Floor & Decor Announces Fourth Quarter & Full Year Fiscal 2024 Results

February 23, 2025  by Karen Parrish in Business Strategy, Industry   

Tom Taylor, Chief Executive Officer, stated, “We are extremely proud of our store and store support teams for executing our sales and customer service initiatives and diligently managing our costs during the fourth quarter and full-year. Their hard work enabled us to report fourth quarter comparable store sales, earnings flow-through, and earnings per share that were better-than-expected despite the macroeconomic challenges affecting our category. Our fourth quarter and full-year results demonstrate the resiliency of our business model and the potential earnings power we believe we can unlock over time as industry fundamentals improve.”

“We opened 10 stores during the fourth quarter, ending fiscal 2024 operating 251 stores across 38 states. We achieved 30 store openings during fiscal 2024, in line with our previous expectation. In the first half of fiscal 2025, we plan to open seven new stores and intend to open 25 stores in fiscal 2025,” said Taylor.

Please see “Comparable Store Sales” below for information on how the Company calculates period-over-period changes in comparable store sales.

For the Fiscal Quarter Ended December 26, 2024

Net sales of $1,107.4 million increased 5.7% from $1,048.1 million in the fourth quarter of fiscal 2023.

Comparable store sales decreased 0.8%.

We opened 10 new warehouse stores, ending the quarter with 251 warehouse stores and five design studios.

Operating income of $59.2 million increased 28.3% from $46.2 million in the fourth quarter of fiscal 2023. Operating income in the fourth quarter of fiscal 2024 included a $6.8 million benefit from net proceeds related to a derivative litigation settlement. Operating margin of 5.4% increased 100 basis points from the fourth quarter of fiscal 2023.

Net income of $47.5 million increased 28.1% from $37.1 million in the fourth quarter of fiscal 2023. Diluted earnings per share (“EPS”) of $0.44 increased 29.4% from $0.34 in the fourth quarter of fiscal 2023. Diluted EPS in the fourth quarter of fiscal 2024 included a $0.05 benefit from net proceeds related to the derivative litigation settlement.

Adjusted EBITDA* of $119.8 million increased 11.1% from $107.8 million in the fourth quarter of fiscal 2023.

For the Fiscal Year Ended December 26, 2024

Net sales of $4,455.8 million increased 0.9% from $4,413.9 million in fiscal 2023.

Comparable store sales decreased 7.1%.

We opened 30 new warehouse stores.

Operating income of $256.2 million decreased 20.3% from $321.4 million in fiscal 2023. Operating income in fiscal 2024 included a $6.8 million benefit from net proceeds related to the derivative litigation settlement. Operating margin of 5.8% decreased 150 basis points from fiscal 2023.

Net income of $205.9 million decreased 16.3% from $246.0 million in fiscal 2023. Diluted EPS of $1.90 decreased 16.7% from $2.28 in fiscal 2023. Diluted EPS in fiscal 2024 included a $0.05 benefit from net proceeds related to the derivative litigation settlement.

Adjusted EBITDA* of $512.5 million decreased 7.0% from $551.1 million in fiscal 2023.

*Non-GAAP financial measure. Please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below for more information.

Fiscal 2025 Guidance:

Net sales of approximately $4,740 million to $4,900 million

Comparable store sales of approximately flat to 3.0%

Diluted EPS of approximately $1.80 to $2.10

Adjusted EBITDA* of approximately $540 million to $575 million

Depreciation and amortization expense of approximately $245 million

Interest expense, net of approximately $3 million

Tax rate of approximately 21% to 22%

Diluted weighted average shares outstanding of approximately 109 million shares

Open 25 new warehouse stores

Capital expenditures of approximately $330 million to $400 million

*Non-GAAP financial measure. Please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below for more information.

Conference Call Details
A recorded replay of the conference call is expected to be available approximately three hours after the conclusion of the call and can be accessed both online at ir.flooranddecor.com and by dialing 844-512-2921 (international callers please dial 412-317-6671). The pin number to access the telephone replay is 13750991. The replay will be available until February 27, 2025.