Flexsteel
Flexsteel's revenue rose 4.1% to $459 million in fiscal 2026. Its operating margin was 9.3%, up from 6.0% a year earlier. Free cash flow was $48 million, up 41.1%. It paid out $4 million in dividends and buybacks, 9% of free cash flow. The diluted share count fell 3.9%.
Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on equity is net income as a share of shareholders' equity. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.
Charts show fiscal years, from the 10-K filings.
What Flexsteel does
Flexsteel designs, makes, imports and sells furniture for the home. Its products include stationary and motion sofas, loveseats, chairs and sectionals, plus bedroom furniture, dining tables and chairs, occasional and entertainment tables, and kitchen storage. It sells under the Flexsteel name and several sub-brands: Zecliner, Statements, Zen, Perfect Match and Pulse.
The company reports one segment, furniture products. It sells through retail partners and online channels across the U.S. It makes some products at its own plants in Mexico and buys finished products from suppliers outside the U.S., which lets it offer both made-to-order and ready-to-deliver items at a range of prices. It has export sales, but says they are minimal.
Flexsteel says the furniture industry is highly competitive, with many U.S. and foreign makers and distributors, none of which dominate it, and that some competitors have much higher sales. It points to its patented Blue Steel Spring, a coil design, as one of its strengths. At the end of fiscal 2026 it had about 1,200 employees, around 900 of them in Mexico.
Its biggest risks, as it describes them
- Tariffs and other changes in U.S. trade policy that raise the cost of imported products.
- Inflation, shipping costs and currency swings that cut into profit.
- Customers can put off furniture purchases when the economy is weak.
- Managing a global supply chain of Mexican plants and offshore suppliers.
- Failing to keep up with changing consumer and designer tastes.
Income statement
From fiscal 2017 to 2026, earnings per share grew 8.1% a year and net income 3.7% a year, as the share count fell by 30%.
Returns on capital
Balance sheet
Five years at a glance
| Fiscal year end | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Cash and short-term investments | 2 | 3 | 5 | 40 | 17 |
| Debt incl. finance leases | — | — | — | — | — |
| Net debt (negative means net cash) | — | — | — | — | — |
| Net debt to EBITDA | — | — | — | — | — |
| Debt to equity | — | — | — | — | — |
| Interest coverage | 7.9x | 7.9x | 11.0x | 380.2x | 1,934.1x |
| Current ratio | 2.9x | 3.1x | 2.6x | 2.8x | 2.1x |
| Quick ratio | 0.8x | 0.9x | 1.0x | 1.3x | 0.9x |
Cash flow
Projections
Project Flexsteel's revenue, net income and earnings per share five years ahead in a bull, a base and a bear case with your own figures, and see the share prices your P/E estimates give them, or value it with a discounted cash flow model. Every projected figure is yours: it is not a forecast of ours.
Insider trades
No officer, director or 10% owner of Flexsteel reported buying or selling its shares on the open market between November 7, 2025 and November 6, 2026.
Indicators
Four widely used measures, worked out from the company's filings. The cutoffs are the ones their authors or users go by, not a verdict of ours.
| Indicator | FY24 | FY25 | FY26 |
|---|---|---|---|
| Piotroski F-score | — | — | — |
| Rule of 40 | 11.4% | 14.5% | 14.5% |
| Altman Z'' | 6.03 | 6.93 | 7.24 |
| Accruals ratio | −7.6% | −6.0% | −6.9% |
The nine F-score tests
| Test | FY24 | FY25 | FY26 |
|---|---|---|---|
| Net income is positive | Pass | Pass | Pass |
| Cash from operations is positive | Pass | Pass | Pass |
| Return on assets rose | Fail | Pass | Pass |
| Cash from operations exceeds net income | Pass | Pass | Pass |
| Debt fell relative to assets | — | — | — |
| Current ratio rose | Fail | Pass | Fail |
| Share count didn't rise | Fail | Fail | Pass |
| Gross margin rose | Pass | Pass | Pass |
| Revenue rose relative to assets | Fail | Pass | Pass |
| F-score | — | — | — |
Compare
Put Flexsteel side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.
Similar companies
| Company | Year | Revenue growth | Operating margin | Free cash flow margin | Return on capital | Net debt to EBITDA | F-score | Compare |
|---|---|---|---|---|---|---|---|---|
| Flexsteel | FY26 | 4.1% | 9.3% | 10.4% | — | — | — | |
| Ethan Allen | FY26 | −5.7% | 7.8% | 7.2% | 9.8% | −2.2x | 6 | Compare |
| La-Z-Boy | FY26 | 0.8% | 6.1% | 6.0% | 13.1% | −1.7x | 7 | Compare |
| Leggett & Platt | FY25 | −7.5% | — | 6.9% | — | — | — | Compare |
| Somnigroup International | FY25 | 51.6% | 10.1% | 8.5% | 11.7% | 4.4x | 6 | Compare |
10 years of figures
| Fiscal year | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|---|---|---|---|---|
| Income statement | ||||||||||
| Revenue | 469 | 489 | 444 | 367 | 479 | 544 | 394 | 413 | 441 | 459 |
| Revenue growth | −6.3% | 4.4% | −9.3% | −17.3% | 30.5% | 13.7% | −27.7% | 4.8% | 6.9% | 4.1% |
| Gross profit | 109 | 98 | 70 | 53 | 97 | 73 | 71 | 87 | 98 | 113 |
| Research and development | 4 | 4 | 4 | 4 | 2 | 3 | 2 | 2 | 2 | 3 |
| Operating income | 37 | 24 | −43 | −34 | 31 | 7 | 10 | 17 | 27 | 42 |
| Net income | 24 | 18 | −33 | −27 | 23 | 2 | 15 | 10 | 20 | 33 |
| Diluted EPS (US$) | 3.02 | 2.23 | −4.13 | −3.37 | 3.09 | 0.28 | 2.74 | 1.91 | 3.55 | 6.07 |
| Diluted shares (millions) | 8 | 8 | 8 | 8 | 8 | 6 | 5 | 6 | 6 | 6 |
| Cash flow | ||||||||||
| Cash from operations | 26 | 27 | 7 | 18 | −33 | 8 | 23 | 32 | 37 | 52 |
| Capital expenditure | 14 | 29 | 21 | 4 | 3 | 4 | 5 | 5 | 3 | 4 |
| Free cash flow | 13 | −2 | −15 | 15 | −35 | 4 | 18 | 27 | 34 | 48 |
| Dividends paid | 6 | 7 | 7 | 7 | 3 | 4 | 3 | 3 | 4 | 4 |
| Share buybacks | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock-based compensation | 2 | 0 | 1 | 5 | 4 | 1 | 3 | 5 | 4 | 5 |
| Balance sheet at fiscal year end | ||||||||||
| Cash and short-term investments | 29 | 28 | 22 | 48 | 1 | 2 | 3 | 5 | 40 | 17 |
| Debt incl. finance leases | — | — | — | — | — | — | — | — | — | — |
| Total assets | 270 | 284 | 254 | 237 | 297 | 269 | 291 | 274 | 282 | 254 |
| Total liabilities | 39 | 43 | 49 | 62 | 129 | 137 | 149 | 124 | 115 | 120 |
| Shareholders' equity | 231 | 242 | 205 | 176 | 168 | 132 | 142 | 150 | 168 | 134 |
| Margins and ratios | ||||||||||
| Gross margin | 23.2% | 20.1% | 15.8% | 14.5% | 20.2% | 13.3% | 18.0% | 21.1% | 22.2% | 24.7% |
| Operating margin | 8.0% | 5.0% | −9.7% | −9.4% | 6.5% | 1.2% | 2.7% | 4.1% | 6.0% | 9.3% |
| Net margin | 5.1% | 3.6% | −7.3% | −7.3% | 4.8% | 0.3% | 3.8% | 2.5% | 4.6% | 7.2% |
| Free cash flow margin | 2.8% | −0.4% | −3.3% | 4.0% | −7.4% | 0.8% | 4.6% | 6.6% | 7.7% | 10.4% |
| Rule of 40 (growth + FCF margin) | −3.5% | 3.9% | −12.6% | −13.3% | 23.2% | 14.4% | −23.0% | 11.4% | 14.5% | 14.5% |
| Return on capital | — | — | — | — | — | — | — | — | — | — |
| Return on equity | 10.8% | 7.5% | −14.6% | −14.1% | 13.4% | 1.2% | 10.8% | 7.2% | 12.7% | 22.0% |
| Return on assets | 9.2% | 6.4% | −12.1% | −10.9% | 8.6% | 0.7% | 5.3% | 3.7% | 7.2% | 12.3% |
| Net debt to EBITDA | — | — | — | — | — | — | — | — | — | — |