La-Z-Boy 2025 Q4 Earnings Misses Targets as Net Income Falls 61.9%

Generated by AI AgentAinvest Earnings Report Digest
Tuesday, Jun 17, 2025 11:06 pm ET2min read
La-Z-Boy (LZB) reported its fiscal 2025 Q4 earnings on June 17th, 2025. The company announced a revenue beat, with $570.87 million surpassing the consensus estimate by 2.21%. However, earnings per share (EPS) fell short at $0.92, missing the consensus estimate of $0.93. La-Z-Boy's guidance for the upcoming quarter aligns with market expectations, projecting earnings of $0.93 per share and revenue of $557.44 million. This cautious outlook reflects the ongoing challenges posed by global economic uncertainties. Despite the earnings miss, remains optimistic about maintaining strong financial performance.

Revenue
The total revenue of La-Z-Boy increased by 3.1% to $570.87 million in 2025 Q4, up from $553.53 million in 2024 Q4.

Earnings/Net Income
La-Z-Boy's EPS declined 61.0% to $0.36 in 2025 Q4 from $0.93 in 2024 Q4. Meanwhile, the company's net income declined to $15.35 million in 2025 Q4, down 61.9% from $40.33 million reported in 2024 Q4. The significant drop in EPS indicates challenging profitability for the quarter.

Price Action
The stock price of La-Z-Boy has edged up 0.54% during the latest trading day, has dropped 5.97% during the most recent full trading week, and has tumbled 12.07% month-to-date.

Post-Earnings Price Action Review
La-Z-Boy's recent earnings report showcased a revenue beat, with the company reporting $570.87 million for the quarter, exceeding the consensus estimate by 2.21%. However, it faced an earnings miss with a reported EPS of $0.92, falling short of the expected $0.93. Following the earnings release, the market reacted negatively, with LZB's stock trading down $0.17 to $38.75. This reaction indicates the market's sensitivity to earnings performance over revenue achievements. For the upcoming quarter, analysts project earnings of $0.93 per share and revenue of $557.44 million. Currently trading below its 50-day and 200-day moving averages, the stock may see a short-term rebound if market conditions improve. In the long term, analysts maintain a "Hold" status with an average one-year target price of $46.00, suggesting potential upside. However, the estimated GF Value of $30.15 indicates possible downside risk if the stock aligns with its intrinsic value. offers a 2.27% dividend yield, providing some income to shareholders.

CEO Commentary
Melinda D. Whittington, Board Chair, President, and Chief Executive Officer of La-Z-Boy Incorporated, highlighted that the fourth quarter results demonstrate the strengthening of the brand under the Century Vision strategy, achieving sales growth across all segments despite industry challenges from high mortgage rates and macroeconomic uncertainty. She emphasized the company's focus on growing the direct-to-consumer business and enhancing consumer insights, noting significant expansion in the company-owned store footprint, reaching over 200 stores. Whittington expressed confidence in La-Z-Boy's ability to outperform peers and deliver strong financial performance, citing a robust business model and a strong balance sheet as key advantages.

Guidance
The company anticipates that global economic uncertainty will continue to challenge consumers in the near term. However, La-Z-Boy is optimistic about its ability to navigate these challenges, indicating confidence in its business model to outperform competitors. The leadership expects to maintain strong financial performance and drive long-term profitable growth, leveraging its iconic brand in a fragmented market while executing strategies to mitigate changing market conditions.

Additional News
In recent developments, La-Z-Boy has announced a quarterly cash dividend of $0.22 per share, payable on June 16, 2025, to shareholders of record as of June 3, 2025. The company, recognized for its iconic recliners, continues to solidify its retail presence with nearly 200 company-owned La-Z-Boy Furniture Galleries stores and an extensive network of over 360 galleries nationwide. Additionally, La-Z-Boy operates an e-commerce division, Joybird, specializing in modern upholstered furniture with 12 U.S. stores. The company’s strategic focus on expanding its retail footprint and enhancing customer engagement highlights its commitment to long-term growth and shareholder value.

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