Wednesday, 25 July, 2018
HNI, parent company of HON office furniture brand, reported improved sales and better than expected results for Q2 2018.
After issuing a profit warning last year due to disappointing sales, the company has seen a stronger performance this quarter as investments made in product, selling, and fulfilment capabilities begin to pay dividends.
Office furniture sales increased 7.8% on an organic basis to $423.9 million, driven by increases in the supplies-driven North American contract and international business. However, this was partially offset by the impact of closing and divesting small office furniture companies, which decreased sales by $13.2 million compared to the same period last year. Meanwhile, adjusted operating profit fell by 18% to $20.9 million.