Tempur Sealy Beats Earnings Expectations Despite Inflationary Pressures
Company Reports Strong Revenue Growth and Improved Margins
Highlights:
* Net sales increased by 7.4% to $1.3 billion, driven by higher sales of Tempur-Pedic and Sealy products * Adjusted EBITDA increased by 10.5% to $287.9 million * Adjusted net income increased by 13.6% to $189.7 million * Diluted EPS increased by 15.4% to $1.81Tempur Sealy International, Inc. (NYSE: TPX), a leading manufacturer and marketer of mattresses, pillows, and other sleep products, today reported financial results for the third quarter and nine months ended September 30, 2024.
The company reported net sales of $1.3 billion for the third quarter, an increase of 7.4% compared to the same period last year. The increase was driven by higher sales of Tempur-Pedic and Sealy products, which more than offset a decline in sales of Stearns & Foster products.
Adjusted EBITDA for the third quarter increased by 10.5% to $287.9 million, primarily due to higher sales and improved margins. Adjusted net income increased by 13.6% to $189.7 million, and diluted EPS increased by 15.4% to $1.81.
For the nine months ended September 30, 2024, Tempur Sealy reported net sales of $3.7 billion, an increase of 6.8% compared to the same period last year. Adjusted EBITDA increased by 9.5% to $823.5 million, and adjusted net income increased by 12.3% to $554.2 million. Diluted EPS increased by 14.2% to $5.34.
"We are pleased with our strong financial performance in the third quarter and year-to-date," said Scott Thompson, President and CEO of Tempur Sealy. "Our results reflect the continued strength of our brands, our focus on innovation, and our commitment to operational excellence. We are confident that we are well-positioned to continue to drive growth and profitability in the future."
Tempur Sealy's financial results were released after the market closed today. The company will host a conference call to discuss its results at 8:30 AM ET on Thursday, November 9, 2024.
