YOUR BUSINESS AUTHORITY

Springfield, MO

Leggett & Platt’s earnings fall on higher steel costs

Posted online

Though revenue increased, higher steel costs pulled Leggett & Platt Inc.’s (NYSE: LEG) quarterly earnings down.

The Carthage-based manufacturer of engineered components and products for homes, offices and vehicles produced third-quarter net income of $82.6 million, or 60 cents per diluted share, a 12 percent decrease from $93.5 million, or 67 cents per diluted share, a year earlier, according to a news release.

“As expected, earnings and margins were pressured in the quarter by higher steel costs and the timing lag we typically experience in passing along those increases,” Leggett & Platt President and CEO Karl Glassman said in the release. “Assuming that steel costs stabilize, margins should improve by early next year.”

Third-quarter financial notes:
    •    Net sales from continuing operations improved by 6 percent to roughly $1 billion.
    •    Cost of goods sold rose 10 percent to $793.9 million.
    •    The company’s best-producing segment — residential products — had revenue of $431.2 million, a 5.9 percent increase.

As of Sept. 30, Leggett & Platt held assets of $3.3 billion and employed 22,000 people across 15 business units and 120 manufacturing plants in 19 countries, according to the release.

LEG shares were trading at $47.88 as of 8:39 a.m., compared with a 52-week range of $43.17 to $54.97.

Comments

No comments on this story |
Please log in or register to add your comment
Editors' Pick

It Takes a Team: ‘The Hub,’ WOW selected for design and construction awards

Collaboration was prominent Nov. 9 at the 33rd annual Salute to Design and Construction Awards.

Most Read
SBJ Live logo
MOST-WATCHED VIDEOS
Mobile First World

“For marketers in this day and age, it’s so important to think about how you are engaging with customers and potential consumers on that mobile device,” says Erika Murray, Global Brand Manager …

App-titude - Tracking Projects with Trello “I like to think of it as a big white board where you can put post-it notes and track your progress on the different stages of a process,” says David Brazeal. Trello allows you to make a list, …
Realities of Medical Malpractice Lawsuits “Medical negligence or medical malpractice cases essentially are a platform for families to bring a lawsuit against a healthcare provider,” says Debbie Dodge, Managing Shareholder at Hall Ansley. …
Never Stop Learning “You’ll know that you’re a trusted adviser when your clients come to you before they make a business decision,” says Tom Jensen, with Connell Insurance, one of Springfield Business …
Beyond the Spotlight - Hinode “One big thing we tried to do was to make it more casual — into a fun family dining experience that everyone could enjoy,” says Cosmo Kwon, Co-Owner of Hinode in Nixa, Mo. The change worked. …