Steelcase Reports Mixed Revenue, Improved Profitability in Q2 2025

Steelcase Inc. reported its financial results for the three and six months ended August 23, 2024, showing a mixed performance in revenue and significant improvements in profitability compared to the previous fiscal period.

For the three months ended August 23, 2024, Steelcase generated revenue of $855.8 million, a slight increase from $854.6 million in the same period last year. However, for the six months, revenue decreased to $1,583.1 million from $1,606.5 million. The Americas segment contributed $688.0 million in Q2 2025, reflecting a 3% increase, while International revenue declined by 4% to $167.8 million.

Gross profit for the three months rose to $295.4 million, up from $283.4 million, while for the six months, it increased to $529.8 million from $518.0 million. Operating income saw a substantial rise, reaching $90.0 million for the three months compared to $41.0 million in the prior year, and $107.6 million for the six months, up from $48.3 million. This increase was attributed to a $27.9 million gain on the sale of land and improved gross margins.

Net income for the three months ended August 23, 2024, was $63.1 million, significantly higher than $27.5 million in the same quarter last year. For the six months, net income rose to $74.0 million from $29.0 million. Basic earnings per share for the three months increased to $0.53 from $0.23, and for the six months, it rose to $0.63 from $0.24.

Steelcase's total current assets increased to $1,000.5 million as of August 23, 2024, from $959.4 million in February 2024. However, cash and cash equivalents decreased to $296.6 million from $318.6 million. The company reported total liabilities of $1,338.1 million, down from $1,349.6 million, and total shareholders’ equity rose to $933.0 million from $887.1 million.

Strategically, Steelcase initiated restructuring actions, including the closure of a regional distribution center in EMEA, resulting in approximately 20 involuntary terminations, and approximately 100 position terminations in the Americas. The expected restructuring costs are around $3 million. The company also repurchased 2,401,082 shares of Class A common stock during the year-to-date 2025, compared to 429,990 shares in the previous year.

Overall, while Steelcase faced a decline in revenue for the six-month period, it achieved notable improvements in profitability and continued to execute strategic restructuring initiatives.