (expense)$          247.1
13.2 %
$            39.6
4.4 %
$          168.5
27.2 %
$            73.3
20.6 %
$          (34.3)Adjustments:
















Business combination
charges (1)13.6


9.0


2.9


—


1.7Cloud-based computing
arrangements impairment
(2)6.2


—


—


6.2


—Transaction costs (3)0.9


—


—


—


0.9Total adjustments20.7


9.0


2.9


6.2


2.6

















Adjusted operating income
(expense)$          267.8
14.3 %
$            48.6
5.4 %
$          171.4
27.6 %
$            79.5
22.3 %
$          (31.7)
Please refer to Footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the three months ended December 31, 2024:
4Q 2024(in millions, except percentages)Consolidated
Margin
Tempur
Sealy North
America
Margin
Tempur Sealy
International
Margin
CorporateNet sales$       1,207.9


$          894.1


$           313.8


$              —













Gross profit$          484.5
40.1 %
$          325.7
36.4 %
$           158.8
50.6 %
$              —Adjustments:












Customer-related transition charges (4)21.9


21.9


—


—Supply chain transition costs (6)1.3


1.3


—


—Total adjustments23.2


23.2


—


—













Adjusted gross profit$          507.7
42.0 %
$          348.9
39.0 %
$           158.8
50.6 %
$              —













Operating income (expense)$          127.6
10.6 %
$          104.0
11.6 %
$             66.6
21.2 %
$          (43.0)Adjustments:












Customer-related transition charges (4)26.7


26.7


—



Transaction costs (3)12.0


—


—


12.0Supply chain transition costs (6)1.3


1.3


—


—Total adjustments40.0


28.0


—


12.0













Adjusted operating income (expense)$          167.6
13.9 %
$          132.0
14.8 %
$             66.6
21.2 %
$          (31.0)
Please refer to Footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the year ended December 31, 2025.
FULL YEAR 2025(in millions, except
percentages) Consolidated
 Margin
Mattress
Firm
Margin
Tempur
Sealy North
America
 Margin
Tempur
Sealy
International
 Margin
 CorporateNet sales$        7,476.5


$      3,505.4


$      2,701.2


$       1,269.9


$             —

















Gross profit$        3,183.2
42.6 %
$      1,171.7
33.4 %
$      1,383.8
51.2 %
$          627.7
49.4 %
$             —Adjustments:
















Acquisition-related
charges (9)95.4


17.4


78.0


—


—Business combination
charges (1)30.1


26.5


3.6


—


—Disposition-related costs
(11)3.7


1.4


2.3


—


—Supply chain transition
costs (6)3.5


—


3.5


—


—Total adjustments132.7


45.3


87.4


—


—

















Adjusted gross profit$        3,315.9
44.4 %
$      1,217.0
34.7 %
$      1,471.2
54.5 %
$          627.7
49.4 %
$             —

















Operating income (expense)$           754.9
10.1 %
$         190.8
5.4 %
$         553.3
20.5 %
$          221.2
17.4 %
$       (210.4)Adjustments:
















Acquisition-related
charges (9)114.2


34.2


78.0


—


2.0Transaction costs (3)58.9


3.5


—


—


55.4Business combination
charges (1)57.2


30.6


3.6


—


23.0Loss on disposal of
business (10)13.9


4.1


9.8


—


—Disposition-related costs
(11)8.3


2.9


5.4


—


—Cloud-based computing
arrangements impairment
(2)6.2


—


—


6.2


—Supply chain transition
costs (6)5.1


—


5.1


—


—Total adjustments263.8


75.3


101.9


6.2


80.4

















Adjusted operating income
(expense)$        1,018.7
13.6 %
$         266.1
7.6 %
$         655.2
24.3 %
$          227.4
17.9 %
$       (130.0)
Please refer to Footnotes at the end of this release.The following table sets forth the reconciliation of the Company's reported gross profit and operating income (expense) to the calculation of adjusted gross profit and adjusted operating income (expense) for the year ended December 31, 2024.
FULL YEAR 2024(in millions, except percentages) Consolidated
 Margin
 North
America
 Margin
 International
 Margin
 CorporateNet sales$        4,930.9


$       3,788.9


$        1,142.0


$              —













Gross profit$        2,027.9
41.1 %
$       1,466.7
38.7 %
$           561.2
49.1 %
$              —Adjustments:












Customer-related transition charges (4)21.9


21.9


—


—Supply chain transition costs (6)9.3


9.3


—


—Operational start-up costs (12)3.1


3.1


—


—Transaction costs (3)2.4


2.4


—


—Total adjustments36.7


36.7


—


—













Adjusted gross profit$        2,064.6
41.9 %
$       1,503.4
39.7 %
$           561.2
49.1 %
$              —













Operating income (expense)$           634.2
12.9 %
$          612.1
16.2 %
$           194.9
17.1 %
$        (172.8)Adjustments:












Transaction costs (3)47.8


2.5


—


45.3Customer-related transition charges (4)26.7


26.7


—


—Supply chain transition costs (6)9.5


9.5


—


—Operational start-up costs (12)3.1


3.1


—


—Total adjustments87.1


41.8


—


45.3













Adjusted operating income (expense)$           721.3
14.6 %
$          653.9
17.3 %
$           194.9
17.1 %
$        (127.5)
Please refer to Footnotes at the end of this release.EBITDA, Adjusted EBITDA and Consolidated Indebtedness less Netted CashThe following reconciliations are provided below:Net income to EBITDA and adjusted EBITDARatio of consolidated indebtedness less netted cash to adjusted EBITDATotal debt, net to consolidated indebtedness less netted cashManagement believes that presenting these non-GAAP measures provides investors with useful information with respect to the Company's operating performance, cash flow generation and comparisons from period to period, as well as general information about the Company's leverage.The Company's credit agreement (the "2023 Credit Agreement") provides the definition of adjusted EBITDA. Accordingly, the Company presents adjusted EBITDA to provide information regarding the Company's compliance with requirements under the 2023 Credit Agreement.The following table sets forth the reconciliation of the Company's reported net income to the calculations of EBITDA and adjusted EBITDA for the three months ended December 31, 2025 and 2024:
Three Months Ended(in millions)December 31, 2025
December 31, 2024Net income$                       140.8
$                         71.9Interest expense, net64.2
26.5Transaction-related interest expense, net (5)—
9.8Income tax provision52.8
23.1Depreciation and amortization80.4
53.0EBITDA$                       338.2
$                       184.3Adjustments:


Business combination charges (1)4.0
—Cloud-based computing arrangements impairment (2)6.2
—Transaction costs (3)0.1
12.0Supply chain transition costs (6)—
1.3Customer-related transition charges (4)—
26.7Cybersecurity event (7)$                            —
$                         (4.9)Adjusted EBITDA$                       348.5
$                       219.4
Please refer to Footnotes at the end of this release.The following table sets forth the reconciliation of the Company's net income to the calculations of EBITDA and adjusted EBITDA for the year ended December 31, 2025:
Year Ended(in millions)December 31, 2025Net income$                                                           384.1Interest expense, net261.1Transaction-related interest expense, net (5)6.8Income tax provision95.7Depreciation and amortization291.6EBITDA$                                                        1,039.3Adjustments:
  Acquisition-related costs (9)114.2  Transaction costs (3)56.0  Business combination charges (1)53.8  Loss on disposal of business (10)13.9  Supply chain transition costs (6)12.1  Disposition-related costs (11)10.5  Cloud-based computing arrangements impairment (2)6.2Adjusted EBITDA$                                                        1,306.0Loss from unrestricted subsidiary (13)3.1Earnings from Mattress Firm prior to acquisition (14)18.7Future cost synergies to be realized from Mattress Firm acquisition (15)100.0Adjusted EBITDA per credit facility$                                                        1,427.8

Consolidated indebtedness less netted cash $                                                        4,582.4

Ratio of consolidated indebtedness less netted cash to adjusted EBITDA per credit facility3.21 timesUnder the 2023 Credit Agreement, the definition of adjusted EBITDA per credit facility contains certain restrictions that limit adjustments to net income when calculating adjusted EBITDA. For the twelve months ended December 31, 2025, the Company's adjustments to net income when calculating adjusted EBITDA did not exceed the allowable amount under the 2023 Credit Agreement.The ratio of consolidated indebtedness less netted cash to adjusted EBITDA per credit facility is 3.21 times for the twelve months ended December 31, 2025. The 2023 Credit Agreement requires the Company to maintain a ratio of consolidated indebtedness less netted cash to adjusted EBITDA of less than 5.00 times.The following table sets forth the reconciliation of the Company's reported total debt to the calculation of consolidated indebtedness less netted cash as of December 31, 2025. "Consolidated Indebtedness" and "Netted Cash" are terms used in the 2023 Credit Agreement for purposes of certain financial covenants.(in millions)December 31, 2025Total debt, net$                                4,685.7Plus: Deferred financing costs (16)31.6Consolidated indebtedness4,717.3Less: Netted cash (17)134.9Consolidated indebtedness less netted cash$                                4,582.4
Please refer to Footnotes at the end of this release. Footnotes:
(1)In the fourth quarter of 2025, the Company recorded $4.0 million of business combination charges. Cost of sales included $16.7 million of charges primarily related to the floor model transition associated with the refinement of Mattress Firm's multi-branded merchandising plan. Operating expenses included a benefit of $6.8 million as a result of purchase price allocation adjustments, offset by $3.7 million of professional fees and restructuring costs. Other income, net also included a benefit of $11.5 million resulting from the acquisition of Mattress Firm, offset by $1.9 million of charges related to Mattress Firm store refreshes.  In the year ended 2025, the Company recognized $53.8 million of business combination charges. Cost of sales included $30.1 million of charges primarily related to the floor model transition associated with the refinement of Mattress Firm's multi-branded merchandising plan. Operating expenses included $27.1 million related to the CEO transaction bonus, professional fees and restructuring costs. Other expenses consisted of a benefit of $3.4 million.(2)In the fourth quarter of 2025, the Company recorded $6.2 million of impairment charges related to certain cloud-based computing arrangements.(3)In the fourth quarter of 2025, the Company recorded $0.1 million of transaction costs. Operating expenses included $0.9 million of professional fees, and other income, net included a benefit of $0.8 million. This benefit relates to reimbursements for previously recorded transaction costs. In the fourth quarter of 2024, the Company recorded $12.0 million of transaction costs, primarily related to legal and professional fees associated with the acquisition of Mattress Firm.  In the year ended 2025, the Company recorded $56.0 million of transaction costs primarily related to the Mattress Firm acquisition and related divestitures, including a $2.9 million benefit in other income. In the year ended 2024, the Company recorded $47.8 million of transaction costs, primarily related to legal and professional fees associated with the acquisition of Mattress Firm, with $2.4 million recorded in cost of sales and $45.4 million in operating expenses.(4)In the fourth quarter and year ended 2024, the Company recorded $26.7 million of transition charges as a result of a customer's acquisition which foreclosed on the OEM distribution to this customer, with $21.9 million recorded in cost of sales and $4.8 million in operating expenses. (5)In the year ended 2025, the Company incurred $6.8 million of transaction-related interest expense, net of interest income, related to the Term B Loan drawn and held in escrow. The proceeds of the Term B Loan were released upon the closing of the acquisition of Mattress Firm on February 5, 2025. In the fourth quarter and year ended 2024, the Company incurred $9.8 million of transaction-related interest expense.(6)In the year ended 2025, the Company recorded $12.1 million of supply chain transition costs associated with the consolidation of certain manufacturing facilities, with $3.5 million recorded in cost of sales and $1.6 million recorded in operating expenses. Other expenses included $7.0 million of costs, primarily related to a manufacturing facility lease termination. In the fourth quarter and year ended 2024, the Company recorded $1.3 million and $9.5 million of supply chain transition costs primarily in cost of sales, respectively. (7)In the fourth quarter and year ended 2024, the Company received proceeds of $4.9 million for an insurance claim related to the previously disclosed cybersecurity event identified on July 23, 2023. (8)Adjusted income tax benefit (provision) represents the tax effects associated with the aforementioned items and other non-recurring discrete items.(9)In the year ended 2025, the Company recognized $114.2 million of acquisition-related costs following the Mattress Firm Acquisition. Cost of sales included $95.4 million, primarily related to one-time business combination accounting and purchase price allocation adjustments. Operating expenses included $18.8 million of professional fees and restructuring costs.(10)In the year ended 2025, the Company recorded a $13.9 million loss on disposal of business, net of proceeds of $9.0 million, associated with the divestiture of 73 Mattress Firm stores and its Sleep Outfitters subsidiary.(11)In the year ended 2025, the Company recorded $10.5 million of disposition-related costs, primarily related to retail store transition costs incurred for the divestiture to Mattress Warehouse. Cost of sales included $3.7 million of expenses and operating expenses included $4.6 million. Other expenses included $2.2 million.(12)In the year ended 2024, the Company recorded $3.1 million of operational start-up costs in cost of sales for the capacity expansion of its manufacturing and distribution facilities in the U.S.(13)A subsidiary in the Tempur Sealy North America business segment was accounted for as held for sale and designated as an unrestricted subsidiary under the 2023 Credit Agreement. Therefore, this subsidiary's financial results were excluded from the Company's adjusted financial measures for covenant compliance purposes.(14)The Company completed the Mattress Firm acquisition on February 5, 2025 and designated this subsidiary as restricted under the 2023 Credit Agreement. For covenant compliance purposes, the Company included $18.7 million of Mattress Firm adjusted EBITDA for the period prior to acquisition in the Company's calculation of adjusted EBITDA per credit facility for the year ended December 31, 2025.(15)For the year ended 2025, the Company is permitted to include $100.0 million of future cost synergies expected to be realized in connection with acquisitions for the purpose of calculating the Company's adjusted EBITDA in accordance with the 2023 Credit Agreement.(16)The Company presents deferred financing costs as a direct reduction from the carrying amount of the related debt in the Condensed Consolidated Balance Sheets. For purposes of determining total debt for financial covenant purposes, the Company has added these costs back to total debt, net as calculated per the Condensed Consolidated Balance Sheets.(17)Netted cash includes cash and cash equivalents for domestic and foreign subsidiaries designated as restricted subsidiaries in the 2023 Credit Agreement. 



View original content:https://www.prnewswire.com/news-releases/somnigroup-international-inc-reports-fourth-quarter-and-full-year-2025-results-302688947.htmlSOURCE Somnigroup International

Original: Somnigroup International Inc. Reports Fourth Quarter and Full Year 2025 Results

Somnigroup Announces First Quarter Cash DividendFebruary 17, 2026 6:37 AM
PR Newswire (US)

DALLAS, Feb. 17, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Company" or "Somnigroup") today announced that its Board of Directors has declared a first quarter cash dividend on its common stock of $0.17 per share. The dividend is payable on March 19, 2026, to shareholders of record as of March 5, 2026.Somnigroup Chairman and CEO Scott Thompson commented, "We are pleased to announce this increase to our quarterly dividend. Our Board of Directors increased the quarterly dividend to $0.17 per share based on the strength of the Company's market position and demonstrated ability to generate significant free cash flow. This marks the sixth increase to our dividend over the last five years, more than doubling the cash dividend since its initiation in 2021."About Somnigroup International Inc.Somnigroup is the world's largest bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide, through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored sleep solutions.We seek to deliver long-term value for our shareholders through prudent capital allocation, including managing investments in our businesses. We are guided by our core value of Doing the Right Thing and committed to our global responsibility to protect the environment and the communities in which we operate. For more information, please visit www.somnigroup.com.Investor Relations Contact
Aubrey Moore
Lauren Avritt
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com



View original content:https://www.prnewswire.com/news-releases/somnigroup-announces-first-quarter-cash-dividend-302688870.htmlSOURCE Somnigroup International

Original: Somnigroup Announces First Quarter Cash Dividend

Somnigroup to Host Investor Day on March 4, 2026February 5, 2026 6:55 AM
PR Newswire (US)

-  Executive Leadership to Discuss Strategic Vision and Growth OpportunitiesDALLAS, Feb. 5, 2026 /PRNewswire/ -- Somnigroup International Inc. (NYSE: SGI, "Company" or "Somnigroup") will host an Investor Day on Wednesday, March 4, 2026 at the New York Stock Exchange and via live webcast beginning at 8 a.m. ET and concluding at 12:00 p.m. ET. The event will feature presentations from executive management discussing the strategic vision for Somnigroup, growth initiatives across its business units, building blocks for multi-year financial targets, and go-forward capital allocation strategy. Management will also take questions during the live Q&A session.Presenters will include: Scott Thompson, Chairman, President and Chief Executive Officer; Bhaskar Rao, Executive Vice President and Chief Financial Officer; Tom Murray, Chief Marketing Officer; Cliff Buster, Chief Executive Officer, Tempur Sealy; Hansbart Wijnand, Executive Vice President, International, Tempur Sealy; Steve Rusing, Chief Executive Officer, Mattress Firm; and Jonathan Hirst, Chief Executive Officer, Dreams. The presentation materials and link to register for the webcast will be available on the Company's investor relations website at www.somnigroup.com . An archived replay will be available on the investor relations website for one year following the event. Please reach out to Investor Relations at investor.relations@somnigroup.com with any questions or to inquire about in-person attendance.About Somnigroup Somnigroup (NYSE: SGI) is the world's largest bedding company, dedicated to transforming how the world sleeps. With superior capabilities in design, manufacturing, distribution and retail, we deliver breakthrough sleep solutions and serve the evolving needs of consumers in more than 100 countries worldwide through our fully-owned businesses, Tempur Sealy, Mattress Firm and Dreams. Our portfolio includes the most highly recognized brands in the industry, including Tempur-Pedic®, Sealy®, Stearns & Foster®, and Sleepy's®, and our global omni-channel platform enables us to meet consumers wherever they shop, offering a personal connection and innovation to provide a unique retail experience and tailored solutions.Somnigroup Investor Relations ContactAubrey Moore
Investor Relations
Somnigroup International Inc.
Investor.relations@somnigroup.com



View original content:https://www.prnewswire.com/news-releases/somnigroup-to-host-investor-day-on-march-4-2026-302679497.htmlSOURCE Somnigroup International

Original: Somnigroup to Host Investor Day on March 4, 2026

$7.74 from $6 and $5.8 entry

$7.70

Sketchy all day. Big vol. someone knew something. So I followed the money

Were you aware of the acquisition possibility or was it a straight chart play? Congrats on the 25% gains regardless!

$7.60 huge numbers

Back in at $6

In at $6

$SGI break $4.70 game on

Lots of thick buyers in the $4.30's would be surprised if it significantly dropped below $4.25 nearly -40% on a reduced -10% outlook and actually posted profits (a victory for this company see history LOL).

It's not like they are going BK lmao. Choppy trading nonetheless until it settles.

I agree, I'm still watching but might jump in if it dips again.

glancing but not in depth, they did cut outlook but look at the they posted profits certainly way better than the multi-millions they lost in same quarter comparison from last year.

I'm in $4.35. Tight SL of course.

Some of the market panic during the first hour also had to do with the selloff I suppose too.

Any hope for a bounce off these levels??

$4 cometh

Wow, low volume early, erasing yesterday's gains. Cmon, tech is up n great contract. More to come.

I am

$SGI DD Notes ~ http://www.ddnotesmaker.com/SGI

bullish
bullish divergence
clear support and resistance levels

$SGI recent news/filings

## source: finance.yahoo.com

Tue, 04 Nov 2014 00:08:29 GMT ~ 10-Q for Silicon Graphics International Corp.


read full: http://www.companyspotlight.com/routers/headline/18389/10004/6406555?cp_code=YAH1&1415059709
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Thu, 30 Oct 2014 04:36:25 GMT ~ SGI posts 1Q loss

[AP] - On a per-share basis, the Milpitas, California-based company said it had a loss of 30 cents. Losses, adjusted for stock option expense and restructuring costs, came to 14 cents per share. The computer ...

read full: http://sg.finance.yahoo.com/news/sgi-posts-1q-loss-043625046--finance.html
*********************************************************

Thu, 30 Oct 2014 04:36:25 GMT ~ SGI posts 1Q loss

[AP] - On a per-share basis, the Milpitas, California-based company said it had a loss of 30 cents. Losses, adjusted for stock option expense and restructuring costs, came to 14 cents per share. The computer ...

read full: http://finance.yahoo.com/news/sgi-posts-1q-loss-043625301.html
*********************************************************

Wed, 29 Oct 2014 21:03:21 GMT ~ SGI Reports Financial Results for First Quarter of Fiscal 2015

[at noodls] - This is an abstract of the original noodl. To continue reading this document, click here for the original version.

read full: http://www.noodls.com/view/A8A667CD12F6EF955B2B2375E718A80D9EE292B4
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Wed, 29 Oct 2014 20:30:00 GMT ~ Silicon Graphics International Corp Earnings Call scheduled for 4:30 pm ET today


read full: http://biz.yahoo.com/cc/1/146161.html
*********************************************************


$SGI charts

basic chart ## source: stockcharts.com



basic chart ## source: stockscores.com



big daily chart ## source: stockcharts.com



big weekly chart ## source: stockcharts.com


$SGI company information

## source: otcmarkets.com

Link: http://www.otcmarkets.com/stock/SGI/company-info
Ticker: $SGI
OTC Market Place: Not Available
CIK code: 0001316625
Company name: Silicon Graphics International Corp.
Incorporated In: DE, USA


$SGI share structure

## source: otcmarkets.com

Market Value: $323,596,048 a/o Nov 05, 2014
Shares Outstanding: 34,590,456 a/o Oct 28, 2014
Float: Not Available
Authorized Shares: Not Available
Par Value: 0.001
$SGI extra dd links

Company name: Silicon Graphics International Corp.
## STOCK DETAILS ##
After Hours Quote (nasdaq.com): http://www.nasdaq.com/symbol/SGI/after-hours
Option Chain (nasdaq.com): http://www.nasdaq.com/symbol/SGI/option-chain
Historical Prices (yahoo.com): http://finance.yahoo.com/q/hp?s=SGI+Historical+Prices
Company Profile (yahoo.com): http://finance.yahoo.com/q/pr?s=SGI+Profile
Industry (yahoo.com): http://finance.yahoo.com/q/in?s=SGI+Industry

## COMPANY NEWS ##
Market Stream (nasdaq.com): http://www.nasdaq.com/symbol/SGI/stream
Latest news (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/news - http://finance.yahoo.com/q/h?s=SGI+Headlines

## STOCK ANALYSIS ##
Analyst Research (nasdaq.com): http://www.nasdaq.com/symbol/SGI/analyst-research
Guru Analysis (nasdaq.com): http://www.nasdaq.com/symbol/SGI/guru-analysis
Stock Report (nasdaq.com): http://www.nasdaq.com/symbol/SGI/stock-report
Competitors (nasdaq.com): http://www.nasdaq.com/symbol/SGI/competitors
Stock Consultant (nasdaq.com): http://www.nasdaq.com/symbol/SGI/stock-consultant
Stock Comparison (nasdaq.com): http://www.nasdaq.com/symbol/SGI/stock-comparison
Investopedia (investopedia.com): http://www.investopedia.com/markets/stocks/SGI/?wa=0
Research Reports (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/research
Basic Tech. Analysis (yahoo.com): http://finance.yahoo.com/q/ta?s=SGI+Basic+Tech.+Analysis
Barchart (barchart.com): http://www.barchart.com/quotes/stocks/SGI
DTCC (dtcc.com): http://search2.dtcc.com/?q=Silicon+Graphics+International+Corp.&x=10&y=8&sp_p=all&sp_f=ISO-8859-1
Spoke company information (spoke.com): http://www.spoke.com/search?utf8=%E2%9C%93&q=Silicon+Graphics+International+Corp.
Corporation WIKI (corporationwiki.com): http://www.corporationwiki.com/search/results?term=Silicon+Graphics+International+Corp.&x=0&y=0

## FUNDAMENTALS ##
Call Transcripts (nasdaq.com): http://www.nasdaq.com/symbol/SGI/call-transcripts
Annual Report (companyspotlight.com): http://www.companyspotlight.com/library/companies/keyword/SGI
Income Statement (nasdaq.com): http://www.nasdaq.com/symbol/SGI/financials?query=income-statement
Revenue/EPS (nasdaq.com): http://www.nasdaq.com/symbol/SGI/revenue-eps
SEC Filings (nasdaq.com): http://www.nasdaq.com/symbol/SGI/sec-filings
Edgar filings (sec.gov): http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001316625&owner=exclude&count=40
Latest filings (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/filings
Latest financials (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/financials
Short Interest (nasdaq.com): http://www.nasdaq.com/symbol/SGI/short-interest
Dividend History (nasdaq.com): http://www.nasdaq.com/symbol/SGI/dividend-history
RegSho (regsho.com): http://www.regsho.com/tools/symbol_stats.php?sym=SGI&search=search
OTC Short Report (otcshortreport.com): http://otcshortreport.com/index.php?index=SGI
Short Sales (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/short-sales
Key Statistics (yahoo.com): http://finance.yahoo.com/q/ks?s=SGI+Key+Statistics
Insider Roster (yahoo.com): http://finance.yahoo.com/q/ir?s=SGI+Insider+Roster
Income Statement (yahoo.com): http://finance.yahoo.com/q/is?s=SGI
Balance Sheet (yahoo.com): http://finance.yahoo.com/q/bs?s=SGI
Cash Flow (yahoo.com): http://finance.yahoo.com/q/cf?s=SGI+Cash+Flow&annual

## HOLDINGS ##
Major holdings (cnbc.com): http://data.cnbc.com/quotes/SGI/tab/8.1
Insider transactions (yahoo.com): http://finance.yahoo.com/q/it?s=SGI+Insider+Transactions
Insider transactions (secform4.com): http://www.secform4.com/insider-trading/SGI.htm
Insider transactions (insidercrow.com): http://www.insidercow.com/history/company.jsp?company=SGI
Ownership Summary (nasdaq.com): http://www.nasdaq.com/symbol/SGI/ownership-summary
Institutional Holdings (nasdaq.com): http://www.nasdaq.com/symbol/SGI/institutional-holdings
Insiders (SEC Form 4) (nasdaq.com): http://www.nasdaq.com/symbol/SGI/insider-trades
Insider Disclosure (otcmarkets.com): http://www.otcmarkets.com/stock/SGI/insider-transactions

## SOCIAL MEDIA AND OTHER VARIOUS SOURCES ##
PST (pennystocktweets.com): http://www.pennystocktweets.com/stocks/profile/SGI
Market Watch (marketwatch.com): http://www.marketwatch.com/investing/stock/SGI
Bloomberg (bloomberg.com): http://www.bloomberg.com/quote/SGI:US
Morningstar (morningstar.com): http://quotes.morningstar.com/stock/s?t=SGI
Bussinessweek (businessweek.com): http://investing.businessweek.com/research/stocks/snapshot/snapshot_article.asp?ticker=SGI



$SGI DD Notes ~ http://www.ddnotesmaker.com/SGI

Who's back in?

,,,,,,,Expecting one more shoe to drop ($3.95)

YeoooOUUUCHHH! How low you reckon this goes before bouncing M0NEYMADE?

,,,,,,,Disaster du Jour: SGI $5.58

,,,,,,,It's over my man

SGI DoD Contract!
SGI Awarded $27.8 Million DoD Contract

Air Force Research Laboratory DoD Supercomputing Resource Center Selects SGI(R) ICE(TM) X HPC System with Storage and Support as Part of Four Year Program

FREMONT, Calif., May 09, 2012 (BUSINESS WIRE) -- SGI (NASDAQ:SGI), the trusted leader in technical computing, today announced that the United States Department of Defense (DoD) has selected an SGI(R) ICE(TM) X high performance computing (HPC) system as part of its High Performance Computing Modernization Program (HPCMP) to provide compute resources for the Air Force Research Laboratory (AFRL) DoD Supercomputing Research Center (DSRC). The agreement also includes storage and four years of support in a transaction valued at over $27.8 million.
The SGI ICE X compute solution selected will be housed in 32 M-racks and includes 2,304 IP-115 (twin) compute blades with cold-sink technology. It features 9,216 sockets (73,728 cores) powered by Intel(R) Xeon(R) processor E5-2600 series operating at 2.6 GHz and will boast a theoretical peak performance of over 1.5 petaflops. As part of the multi-year agreement the DoD has also selected SGI InfiniteStorage(TM) 5500 providing 6.72 PB of storage and operating on the SGI Lustre(R) file system. SGI Professional Services will also provide four years of technical support services.

"Breaking through the challenges faced by the DoD in research, acquisition, and operations requires increasingly powerful supercomputers along with the unique expertise and advanced communications infrastructure that the HPCMP provides," said John E. West, director of the DoD HPCMP. "SGI has long been one of our technology partners, and we look forward to extending that relationship with them over the coming years."

"SGI is honored to provide the AFRL DSRC with the compute, storage and services solutions required to take its compute capabilities to the next level," said Jorge Titinger, president and CEO of SGI. "The results of its work and research ensure that the men and women of our armed services will always have the best information, anytime and anywhere, to keep them safe and ensure the success of their missions."

The High Performance Computing Modernization Program (HPCMP) provides DoD laboratories and Test Centers HPC capabilities and expertise through partnerships with the Laboratories and Test Centers. HPCMP resources are used to provide military programs with a competitive advantage for the design, operation and sustainment of new weapons systems; for example, preparing U.S. aircraft for overseas deployments in Afghanistan and Iraq, and assisting in long-term weather predictions to plan humanitarian and military operations throughout the world. The Air Force Research Laboratory is such a partner with the HPCMP by providing a world class HPC Center committed to providing the resources necessary for DoD scientists and engineers to complete their research, development, testing and evaluation projects. Since the organization's inception in 1996 the AFRL DSRC has supported the warfighter by combining powerful computational resources, secure interconnects, and application software with renowned services, expertise and experience.

"HPC customers such as the U.S. Air Force require the finest leading-edge technology to perform increasingly complex, data-intensive computations," said Rajeeb Hazra, vice president and general manager, Intel Technical Computing Group. "SGI's newest generation of its ICE HPC compute platform combines engineering innovations with the compute power of the Intel(R) Xeon(R) E5 processor family to create an efficient and extremely effective product for leading edge technology users such as these."

About SGI

SGI, the trusted leader in technical computing, is focused on helping customers solve their most demanding business and technology challenges. Visit sgi.com for more information.

Connect with SGI on Twitter (@sgi_corp), YouTube (youtube.com/sgicorp), and LinkedIn.

(C) 2012 Silicon Graphics International Corporation. SGI, the SGI logo, ICE, and InfiniteStorage are trademarks or registered trademarks of Silicon Graphics International Corp. or its subsidiaries in the United States and/or other countries. Intel and Xeon are registered trademarks of Intel Corporation. All other trademarks are property of their respective holders.

SOURCE: Silicon Graphics International Corporation

CONTACT:
Ogilvy Public Relations Meghan Fintland, 415-677-2704 SGImedia@ogilvy.com
Copyright Business Wire 2012

Yall adding more share down here with fresh contract news?

Me watching and already jumped around 10 ish in this and hoping for a bounce ;)

$ SGI WHO is catching the major BOUNCE on this baby ????

~ $SGI ~ Earnings posted, pending or coming soon! In Charts and Links Below!

~ $SGI ~ Earnings expected on Thursday *
This Week In Earnings: Earnings are coming or are already posted! This is what the charts look like! If you play the earnings these posts can be very helpful to you!
Want more like this? Search Keyword: MACMONEY >>> http://tinyurl.com/MACMONEY <<<
One or more of many earnings sites has alerted this security has or will be posting earnings on or around the day of this message.








http://stockcharts.com/h-sc/ui?s=SGI&p=D&b=3&g=0&id=p88783918276&a=237480049




http://stockcharts.com/h-sc/ui?s=SGI&p=W&b=3&g=0&id=p54550695994



~ Barchart: http://barchart.com/quotes/stocks/SGI?
~ OTC Markets: http://www.otcmarkets.com/stock/SGI/company-info
~ Google Finance: http://www.google.com/finance?q=SGI
~ Google Fin Options: hhttp://www.google.com/finance/option_chain?q=SGI#
~ Yahoo! Finance ~ Stats: http://finance.yahoo.com/q/ks?s=SGI+Key+Statistics
~ Yahoo! Finance ~ Profile: http://finance.yahoo.com/q/pr?s=SGI
Finviz: http://finviz.com/quote.ashx?t=SGI
~ BusyStock: http://busystock.com/i.php?s=SGI&v=2
~ CandlestickChart: http://www.candlestickchart.com/cgi/chart.cgi?symbol=SGI&exchange=US
~ Investorshub Trades: http://ih.advfn.com/p.php?pid=trades&symbol=SGI
~ Investorshub Board Search: http://investorshub.advfn.com/boards/getboards.aspx?searchstr=SGI
~ Investorshub PostStream Search: http://investorshub.advfn.com/boards/poststream.aspx?ticker=SGI
~ Investorshub Goodies Search: http://investorshub.advfn.com/boards/msgsearchbyboard.aspx?boardID=18582&srchyr=2011&SearchStr=SGI
~ Investorshub Message Search: http://investorshub.advfn.com/boards/msgsearch.aspx?SearchStr=SGI
~ MarketWatch: http://www.marketwatch.com/investing/stock/SGI/profile
~ E-Zone Chart: http://www.windchart.com/ezone/signals/?symbol=SGI
~ 5-Min Wind: http://www.windchart.com/stockta/analysis?symbol=SGI
~ 10-Min Wind: http://www.windchart.com/stockta/analysis?symbol=SGI&size=l&frequency=10&color=g
~ 30-Min Wind: http://www.windchart.com/stockta/analysis?symbol=SGI&size=l&frequency=30&color=g
~ 60-Min Wind: http://www.windchart.com/stockta/analysis?symbol=SGI&size=l&frequency=60&color=g


http://investorshub.advfn.com/boards/post_prvt.aspx?user=251916

*If the earnings date is in error please ignore error. I do my best.

$SGI rawks.. Better computing, perhaps still.

SGI Reports Record Revenue and Profitability for Its Second Quarter of Fiscal 2011
Date : 02/02/2011 @ 4:20PM
Source : PR Newswire
Stock : Silicon Graphics International Corp (MM) (SGI)
Quote : 10.9 0.75 (7.39%) @ 7:22AM

SGI Reports Record Revenue and Profitability for Its Second Quarter of Fiscal 2011
Silicon Graphics International Corp (MM) (NASDAQ:SGI)
Intraday Stock Chart
Today : Wednesday 2 February 2011


SGI (Nasdaq: SGI), a trusted leader in technical computing, today announced financial results for its second quarter of fiscal 2011.

(Photo: http://photos.prnewswire.com/prnh/20110202/LA41447-a)

(Photo: http://photos.prnewswire.com/prnh/20110202/LA41447-b)

(Photo: http://photos.prnewswire.com/prnh/20110202/LA41447-c)

"SGI delivered the best quarter in its history. These record results underscore the success of our product strategy and execution, focus on operational excellence and commitment towards profitability," said SGI CEO Mark J. Barrenechea. "Given our business trends are improving, we are raising our FY11 non-GAAP revenue guidance and we expect to be profitable."

Business and Financial Highlights

Continued Altix® UV shipments to strategic customers. Altix UV now certified on Microsoft Windows Server and SQL Server
Customer successes include: US Air Force, US Army, US Postal Service, Lockheed Martin, Amazon, Microsoft, Slide, Chrysler, MBDA Missile Systems, Belgium RMI, and HLRN
Introduced new ICE Cube Air Modular Data Center and SGI Prism™ XL Computing Platform
Non-GAAP revenue of $185.9 million, up 43% sequentially
Channel business contributed 29% of non-GAAP revenue
International business contributed 47% of non-GAAP revenue
Solid industry performance: public sector, cloud, manufacturing and telco
Six consecutive quarters of strong combined company cost control
Cash (includes restricted cash, equivalents and investments) growth to $111.5M while operating debt free
"We have now operated as a combined company for six quarters. Over that period, I am pleased with our track record of continued execution," said SGI CFO James Wheat. "We have reduced our inventory, consistently controlled expenses, maintained a strong debt-free balance sheet, and institutionalized processes that will allow the company to scale on a lower cost basis."

Summary of Results

GAAP Results
Non-GAAP Results
Q2 FY11
Q1 FY11
Q2 FY10
Q2 FY11
Q1 FY11
Q2 FY10
Revenue (million)
177.5
112.9
94.1
185.9
130.3
151.5
Gross Margin
29.5%
27.5%
19.8%
30.1%
28.3%
28.7%
OPEX (million)
43.4
42.1
44.9
39.9
39.9
41.1
EPS (Loss)
0.12
(0.37)
(0.77)
0.44
(0.06)
0.18
SGI ended Q2 FY11 with $111.5 million in cash (includes restricted cash, equivalents and investments), a $12.7 million increase from the prior quarter.

Starting in FY11, we have adopted new revenue recognition accounting standards. These new standards did not impact our non-GAAP results. For our FY11 Q2 GAAP results, $45.5 million of revenue and 440 basis points of gross margin were directly attributed to adoption of these new standards.

Share Repurchase Activity

During the quarter, the Company repurchased 329,100 shares at a total cost of $2.6 million, or $7.77 per share. Year-to-date fiscal 2011, the Company repurchased 505,100 shares for $3.9 million at an average price of approximately $7.73 per share. The Company expects to continue to execute this program primarily in open market transactions or through private transactions, subject to market conditions.

Fiscal Year 2011 Guidance

Based on current business trends, SGI is updating its previously announced non-GAAP guidance for fiscal 2011:

Non-GAAP Guidance Metric
Previous FY11 Guidance
New FY11 Guidance
Revenue
$550 million to $575 million
$570 million to $595 million
Gross Margin
27% to 30%
27% to 30%
OPEX
$165 million to $171 million
$162 million to $166 million
EPS
Breakeven
Profitable
Conference Call Information

In conjunction with this earnings press release, SGI has posted and earnings presentation which incorporates CFO commentary to its investor relations section of its web site at investors.sgi.com. The Company will discuss these financial results in a conference call at 2:00 p.m. PT today. The public is invited to listen to a live web cast of the call on the Investor Relations section of the Company's website. A replay of the web cast will be available approximately two hours after the conclusion of the call and remain available until the next earnings call. An audio replay of the conference call will also be made available approximately two hours after the conclusion of the call. The audio replay will remain available for five days and can be accessed by dialing (706) 645-9291 or (800) 642-1687 and entering the confirmation code: 37182800.

About SGI

SGI, a trusted leader in technical computing, is focused on helping customers solve their most demanding business and technology challenges. Visit www.sgi.com for more information.

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements; including statements regarding SGI's guidance for 2011 financial performance, general business outlook and anticipated product performance and offerings. Any statements contained herein that are not statements of historical fact may be deemed forward-looking statements. Actual results may differ materially from forward-looking statements due to a number of risks and uncertainties including those associated with: SGI's more extensive international operations; economic conditions impacting the purchasing decisions of SGI's customers; SGI operates in a very competitive market, and increased competition and competitors' new products, have in the past, and may continue, to cause pricing pressure on SGI's products, which would negatively affect SGI's gross and operating margins, as well as other financial measures; a significant portion of the Company's revenues has come from a limited number of customers, and so the delay in placing an order, or the failure of a significant customer to place additional orders, could have a significant negative effect on SGI's financial performance; SGI relies on sales to U.S. government entities and has limited experience dealing with the U.S. government as a customer; SGI is unable to control component pricing, such as what our suppliers charge for central processing units, and, as has happened in the past, component pricing can rise unexpectedly, negatively impacting SGI's gross margins as well as other financial measures; and SGI may be required to write-off additional significant amounts of excess and obsolete inventory. Detailed information about these and other potential factors that could affect SGI's business, financial condition and results of operations is included in SGI's annual report on Form 10-K under the caption "Risk Factors," in Part I, Item 1A of that report, filed with the Securities and Exchange Commission ("SEC") on September 8, 2010, as updated by SGI's subsequent filings with the SEC, all of which are available at the SEC's Web site at http://www.sec.gov. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this announcement. SGI undertakes no responsibility to update the information in this announcement, except as may be required by law.

Use of Non-GAAP Financial Measures

The non-GAAP financial measures discussed in the text of this press release and accompanying non-GAAP supplemental information are financial measures used by SGI's management to evaluate the operating performance of the Company and to conduct its business operations. All non-GAAP financial measures discussed and presented in this press release excludes the revenue and associated costs of revenue deferred in accordance with Financial Accounting Standards Board ("FASB"), Accounting Standards Codification ("ASC", ASC 985-605 "Software Revenue Recognition" for certain of the Company's transactions where software is more than incidental to the overall product solution sold, as well as revenue deferred in accordance with FASB ASC 605-25 "Revenue Recognition – Multiple-Element Arrangements" where the selling price of a delivered product or service exceeds its fair value. Non-GAAP gross profit and gross margin also excludes stock-based compensation expense, amortization of intangibles, excess and obsolete and related (recoveries), and inventory step up arising from acquisition of substantially all the assets of Silicon Graphics, Inc. Non-GAAP operating expenses include Research and Development, Sales and Marketing and General Administrative expenses. Non-GAAP operating expenses exclude amortization of intangible assets, stock based compensation, restructuring and acquisition-related charges. Non-GAAP net income/(loss) per share excludes the same items as discussed above and, as well, the other-than-temporary impairment of equity investment and auction rate securities. Management presents non-GAAP financial measures because it considers them to be important supplemental measures of performance. Management believes that the excluded charges are not central to the Company's core operating performance and uses the non-GAAP financial measures for planning purposes, including analysis of the Company's core operating performance against prior periods, the preparation of operating budgets and to determine appropriate levels of operating and capital investments. Management excludes from its non-GAAP financial measures the items cited above, whether or not recurring, to facilitate its review of the comparability of the Company's core operating performance on a period to period basis as well as to better understand the fundamental economics of a specific period's operational and financial performance. Management uses this view of the Company's operating performance for purposes of comparison with its business plan and individual operating budgets and allocations of resources. Management also believes that the non-GAAP financial measures provide additional insight for analysts and investors in evaluating the Company's financial and operational performance in the same way that management evaluates SGI's financial performance. However, these non-GAAP financial measures have limitations as an analytical tool, as they exclude the financial impact of transactions necessary or advisable for the conduct of the Company's business, such as the granting of equity compensation awards and are not intended to be an alternative to financial measures prepared in accordance with GAAP. Hence, to compensate for these limitations, management does not review these non-GAAP financial metrics in isolation from its GAAP results, nor should investors. Pursuant to the requirements of SEC Regulation G, a detailed reconciliation between the Company's GAAP and non-GAAP financial results is provided at the end of this press release. Investors are advised to carefully review and consider this information as well as the GAAP financial results that are disclosed in the Company's SEC filings.

SGI and its product names are trademarks or registered trademarks of Silicon Graphics International Corp. All other trademarks are property of their respective holders.


SOURCE SGI

SGI news 6.51 http://finance.yahoo.com/news/SGI-Partners-with-DARPA-Intel-bw-1519763706.html?x=0&.v=1

SGI: Technical Analysis (05/Aug/2004)

Hi ! Before you read this, you should take a look at my SGI Technical Charts, in order to understand this analysis:

http://globalspeculators.com/trading_futures/index.php?topic=14.0

Long Term Overview:
SGI is trading a lateral-triangular pattern for the long run, having 4 higher lows and 3 lower lows since 2001.
On the downside we have an ascending long term support, which has been tested last week (low of the year), in the other hand the upside resistance was tested in February (high of the year).
The contact with the support level has generated a first positive reaction, which is bullish.

Short and Medium Term Overview:
This time frame is bearish since last February…
The long term support test was on the $1.27 level, but the main reference for the last months is the $1.50 level, which can be considered a support for the next sessions ($1,50 level was a resistance during late 2003 and was a support level on May, making this number an important trading orientation)

There are several patterns running on this time-frames:
- A slim descending channel since late June
- A downside projection given in July, that has already been achieved on the lows
- An upside resistance on the $1.72 level
- A moving average bearish signal given on July.
- A buying signal given with the DMI (Dynamic Momentum Index) indicator

This situation can make a little confusion for the short run, but it’s possible to make a sort of trading plan using this clues…

Resuming:
Let’s keep the big picture in mind, and remember that we just had an important contact with the main long term support which is working since 2001…
This reference is now on the $1.28 level, and it’s possible that it will be tested again in the short term… this event can be interpreted as a Buying opportunity with the first short term target on the $1.72 resistance level.
In the other hand, a downside breakout of $1,28 would be very bearish, and will invalidate all the long term pattern.

To change the short and medium term trend, we need a confirmation with a close above $1.72, this may open the road to the long term resistance…

Jesse Livermore

Interesting SGI Technology...

http://ragingbull.lycos.com/mboard/boards.cgi?board=SGI&read=2559

Silicon Graphics is a strong player in digital applications that specialize in 3D simulations and over related products. They have many government contracts which they call "digital defense" contracts. They also have contracts with defense companies. These customers make up about 25 percent of all of their revenue. Some of their customers include: Lockheed Martin, General Dynamics and Saab Aerospace.

Visit their website to learn more about their products and services: http://www.sgi.com/

Joemoney