Herman Miller Q1 Results Top Street, Outlook Strong; Shares Up 7%

(RTTNews) - Shares of Herman Miller Inc. (MLHR) rose over 7% on extended trading session Wednesday after the furniture maker's first-quarter results and outlook for the current quarter trumped Wall Street analysts' estimates.

Herman Miller's first-quarter profit rose to $48.2 million or $0.81 per share from $35.8 million or $0.60 per share last year.

On an adjusted basis, earnings for the quarter rose to $0.84 per share from $0.69 per share last year. Analysts polled by Thomson Reuters expected earnings of $0.78 per share for the quarter.

The company's revenue for the quarter rose 7.4% to $670.9 million from $624.6 million last year. Analysts had a consensus revenue estimate of $661.8 million for the quarter.

New orders in the first quarter of $676.7 million were 6.9% above the prior year level.

CEO Andi Owen said, "Strong sales and order growth for the quarter were led by our North America and Retail businesses. Consolidated sales growth, higher gross margins and well-managed operating expenses combined to drive operating margin expansion over the same quarter last year."

Gross margin for the quarter totaled 36.7%, representing a 70-basis point increase from last year.

Looking forward to the second quarter, Herman Miller expects earnings of $0.85 to $0.89 per share and sales of $685 million to $705 million. Analysts currently estimate earnings of $0.85 per share and revenues of $684.83 million.

MLHR closed Wednesday's trading at $44.47, down $0.06 or 0.13%, on the Nasdaq. The stock, however, gained $3.28 or 7.38% in the after-hours trade.