Mohawk announces Q2 data, releases Impact Report

Mohawk Industries has announced second quarter 2025 net earnings of $147m (£108.7m) and earnings per share (“EPS”) of $2.34 (£1.73); adjusted net earnings were $173m (£127.96), and adjusted EPS was $2.77 (£2.05). Net sales for the second quarter of 2025 were $2.8bn (£2.07bn), essentially flat as reported and a decrease of 0.8% adjusted for constant days and exchange rates versus the prior year. During the second quarter of 2024, the company reported net sales of $2.8bn (£2.07bn), net earnings of $157m (£116.1m) and earnings per share of $2.46 (£1.82); adjusted net earnings were $192m (£142m), and adjusted EPS was $3.00 (£2.22).

Chairman and CEO Jeff Lorberbaum said: “In challenging conditions across our regions, our results reflect the impact of our ongoing operational improvements, cost containment actions and market development initiatives. Our premium residential and commercial products and new collections introduced during the past 24 months benefited our performance. Our restructuring actions are on schedule and delivering the expected savings as we have closed high-cost operations, eliminated inefficient assets, streamlined distribution and leveraged technology to improve our administrative and operational costs. Our global operations teams continue to identify productivity initiatives to lower our costs through enhancements to equipment, conserving energy, optimising our supply chain and re-engineering products. Our industry faced continued pricing pressure from lower market volumes, which we are mitigating through strengthening product and channel mix.

During the second quarter, we generated approximately $125m of free cash flow, and we purchased approximately 393,000 shares of our stock for approximately $42m. Our board of directors recently approved a new authorisation to acquire $500m of the company’s outstanding common stock. We are confident in our strategies to deliver long-term profitable growth as the industry recovers from this cyclical downturn.

Lorberbaum concluded: “Historically, down cycles in our industry are followed by several years of sales growth from pent up demand. During the past three years, we have made targeted investments to improve our operational performance, cost position and product features. Through these actions, we are strategically positioned to respond to today’s challenges and capitalise on opportunities as the industry recovers.”