HNI Corp. Reduces Earnings Outlook - Quick Facts

(RTTNews) - HNI Corp. (HNI) announced, for 2018, the company estimates non-GAAP earnings per share to be in the range of $2.35 to $2.55, which excludes restructuring and transition costs. This is compared to prior guidance of non-GAAP earnings per share of $2.40 to $2.70. The company said the impact of rising input costs and the slower ramp up of cost savings and productivity initiatives are the primary drivers of the reduced earnings outlook.

The Corporation expects full year organic sales to be up 6 to 8 percent. Including the impact of closing and divesting small office furniture companies, full year sales are expected to be up 3 to 5 percent.

For the second-quarter, non-GAAP net income per diluted share was $0.44 compared to $0.42 in the prior year. Consolidated net sales increased 5.7% from the prior year quarter to $543.6 million. On an organic basis, sales increased 8.4%.

"Our strong sales momentum continued during the second quarter. Results were better than expected in both our Hearth and Office Furniture businesses. We expect to continue generating solid top-line growth in the second half of 2018. In the short term, we are experiencing additional headwinds from increasing input costs and timing related to our cost savings and productivity initiatives," said Jeff Lorenger, HNI CEO.