Floor & Decor Holdings Reports Mixed Financial Results for 13 and 39 Weeks Ended September 26, 2024

Floor & Decor Holdings, Inc. reported its financial results for the thirteen and thirty-nine weeks ended September 26, 2024, reflecting mixed performance compared to the previous fiscal period.

For the thirteen weeks, net sales reached $1,117.9 million, a slight increase of $10.1 million or 0.9% from $1,107.8 million in the same period last year. However, for the thirty-nine weeks, net sales decreased by $17.4 million or 0.5%, totaling $3,348.4 million compared to $3,365.8 million in the prior year. The increase in sales for the quarter was attributed to contributions from 34 new warehouse-format stores and growth in the Spartan product line, despite a 6.4% decline in comparable store sales.

Gross profit for the thirteen weeks ended September 26, 2024, was $485.9 million, up 3.9% from $467.5 million, resulting in a gross margin improvement to 43.5% from 42.2%. For the thirty-nine weeks, gross profit increased by 2.2% to $1,446.9 million, with a gross margin of 43.2%, up from 42.1%.

Operating income for the thirteen weeks fell to $66.3 million, a decrease of 21.8% from $84.8 million, while for the thirty-nine weeks, it dropped 28.4% to $197.0 million from $275.3 million. This decline was primarily due to increased selling and store operating expenses, which rose by 9.9% for the thirty-nine weeks, totaling $1,014.9 million, driven by costs associated with new store openings and increased operational expenses.

Net income for the thirteen weeks was $51.7 million, down 21.6% from $65.9 million, and for the thirty-nine weeks, it decreased by 24.2% to $158.4 million from $208.9 million. Basic earnings per share for the quarter were $0.48, compared to $0.62 in the prior year, while for the thirty-nine weeks, it was $1.48, down from $1.97.

The company maintained a strong liquidity position with unrestricted liquidity of $803.1 million as of September 26, 2024, consisting of $180.8 million in cash and $622.3 million available under its Asset-Based Lending (ABL) Facility. Total capital expenditures planned for fiscal 2024 are between $360 million to $390 million, primarily for new store openings and remodeling projects.

Floor & Decor continues to focus on strategic investments in innovative products and enhancing the in-store shopping experience, with a commitment to serving professional customers through increased resources and staffing. The company operates 241 warehouse-format stores across 38 states as of the reporting date.