La-Z-Boy Reports Q1 Earnings with Mixed Results
La-Z-Boy (LZB) posted mixed results for its first quarter of fiscal year 2027, reporting consolidated revenue of $476 million—a 3% decline primarily due to the divestiture of its wholesale casegoods business. Retail performance was strong with a 16% increase in written sales and a 3% rise in same-store sales, driven by new store openings and acquisitions. However, wholesale delivered sales fell 5%, adjusted for the casegoods sale, while Joybird's written sales dropped 17%. The company also reported an adjusted operating margin of 3.9%, down from 4.8% a year ago due to expense deleverage. La-Z-Boy provided guidance for Q2 revenue between $500 million and $520 million, with growth expected in the range of -1% to +2%. The company expects adjusted operating margin to fall within 4% to 5.5%, reflecting near-term investments in advertising and digital transformation. Management emphasized its Century Vision strategy, including expanding its retail store network and improving omnichannel capabilities. The firm ended Q1 with $267 million in cash and no external debt on the balance sheet. Shareholder returns totaled $35 million through share repurchases and dividends.
Tickers: $LZB
Topics: adjusted_earnings_per_share operating_margin revenue sales_growth