From Home Furnishing Business
Tempur Sealy 3Q Sales, Income Climb
Net income for the quarter ended Sept. 30 was $40.2 million compared to net income of $37.1 million in the same quarter last year.
“The company’s iconic brands and products continue to perform well throughout the world resulting in solid revenue growth and EBITDA margin expansion,” said Scott Thompson, chairman and CEO. “The North American operation was a highlight in the quarter driven by Tempur Flex, Tempur Breeze and Sealy Posturepedic. The International operations dealt with unfavorable foreign exchange headwinds but still managed to deliver stable operating results. The company continues to demonstrate the free cash flow attributes of the business, resulting in consistent deleveraging of the balance sheet and enhancing the company’s future capital structuring alternatives.”
Gross margin under U.S. GAAP was 40.9 percent compared to 38.5 percent in the third quarter of 2014; and adjusted gross margin was 41.3 percent as compared to 38.8 percent in the third quarter of 2014.
EBITDA increased 14.3 percent to $121.4 million as compared to $106.2 million in the third quarter of 2014; and adjusted EBITDA increased 19.1 percent to $142.3 million as compared to $119.5 million for the third quarter of 2014.
The company also elected Richard W. Neu to its board of directors.
Neu has served in a variety of board roles during the past 11 years. He currently serves as chair of the audit committee and as a member of the executive, community development and trust committees of Huntington Bancshares Inc.
His professional career has spanned more than 35 years.
“I am pleased to welcome Rick Neu to our board of directors,” Thompson said. “He is a proven business leader, and his public company board experience, along with his proven success as an officer of public companies, demonstrates his leadership capability and extensive knowledge of complex financial and operational issues. I am confident Rick Neu will make substantial contributions to our company as one of our three new independent outside directors added to the board this year.”
“I am honored to join the board of directors of Tempur Sealy, an iconic globally recognized company with best-in-class products, brands and employees,” Neu said. “I look forward to collaborating with my fellow directors, Scott Thompson and the rest of the management team to generate value for all of the company’s stockholders.”