MillerKnoll 2026 Q2 Earnings EPS Declines 28.6% Amid Revenue Drop

MillerKnoll (MLKN) reported fiscal 2026 Q2 earnings on January 5, 2026, with results showing a 1.6% revenue decline and a 28.6% drop in EPS. The stock price, however, surged 17.13% month-to-date, outperforming the SPY ETF. The company guided to Q3 revenue of $923–963 million, with adjusted EPS of $0.42–$0.48, aiming to offset tariff impacts.

Revenue

MillerKnoll’s total revenue fell to $955.20 million in Q2 2026, a 1.6% decrease from $970.40 million in the prior-year period. The North America Contract segment led the performance at $508.50 million, though this marked a 3.1% decline. The International Contract segment faced stronger headwinds, with revenue dropping 6.3% to $170.90 million. In contrast, the Global Retail segment showed resilience, reporting $275.80 million in revenue, a 4.7% increase year-over-year.

Earnings/Net Income

Net income plummeted to $25.20 million in Q2 2026, down 28.4% from $35.20 million in Q2 2025, while EPS fell to $0.35 from $0.49. The EPS decline reflects broader operational challenges, including rising operating expenses, despite a modest improvement in gross margin to 39.0%.

Post-Earnings Price Action Review

The strategy of buying MillerKnoll shares when revenue beats expectations and holding for 30 days has demonstrated robust performance, with a 70% win rate and an average 5.4% outperformance relative to the SPY ETF.

CEO Commentary

CEO Andi Owen emphasized strategic initiatives to counter tariff pressures and capitalize on return-to-office trends, noting “solid order growth across all segments entering H2 2026.” He highlighted strong demand in commercial real estate and healthcare sectors, alongside plans to open 14–16 new stores.

Guidance

Management expects Q3 2026 net sales to range between $923–963 million, with adjusted EPS of $0.42–$0.48. The outlook aims to mitigate second-half tariff impacts and leverage growth in North America Contract and Global Retail segments.

Additional News

MillerKnoll maintained its quarterly dividend of $0.1875 per share, with a 4.71% yield as of November 2025. The company also announced plans to expand its retail footprint, targeting 14–16 new store locations. No major C-level changes or M&A activity were disclosed in the 3-week period ending January 5, 2026.