Floor & Decor Reports Mixed Fiscal 2024 Results

Floor & Decor Holdings ( (FND) ) has released its Q4 earnings. Here is a breakdown of the information Floor & Decor Holdings presented to its investors.

Floor & Decor Holdings, Inc. is a multi-channel specialty retailer focused on hard surface flooring and related accessories, operating across 38 states with a network of warehouse-format stores and design studios. The company recently announced its financial results for the fourth quarter and fiscal year of 2024, showcasing a mixed performance in sales and earnings.

In the fourth quarter of fiscal 2024, Floor & Decor reported net sales of $1,107.4 million, marking a 5.7% increase compared to the same period in the previous year. Despite the growth in sales, comparable store sales saw a slight decline of 0.8%. The company successfully opened 10 new warehouse stores, bringing its total to 251. Notably, diluted earnings per share reached $0.44, reflecting a 29.4% increase from the previous year, partially aided by a derivative litigation settlement.

For the full fiscal year 2024, net sales increased modestly by 0.9%, reaching $4,455.8 million. However, the company faced a 7.1% decrease in comparable store sales and a notable decline in operating income by 20.3%. The year ended with 30 new store openings, aligning with previous expectations. Adjusted EBITDA declined by 7%, highlighting challenges in earnings amidst economic headwinds.

Looking forward, Floor & Decor aims to continue its expansion with plans to open 25 new stores in fiscal 2025. The company projects net sales between $4,740 million and $4,900 million, with a flat to 3.0% increase in comparable store sales. Management remains cautiously optimistic about unlocking further potential as industry conditions improve, maintaining a focus on strategic growth and operational efficiency.