Track market-moving stories before they get noisy

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

Leggett & Platt (LEG - Free Report) is a stock many investors are watching right now. LEG is currently sporting a Zacks Rank #2 (Buy) and an A for Value.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. LEG has a P/S ratio of 0.37. This compares to its industry's average P/S of 0.48.

Finally, our model also underscores that LEG has a P/CF ratio of 4.78. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. LEG's P/CF compares to its industry's average P/CF of 7.99. Over the past 52 weeks, LEG's P/CF has been as high as 61.65 and as low as 3.05, with a median of 4.80.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Leggett & Platt is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, LEG feels like a great value stock at the moment.

$HAREHOLDER ALERT: The M&A Class Action Firm Launches Legal Inquiry for the Merger--NCSM, GBTG, LEG, and LPSN PR Newswire

Reduces Complexity & Cost, Improves Performance, Supports Next-Gen Architectures

DETROIT, MI / ACCESS Newswire / June 16, 2026 / Leggett Dynamics today launched its Smart Brushless Motor, a next-generation motion system that simplifies design and vehicle integration, improves NVH and durability and supports evolving software architectures across seating and other motion-control applications.

Less Complexity, More Capability

Unlike conventional systems, Leggett Dynamics' Smart Brushless Motor can operate with or without a seat-level electronic control unit (ECU), enabling direct communication from the vehicle-level ECU to individual actuators. This streamlined approach supports the industry shift toward more centralized or zonal architectures and enables simplified, scalable integration across multiple seat configurations and trim levels with varying actuator counts.

In addition, the motor's design reduces packaging size, weight, and wiring complexity while enhancing sound, durability, and electromagnetic compatibility (EMC) performance.

Smarter Motion, Enhanced Comfort

For vehicle occupants, these engineering gains translate into a better in-cabin experience. The Smart Brushless Motor enables quieter operation, smoother seat adjustment, faster memory recall, and a wider range of motion. The result is precise, reliable comfort and motion that feels responsive and refined in everyday use.

"Leggett Dynamics' Smart Brushless Motor is about doing more with less: less components, less complexity, less weight and less noise while achieving more capability and more adaptability for manufacturers and more comfort and motion control for consumers," said Julien Rea, VP of Global Innovation & Engineering at Leggett Dynamics.

The Smart Brushless Motor enters the market as OEMs transition to software-defined vehicles, centralize architectures, and pursue simplified and commonized hardware across platforms paired with software-enabled updates. It also addresses growing demand for quiet, scalable systems across mixed propulsion portfolios, particularly in EVs, where cabin quietness makes motor noise more apparent.

Leggett Dynamics will showcase its brushless motor and other comfort and motion innovations at two upcoming industry events: The Automotive Engineering Expo in Nagoya, Japan (June 17-19, Booth 96) and Automotive Interiors Expo Europe in Stuttgart, Germany (June 23-25, Booth #3216).

About Leggett Dynamics
Leggett Dynamics is the brand representing the automotive businesses of Leggett & Platt, Incorporated. Under the Leggett Dynamics brand, these businesses deliver eMotion and Comfort solutions for automotive seating, liftgates, doors, sunroofs, and more. Leggett Dynamics businesses operate globally, with a footprint spanning 28 locations across 12 countries, and employing more than 6,200 people, with key locations in Detroit, Nuremberg, and Shanghai. As a strategic partner to more than 140 customers worldwide, Leggett Dynamics offers a Comfort Systems Platform (massage, lumbar, bolster and suspension), Motion Systems Platform (motors, actuators and latches), Software & Integration Platform, and Innovation Services, including advanced engineering co-development and human factors studies. Leggett Dynamics is a brand within Leggett & Platt, Inc. (NYSE:LEG), a manufacturer of residential, industrial, and furniture products that has been engineering comfort for over 140 years across the places where people sleep, work, live, and move.

Link to Press Kit: BLDC Launch

Media Contact:

Dawn K. Looney, APR
VP of Global Branding, Marketing & Communications
Leggett Dynamics
Email: [email protected]
Phone: +1.248.980.1248

Liwen Tao
Manager of AP Branding, Marketing & Communications
Leggett Dynamics
Email: [email protected]

SOURCE: Leggett Dynamics

Related Documents:

Leggett Dynamics Logo Julien Rea Headshot

-

Insiders may stand to receive substantial financial benefits not available to ordinary shareholders.

The proposed transaction may contain terms that could limit superior competing offers.

Shareholders are encouraged to contact the firm to discuss their rights and options at no cost or obligation. We would handle any matter on a contingent fee basis, whereby you would not be responsible for out-of-pocket payment of our legal fees or expenses.

NEW YORK--(BUSINESS WIRE)--Halper Sadeh LLC, an investor rights law firm, is investigating the sale of Leggett & Platt, Incorporated (NYSE: LEG) to Somnigroup International Inc. for 0.1455 shares of Somnigroup common stock for each share of Leggett & Platt common stock. Upon closing of the proposed transaction, Leggett & Platt shareholders will own approximately 9% of the combined company.

Halper Sadeh encourages Leggett & Platt shareholders to click here to learn more about their rights and options or contact Daniel Sadeh or Zachary Halper free of charge at (212) 763-0060 or [email protected] or [email protected].

The investigation concerns whether Leggett & Platt and its board of directors violated the federal securities laws and/or breached their fiduciary duties by failing to: (1) obtain the best possible price for Leggett & Platt shareholders; (2) conduct a fair sales process free of any conflicts of interests; and (3) disclose all material information for Leggett & Platt shareholders to evaluate the transaction.

On behalf of shareholders, Halper Sadeh LLC may seek increased consideration, additional disclosures, or other relief and benefits.

Halper Sadeh LLC represents investors all over the world who have fallen victim to securities fraud and corporate misconduct. Our attorneys have been instrumental in implementing corporate reforms and recovering millions of dollars on behalf of defrauded investors.

Attorney Advertising. Prior results do not guarantee a similar outcome.

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NEW YORK, April 13, 2026 (GLOBE NEWSWIRE) --

Class Action Attorney Juan Monteverde with Monteverde & Associates PC (the “M&A Class Action Firm”), has recovered millions of dollars for shareholders and is recognized as a Top 50 Firm in the 2025 ISS Securities Class Action Services Report. The firm is headquartered at the Empire State Building in New York City and is investigating Leggett & Platt, Incorporated (NYSE: LEG) related to its sale to Somnigroup International Inc. Under the terms of the proposed transaction, Leggett & Platt shareholders will receive 0.1455 shares of Somnigroup common stock for each share of Leggett & Platt common stock. Is it a fair deal?

Click here for more info https://monteverdelaw.com/case/leggett-platt-incorporated/. It is free and there is no cost or obligation to you.

NOT ALL LAW FIRMS ARE EQUAL. Before you hire a law firm, you should talk to a lawyer and ask:

Do you file class actions and go to Court?When was the last time you recovered money for shareholders?What cases did you recover money in and how much? About Monteverde & Associates PC

Our firm litigates and has recovered money for shareholders…and we do it from our offices in the Empire State Building. We are a national class action securities firm with a successful track record in trial and appellate courts, including the U.S. Supreme Court. 

No one is above the law. If you own common stock in the above listed company and have concerns or wish to obtain additional information free of charge, please visit our website or contact Juan Monteverde, Esq. either via e-mail at [email protected] or by telephone at (212) 971-1341.

Contact:
Juan Monteverde, Esq.
MONTEVERDE & ASSOCIATES PC
The Empire State Building
350 Fifth Ave. Suite 4740
New York, NY 10118
United States of America
[email protected]
Tel: (212) 971-1341

Attorney Advertising. (C) 2026 Monteverde & Associates PC. The law firm responsible for this advertisement is Monteverde & Associates PC (www.monteverdelaw.com).  Prior results do not guarantee a similar outcome with respect to any future matter.

© GeorgeRudy / iStock via Getty Images

Dividend investors have watched reliable income streams come under pressure lately as inflation, softer demand, and balance-sheet strain force tough choices even at established payout growers. In 2024 alone, three former Dividend Kings — Walgreens Boots Alliance, Leggett & Platt (NYSE:LEG), and 3M (NYSE:MMM | MMM Price Prediction) slashed their dividends. 

Walgreens later accepted a buyout from private-equity firm Sycamore Partners — completed last August –and now Leggett & Platt has taken a similar step: it agreed today to be acquired by Somnigroup International (NYSE:SGI) in a $2.5 billion all-stock transaction. The deal, announced this morning, lets Leggett shareholders trade their shares for 0.1455 shares of Somnigroup stock and own about 9% of the combined company.

What Separates Dividend Kings from the Pack A Dividend King earns its crown by raising its annual payout for at least 50 consecutive years. The bar is high because it demands steady cash flow, disciplined capital allocation, and a board committed to shareholders year after year. Leggett & Platt held that title with 52 straight years of increases before 2024. That streak signaled a company that consistently generated enough free cash to reward owners without overextending.

Simply put, though, the crown is no guarantee of permanence. High yields can mask trouble when earnings weaken. Leggett’s payout ratio had climbed above 128% heading into its cut, and when cash generation lags, even kings must choose between preserving the dividend or protecting the balance sheet. Investors learned this the hard way in 2024 when three longtime payers trimmed payouts to free up capital.

Why Leggett & Platt Cut Its Dividend Almost exactly two years ago, Leggett & Platt reported first-quarter sales of $1.1 billion, down 10% year-over-year, with adjusted EPS falling to $0.23 from $0.39. The board responded by slashing the quarterly dividend 89% — from $0.46 to $0.05 per share (where it stands today) — for Q2 2024. Full-year 2024 dividends dropped to $0.61 per share from $1.82 the prior year, as management directed the savings toward deleveraging; net debt stood at 3.61 times trailing adjusted EBITDA at the time.

That decision mirrored challenges at Walgreens Boots Alliance and 3M, where similar margin squeezes and debt loads forced cuts. Leggett’s 2024 trade sales totaled $4.384 billion, down from $4.725 billion in 2023. Bedding and furniture components — the heart of its business — faced weaker demand. The cut, though, freed roughly $110 million annually that had been earmarked for dividends, helping reduce net leverage to 2.4 times adjusted EBITDA by December 31, 2025.

The Somnigroup Buyout: Strategic Fit with Real Upside Today’s agreement pairs Leggett & Platt with its largest customer. Somnigroup, the world’s leading bedding company formed from Tempur Sealy International’s purchase of Mattress Firm, buys Leggett in an all-stock deal valued at $2.5 billion based on Somnigroup’s closing price on April 10. Shareholders receive 0.1455 Somnigroup shares per Leggett share on a tax-deferred basis. The combined entity projects 2025 net sales of $11.2 billion, adjusted EBITDA of $1.7 billion, and operating cash flow of $1.1 billion.

Somnigroup expects $50 million in annual run-rate cost synergies from sourcing, operations, and product innovation — $10 million in the first year — fully realized within three years. Leggett & Platt will operate as a separate business unit, preserving its 140-year track record of innovation while gaining vertical-integration benefits. Somnigroup already accounted for 7% of Leggett’s 2025 sales.

Key Takeaway Dividend Kings command respect, but 2024 proved the title alone does not protect payouts or stock prices. Leggett & Platt’s 89% cut and today’s buyout show how quickly conditions can change. However, shareholders now gain exposure to a larger, vertically integrated player with stronger cash flow and $50 million in identified synergies. The deal closes by the end of 2026. 

Regardless of how you look at it, the clearest lesson is this: diversify income sources and watch payout ratios closely. Kings can lose their crowns, but smart investors can still turn the transition into an opportunity.

-

NEW YORK & NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana Charles C. Foti, Jr., Esq. and the law firm of Kahn Swick & Foti, LLC (“KSF”) are investigating the proposed sale of Leggett & Platt, Incorporated (NYSE: LEG) to Somnigroup International Inc. (NYSE: SGI). Under the terms of the proposed transaction, shareholders of Leggett will receive 0.1455 shares of Somnigroup common stock for each share of Leggett & Platt that they own. KSF is seeking to determine whether this consideration and the process that led to it are adequate, or whether the consideration undervalues the Company.

If you believe that this transaction undervalues the Company and/or if you would like to discuss your legal rights regarding the proposed sale, you may, without obligation or cost to you, e-mail or call KSF Managing Partner Lewis S. Kahn ([email protected]) toll free at any time at 855-768-1857, or visit https://www.ksfcounsel.com/cases/nyse-leg/ to learn more.

To learn more about KSF, whose partners include the Former Louisiana Attorney General, visit www.ksfcounsel.com.

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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

Leggett & Platt (LEG - Free Report) is a stock many investors are watching right now. LEG is currently sporting a Zacks Rank #2 (Buy), as well as a Value grade of A.

Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. LEG has a P/S ratio of 0.39. This compares to its industry's average P/S of 0.4.

Finally, investors should note that LEG has a P/CF ratio of 4.78. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. LEG's P/CF compares to its industry's average P/CF of 7.42. Over the past year, LEG's P/CF has been as high as 61.65 and as low as 3.05, with a median of 4.80.

Value investors will likely look at more than just these metrics, but the above data helps show that Leggett & Platt is likely undervalued currently. And when considering the strength of its earnings outlook, LEG sticks out as one of the market's strongest value stocks.

April 23, 2026 09:00 ET  | Source: Leggett & Platt, Incorporated

Carthage, MO, April 23, 2026 (GLOBE NEWSWIRE) --  Leggett & Platt (NYSE:LEG), a diversified manufacturer of engineered products serving several major markets, will release first quarter earnings results on Thursday, May 7, 2026 before the market opens.

The Company will not host a call in connection with the earnings release. 

The earnings release will be available on the Investor Relations section of our website.

COMPANY DESCRIPTION: Leggett & Platt (NYSE: LEG) is a diversified manufacturer that designs and produces a broad variety of engineered components and products that can be found in many homes and automobiles. The 143-year-old Company is a leading supplier of bedding components and solutions; automotive seat comfort and convenience systems; home and work furniture components; geo components; flooring underlayment; hydraulic cylinders for material handling and heavy construction applications.

INVESTOR CONTACTS:  
Ryan Kleiboeker, Executive Vice President
(417) 358-8131
[email protected]

, /PRNewswire/ --

1Q sales of $918 million, a 10% decrease vs 1Q25, including a 5% decrease from divestitures 1Q EPS of $.14, 1Q adjusted1 EPS of $.15, a $.09 decrease vs adjusted1 1Q25 EPS Withdrawing previously issued 2026 guidance due to the pending acquisition by Somnigroup International President and CEO Karl Glassman commented, "In aggregate, first quarter sales were in line with our expectations, and restructuring actions implemented over the past two years continued to deliver EBIT benefits, reflecting continued progress in structurally improving our earnings profile.

"At the same time, first quarter results reflected lower market demand across most of our businesses compared to the prior year, particularly in residential end markets. Demand in our domestic bedding business was lower than anticipated, as the overall health of the U.S. industry remains challenged across both manufacturers and retailers due to continued weakness in consumer activity. Market conditions were stable early in the quarter, and the President's Day promotional period generally met expectations. As the quarter progressed, however, weather-related closures, economic uncertainty, and lower consumer sentiment driven by the war in Iran weighed on demand. As a result, we believe the U.S. mattress market declined by high single to low double digits in the first quarter.

"In addition to weak demand, our teams navigated a dynamic global environment related to the war in Iran, which drove higher transportation costs and increased transit times late in the quarter, as well as higher chemical prices that will begin to impact our costs in the second quarter. The combination of lower volume and continued cost pressures – most notably in our Furniture, Flooring & Textile Products segment – resulted in lower margins. We are mitigating these pressures through product and sourcing actions and by passing through price increases where appropriate.  

"Despite these macroeconomic challenges and disruptions, we remain focused on our long-term priorities. As previously announced, we signed a merger agreement with Somnigroup, a valued long–standing customer and partner, that provides Leggett & Platt shareholders with an opportunity to participate in the future growth and value creation of a leading global company. For more than 140 years, Leggett & Platt has been defined by innovation, quality, and strong customer partnerships. We believe this combination positions us well to continue delivering compelling strategic and financial value for our customers, employees and shareholders."

FIRST QUARTER RESULTS

First quarter sales were $918 million, a 10% decrease versus first quarter last year

2025 divestitures decreased sales 5% Organic sales2 were down 5% Volume was down 9%, primarily from continued weak demand across most of our end markets and retailer merchandising changes in Adjustable Bed Raw material-related selling price increases added 2% to sales Currency benefit increased sales 2% First quarter EBIT was $45 million, down from $63 million in first quarter 2025. Adjusted1 EBIT was $43 million, down from first quarter 2025 adjusted1 EBIT of $67 million.

Adjusted1 EBIT decreased primarily from lower volume, earnings associated with the divested Aerospace business, and continued margin compression in our Flooring business driven by higher costs combined with pricing pressure resulting from the soft demand environment, partially offset by metal margin expansion in trade rod. Additionally, higher stock-based compensation expense and an increase in bad debt reserves related to Bedding customers contributed to the year-over-year decline. EBIT margin was 4.8%, down from 6.2% in the first quarter of 2025, and adjusted1 EBIT margin was 4.7%, down from 6.5%.

First quarter EPS was $.14, an $.08 decrease versus first quarter 2025 EPS of $.22. First quarter adjusted1 EPS was $.15, down $.09 versus first quarter 2025 adjusted1 EPS of $.24.

First Quarter Results 1

EBIT (millions)

EPS

Bedding

Specialized

FF&T

Other

Total

1Q26

1Q25

1Q26

1Q25

1Q26

1Q25

1Q26

1Q25

1Q26

1Q25

1Q26

1Q25

Reported results

$26

$10

$18

$28

$4

$25

($3)

$—

$45

$63

$.14

$.22

Adjustment items:

Gain on sale of real
estate

(10)

—

—

—

—

(3)

—

—

(10)

(3)

(.05)

(.02)

Restructuring,
restructuring-related, and
impairment charges

5

3

—

3

<1

—

—

—

5

7

.03

.04

Somnigroup merger costs     

—

—

—

—

—

—

4

—

4

—

.03

—

Total adjustments

(5)

3

—

3

<1

(3)

4

—

(1)

4

.01

.02

Adjusted results

$21

$13

$18

$32

$5

$22

<$1

$—

$43

$67

$.15

$.24

1 Calculations impacted by rounding

DEBT AND CASH FLOW

Net Debt1 was 2.8x trailing 12-month adjusted EBITDA1 Debt at March 31 Total debt of $1.5 billion in three tranches of long-term bonds at $500 million each Operating cash flow was negative $56 million in the first quarter, a decrease of $63 million versus first quarter 2025, reflecting an expected larger use of working capital and lower earnings Capital expenditures were $24 million Dividends were $7 million In February, Leggett & Platt's Board of Directors declared a first quarter dividend of $.05 per share, flat versus last year's first quarter dividend SEGMENT RESULTS – First Quarter 2026 (versus 1Q 2025)

Bedding Products –

Trade sales decreased 7% Volume decreased 12%, primarily due to retailer merchandising changes in Adjustable Bed, volume softness in Specialty Foam, and the decision during the fourth quarter to walk away from a financially challenged customer in U.S. Spring. These declines were partially offset by higher trade rod and wire sales. Raw material-related selling price increases and currency benefit added 6% to sales 2025 divestiture of a small U.S. machinery business reduced sales 1% EBIT increased $16 million and adjusted1 EBIT increased $8 million Adjusted1 EBIT increased primarily from metal margin expansion in trade rod and restructuring benefit partially offset by lower volume We believe the U.S. mattress market was down high single to low double digits and domestic production was down high single digits in the first quarter Specialized Products –

Trade sales decreased 19% 2025 divestiture of Aerospace reduced sales 17% Volume decreased 5% from lower market demand Raw material-related selling price increases added 1% to sales Currency benefit increased sales 2% EBIT decreased $11 million and adjusted1 EBIT decreased $14 million Adjusted1 EBIT decreased primarily from earnings associated with the divested Aerospace business and lower volume Automotive volume outperformed major market production by ~1% in the quarter Furniture, Flooring & Textile Products –

Trade sales decreased 7% Volume decreased 7% from declines in Home Furniture, Flooring, and Textiles partially offset by growth in Work Furniture Raw material-related selling price increases and currency benefit increased sales 1% 2025 divestiture of a small facility in Work Furniture reduced sales 1% EBIT decreased $20 million and adjusted1 EBIT decreased $17 million Adjusted1 EBIT decreased primarily from lower volume impacts, margin compression in our Flooring business, currency impact, and start-up costs associated with a new Home Furniture facility in Vietnam 2026 GUIDANCE AND CONFERENCE CALL

On April 13, 2026, the Company entered into an agreement to be acquired by Somnigroup International Inc. (NYSE: SGI). The transaction is anticipated to close by year-end 2026, subject to customary closing conditions, including approval by Leggett & Platt's shareholders and receipt of applicable regulatory approvals. As is customary while a transaction is pending, Leggett & Platt's previously issued guidance for 2026 is not being updated in conjunction with this quarter's earnings release and should no longer be relied upon. Additionally, Leggett & Platt will not host a conference call. For further details on quarterly performance, please refer to Leggett & Platt's Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, which is expected to be filed today with the Securities and Exchange Commission.

1 Please refer to attached tables for Non-GAAP Reconciliations

2 Trade sales excluding acquisitions/divestitures in the last 12 months

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FOR MORE INFORMATION: Visit Leggett's website at www.leggett.com.

COMPANY DESCRIPTION: Leggett & Platt (NYSE: LEG) is a diversified manufacturer that designs and produces a broad variety of engineered components and products that can be found in many homes and automobiles. The 143-year-old Company is a leading supplier of bedding components and solutions; automotive seat comfort and convenience systems; home and work furniture components; geo components; flooring underlayment; and hydraulic cylinders for material handling and heavy construction applications.

FORWARD-LOOKING STATEMENTS: This press release contains "forward-looking statements," identified by words such as "expect," "anticipate," "estimate," or by the context in which they appear, including, but not limited to, the health of the U.S. bedding industry, consumer activity, EBIT benefit from restructuring activities, future growth and value creation as well as the delivery of compelling strategic and financial value for customers, employees and shareholders associated with the Somnigroup Merger (as defined below), and the closing of the Somnigroup Merger by year-end 2026 subject to customary closing conditions. Such statements are expressly qualified by cautionary statements described in this provision and reflect only the beliefs, expectations, and assumptions of Leggett at the time the statement is made. Because all forward-looking statements deal with the future, they are subject to risks, uncertainties and developments which might cause actual events or results to differ materially from those envisioned or reflected in any forward-looking statement. Moreover, we do not have, and do not undertake, any duty to update or revise any forward-looking statement to reflect events or circumstances after the date on which the statement was made. Some of these risks include: risks associated with the Agreement and Plan of Merger, dated April 13, 2026 (as may be amended from time to time, the "Somnigroup Merger Agreement"), by and among Somnigroup International Inc. ("Somnigroup"), Sparrow Unity Corporation, a Missouri corporation and a direct, wholly owned subsidiary of Somnigroup ("Merger Sub") and Leggett, pursuant to which, subject to the terms and conditions of the Somnigroup Merger Agreement, Merger Sub will merge with and into Leggett (the "Somnigroup Merger"), with Leggett surviving the Somnigroup Merger as a direct, wholly owned subsidiary of Somnigroup, including (i) Leggett's shareholders inability to determine the value of consideration to be received in a completed Somnigroup Merger because the exchange ratio is fixed and the market price of Somnigroup common stock will fluctuate; (ii) the completion of the Somnigroup Merger is subject to certain conditions that may not be satisfied or waived, including Leggett shareholder approval and certain governmental and regulatory approvals; (iii) an event, change or other circumstance could give rise to delays in completing the Somnigroup Merger or the termination of the Somnigroup Merger Agreement; (iv) Leggett's business relationships may be subject to disruption due to uncertainty associated with the Somnigroup Merger; (v) the diversion of management time from ongoing business operations and opportunities as a result of the Somnigroup Merger; (vi) failure to complete the Somnigroup Merger could negatively impact the share price and the future business and financial results of Leggett; (vii) potential litigation against the Company could result in substantial costs, an injunction preventing the completion of the Somnigroup Merger and/or a judgment resulting in the payment of damages; (viii) the Company will incur significant transaction and merger-related costs in connection with the Somnigroup Merger; and (ix) the possibility that the expected benefits of the Somnigroup Merger are not realized when expected or at all; impacts of the Iranian war; increased trade costs, including tariffs; regarding the 2024 and 2026 Restructuring Plans,  our ability to timely receive anticipated EBIT benefits, and  expected net cash from real estate sales, our ability to accurately forecast sales and earnings; the adverse impact on our sales, earnings, liquidity, margins, cash flow, costs, and financial condition caused by: global inflationary and deflationary impacts; the demand for our products and our customers' products; our manufacturing facilities' ability to obtain necessary raw materials, parts, and labor, and to ship finished products; the impairment of goodwill and long-lived assets; our ability to access the commercial paper market or borrow under our credit facility; supply chain shortages and disruptions; our ability to manage working capital; our ability to collect receivables; price and product competition; cost of raw materials, labor and energy; cash generation sufficient to pay our debts or the dividend; cash repatriation from foreign accounts; our ability to pass along cost increases through increased selling prices; conflict between China and Taiwan; our ability to maintain profit margins if customers change the quantity or mix of our products; political risks; tax audits and rates; foreign operating risks; cybersecurity incidents; customer losses and insolvencies; disruption to our steel rod mill and wire mills and other operations because of severe weather-related events, natural disaster, fire, explosion, terrorism, or governmental action; ability to develop innovative products; foreign currency fluctuation; anti-dumping duties on innersprings, steel wire rod and mattresses; data privacy; sustainability obligations; litigation risks; and risk factors in the "Forward-Looking Statements" and "Risk Factors" sections in Leggett's Form 10-K and subsequent Form 10-Qs. There may be other factors that may cause Leggett's actual results to differ materially from the forward-looking statements. Leggett does not undertake any obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.  

INVESTOR CONTACT: Investor Relations
Ryan M. Kleiboeker, Executive Vice President
(417) 358-8131 or [email protected]

LEGGETT & PLATT

Page 5 of 7

May 7, 2026

RESULTS OF OPERATIONS 

FIRST QUARTER

(In millions, except per share data)

2026

2025

Change

Trade sales 

$     918.2

$  1,022.1

(10) %

Cost of goods sold

747.5

832.1

   Gross profit 

170.7

190.0

(10) %

Selling & administrative expenses 

121.5

123.6

(2) %

Amortization

3.6

5.0

Other (income) expense, net

1.1

(1.5)

Earnings before interest and income taxes

44.5

62.9

(29) %

Net interest expense

12.6

17.8

Earnings before income taxes

31.9

45.1

Income taxes 

11.9

14.5

Net earnings

20.0

30.6

Less net income from noncontrolling interest

—

—

   Net Earnings (loss) Attributable to L&P

$       20.0

$       30.6

(35) %

Earnings (loss) per diluted share 

Net earnings (loss) per diluted share

$       0.14

$       0.22

(36) %

Shares outstanding

   Common stock (at end of period)

136.4

135.1

1.0 %

   Basic (average for period)

139.3

137.8

   Diluted (average for period)

141.0

138.6

1.7 %

CASH FLOW 

FIRST QUARTER

(In millions)

2026

2025

Change

Net earnings 

$       20.0

$       30.6

Depreciation and amortization

28.2

31.6

Working capital decrease (increase)

(118.2)

(64.2)

Impairments

2.8

0.3

Other operating activities

11.1

8.5

   Net Cash from Operating Activities

$      (56.1)

$         6.8

NM

Additions to PP&E

(24.3)

(13.3)

Proceeds from disposals of assets and businesses

14.3

5.6

Dividends paid

(6.8)

(6.7)

Repurchase of common stock, net

(3.4)

(2.0)

Additions (payments of) to debt, net

0.3

69.0

Other

(0.9)

3.0

   Increase (Decrease) in Cash & Equivalents

$      (76.9)

$       62.4

BALANCE SHEET

Mar 31,

Dec 31,

(In millions)

2026

2025

Change

Cash and equivalents 

$     510.5

$     587.4

Receivables 

520.2

475.9

Inventories 

663.3

622.6

Other current assets 

53.0

57.7

   Total current assets 

1,747.0

1,743.6

0 %

Net fixed assets 

658.4

664.0

Operating lease right-of-use assets

129.9

137.9

Goodwill

747.6

751.4

Intangible assets and deferred costs, both at net

236.2

239.5

   TOTAL ASSETS

$  3,519.1

$  3,536.4

— %

Trade accounts payable

$     467.9

$     466.6

Current debt maturities 

1.6

1.5

Current operating lease liabilities

50.0

51.5

Other current liabilities 

229.2

255.4

   Total current liabilities 

748.7

775.0

(3) %

Long-term debt

1,496.6

1,496.2

0 %

Operating lease liabilities

99.7

106.7

Deferred taxes and other liabilities 

134.4

135.9

Equity

1,039.7

1,022.6

2 %

   Total Capitalization 

2,770.4

2,761.4

0 %

   TOTAL LIABILITIES & EQUITY

$  3,519.1

$  3,536.4

— %

LEGGETT & PLATT

Page 6 of 7

May 7, 2026

SEGMENT RESULTS 1

FIRST QUARTER

(In millions)

2026

2025

Change

Bedding Products

Trade sales

$     364.9

$     390.7

(7) %

EBIT

25.7

9.6

168 %

EBIT margin

7.0 %

2.5 %

450 bps

2

Restructuring, restructuring-related, and impairment charges

4.7

3.4

Gain on sale of real estate

(9.5)

—

Adjusted EBIT 3

20.9

13.0

61 %

Adjusted EBIT margin 3

5.7 %

3.3 %

240 bps

Depreciation and amortization

12.4

13.0

Adjusted EBITDA

33.3

26.0

28 %

Adjusted EBITDA margin

9.1 %

6.7 %

240 bps

Specialized Products

Trade sales

$     244.1

$     300.1

(19) %

EBIT

17.7

28.4

(38) %

EBIT margin

7.3 %

9.5 %

 (220) bps 

Restructuring, restructuring-related, and impairment charges

—

3.4

Adjusted EBIT 3

17.7

31.8

(44) %

Adjusted EBIT margin 3

7.3 %

10.6 %

 (330) bps 

Depreciation and amortization

8.1

10.4

Adjusted EBITDA

25.8

42.2

(39) %

Adjusted EBITDA margin

10.6 %

14.1 %

 (350) bps 

Furniture, Flooring & Textile Products

Trade sales

$     309.2

$     331.3

(7) %

EBIT

4.4

24.8

(82) %

EBIT margin

1.4 %

7.5 %

 (610) bps 

Restructuring, restructuring-related, and impairment charges

0.2

0.1

Gain on sale of real estate

—

(3.2)

Adjusted EBIT 3

4.6

21.7

(79) %

Adjusted EBIT margin 3

1.5 %

6.5 %

 (500) bps 

Depreciation and amortization

4.3

4.9

Adjusted EBITDA

8.9

26.6

(67) %

Adjusted EBITDA margin

2.9 %

8.0 %

 (510) bps 

Total Company

Trade sales

$     918.2

$  1,022.1

(10) %

EBIT - segments

47.8

62.8

(24) %

Intersegment eliminations and other

(3.3)

0.1

EBIT

44.5

62.9

(29) %

EBIT margin

4.8 %

6.2 %

 (140) bps 

Restructuring, restructuring-related, and impairment charges

4.9

6.9

Gain on sale of real estate

(9.5)

(3.2)

Somnigroup merger costs

3.5

—

Adjusted EBIT 3

43.4

66.6

(35) %

Adjusted EBIT margin 3

4.7 %

6.5 %

 (180) bps 

Depreciation and amortization - segments

24.8

28.3

Depreciation and amortization - unallocated 4

3.4

3.3

Adjusted EBITDA

$       71.6

$       98.2

(27) %

Adjusted EBITDA margin

7.8 %

9.6 %

 (180) bps 

LAST SIX QUARTERS 

2024

2025

2026

Selected Figures (In Millions)

4Q

1Q

2Q

3Q

4Q

1Q

Trade sales

1,056.4

1,022.1

1,058.0

1,036.4

938.6

918.2

Sales growth (vs. prior year)

(5) %

(7) %

(6) %

(6) %

(11) %

(10) %

Volume growth (same locations vs. prior year)

(4) %

(5) %

(7) %

(6) %

(9) %

(9) %

Adjusted EBIT 3

55.6

66.6

75.6

72.8

47.9

43.4

Cash from operations

122.3

6.8

84.0

125.9

121.5

(56.1)

Adjusted EBITDA (trailing twelve months) 3

402.5

404.1

405.6

395.4

385.3

358.7

(Long-term debt + current maturities - cash and equivalents) / adj. EBITDA 3,5

3.76

3.77

3.51

2.62

2.36

2.75

Organic Sales (Vs. Prior Year) 6

4Q

1Q

2Q

3Q

4Q

1Q

Bedding Products

(6) %

(12) %

(10) %

(9) %

(10) %

(6) %

Specialized Products

(5) %

(5) %

(5) %

(2) %

(4) %

(2) %

Furniture, Flooring & Textile Products

(4) %

(1) %

(2) %

— %

(2) %

(6) %

     Overall 

(5) %

(7) %

(6) %

(4) %

(6) %

(5) %

1 Segment and overall company margins calculated on net trade sales.

2 bps = basis points; a unit of measure equal to 1/100th of 1%.

3 Refer to next page for non-GAAP reconciliations.

4 Consists primarily of depreciation of non-operating assets.

5 EBITDA based on trailing twelve months. 

6 Trade sales excluding sales attributable to acquisitions and divestitures consummated in the last 12 months.

LEGGETT & PLATT

Page 7 of 7

May 7, 2026

RECONCILIATION OF REPORTED (GAAP) TO ADJUSTED (Non-GAAP) FINANCIAL MEASURES 10

Non-GAAP Adjustments 7

2024

2025

2026

(In millions, except per share data)

4Q

1Q

2Q

3Q

4Q

1Q

Goodwill impairment

0.7

—

—

—

—

—

Gain on sale of Aerospace Products Group

—

—

—

(86.8)

(4.1)

—

Restructuring, restructuring-related, and impairment charges

15.5

6.9

3.6

4.1

21.6

4.9

Gain on sale of real estate

(4.3)

(3.2)

(18.4)

(2.5)

(5.0)

(9.5)

Net gain from insurance proceeds

—

—

—

(13.1)

(21.6)

—

Pension settlement

—

—

—

—

22.0

—

Somnigroup merger costs

—

—

—

—

3.4

3.5

Non-GAAP Adjustments (Pretax) 8

11.9

3.7

(14.8)

(98.3)

16.3

(1.1)

Income tax impact

(2.7)

(1.3)

3.6

9.0

(10.0)

1.9

Special tax item  9

5.4

—

—

2.3

—

—

Non-GAAP Adjustments (After Tax)

14.6

2.4

(11.2)

(87.0)

6.3

0.8

Diluted shares outstanding

138.2

138.6

139.6

140.2

140.4

141.0

EPS Impact of Non-GAAP Adjustments

0.11

0.02

(0.08)

(0.62)

0.04

0.01

Adjusted EBIT, EBITDA, Margin, and EPS 7

2024

2025

2026

(In millions, except per share data)

4Q

1Q

2Q

3Q

4Q

1Q

Trade sales

1,056.4

1,022.1

1,058.0

1,036.4

938.6

918.2

EBIT (earnings before interest and taxes)

43.7

62.9

90.4

171.1

31.6

44.5

Non-GAAP adjustments (pretax)

11.9

3.7

(14.8)

(98.3)

16.3

(1.1)

Adjusted EBIT

55.6

66.6

75.6

72.8

47.9

43.4

EBIT margin

4.1 %

6.2 %

8.5 %

16.5 %

3.4 %

4.8 %

Adjusted EBIT Margin

5.3 %

6.5 %

7.1 %

7.0 %

5.1 %

4.7 %

EBIT

43.7

62.9

90.4

171.1

31.6

44.5

Depreciation and amortization

34.1

31.6

29.7

29.4

31.7

28.2

EBITDA

77.8

94.5

120.1

200.5

63.3

72.7

Non-GAAP adjustments (pretax)

11.9

3.7

(14.8)

(98.3)

16.3

(1.1)

Adjusted EBITDA

89.7

98.2

105.3

102.2

79.6

71.6

EBITDA margin

7.4 %

9.2 %

11.4 %

19.3 %

6.7 %

7.9 %

Adjusted EBITDA Margin

8.5 %

9.6 %

10.0 %

9.9 %

8.5 %

7.8 %

Diluted EPS

0.10

0.22

0.38

0.91

0.18

0.14

EPS impact of non-GAAP adjustments

0.11

0.02

(0.08)

(0.62)

0.04

0.01

Adjusted EPS

0.21

0.24

0.30

0.29

0.22

0.15

Net Debt to Adjusted EBITDA 11

2024

2025

2026

(In millions, except ratios)

4Q

1Q

2Q

3Q

4Q

1Q

Total debt

1,864.1

1,936.4

1,793.5

1,497.2

1,497.7

1,498.2

Less: cash and equivalents

(350.2)

(412.6)

(368.8)

(460.7)

(587.4)

(510.5)

Net debt

1,513.9

1,523.8

1,424.7

1,036.5

910.3

987.7

Adjusted EBITDA, trailing 12 months

402.5

404.1

405.6

395.4

385.3

358.7

Net Debt / 12-month Adjusted EBITDA

3.76

3.77

3.51

2.62

2.36

2.75

Aerospace Products Group

2024

2025

2026

(In millions)

4Q

1Q

2Q

3Q

4Q

1Q

Net trade sales

52.2

53.0

50.6

28.6

—

—

EBIT

7.9

7.2

9.3

3.2

—

—

Depreciation and amortization

2.6

2.5

—

—

—

—

Net Earnings (assuming a 25% tax rate)

5.9

5.4

7.0

2.4

—

—

7 Management and investors use these measures as supplemental information to assess operational performance.

8 The non-GAAP adjustments are included in the following lines of the income statement:

2024

2025

2026

4Q

1Q

2Q

3Q

4Q

1Q

Cost of goods sold

8.7

0.5

—

1.7

1.4

1.2

Selling & administrative expenses 

4.5

1.7

—

—

3.6

3.5

Other (income) expense, net

(1.3)

1.5

(14.8)

(100.0)

11.3

(5.8)

Total Non-GAAP Adjustments (Pretax)

11.9

3.7

(14.8)

(98.3)

16.3

(1.1)

9 The special tax item of $2.3 in Q3 2025 is related to recent U.S. corporate income tax law changes, and the $5.4 in Q4 2024 is the deferred tax asset valuation allowance related to a 2022 acquisition in the Specialized Products segment.

10 Calculations impacted by rounding.

11 Management and investors use this ratio as supplemental information to assess ability to pay off debt.  These ratios are calculated differently than the Company's credit
    facility covenant ratio.

SOURCE Leggett & Platt Incorporated

Legget & Platt (LEG - Free Report) reported $918.2 million in revenue for the quarter ended March 2026, representing a year-over-year decline of 10.2%. EPS of $0.15 for the same period compares to $0.24 a year ago.

The reported revenue represents a surprise of -2.66% over the Zacks Consensus Estimate of $943.27 million. With the consensus EPS estimate being $0.26, the EPS surprise was -42.31%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Legget & Platt performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Trade sales- Furniture, Flooring and Textile Products: $309.2 million versus $328.53 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -6.7% change.Trade sales- Specialized Products: $244.1 million compared to the $245.86 million average estimate based on three analysts. The reported number represents a change of -18.7% year over year.Trade sales- Bedding Products: $364.9 million versus $368.89 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -6.6% change.EBIT- Bedding Products: $25.7 million versus $19.55 million estimated by two analysts on average.EBIT- Furniture, Flooring and Textile Products: $4.4 million versus the two-analyst average estimate of $19.95 million.EBIT- Specialized Products: $17.7 million versus the two-analyst average estimate of $20.56 million.View all Key Company Metrics for Legget & Platt here>>>

Shares of Legget & Platt have returned +14.3% over the past month versus the Zacks S&P 500 composite's +11.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Investors in Leggett & Platt, Incorporated (LEG - Free Report) need to pay close attention to the stock based on moves in the options market lately. That is because the June 18, 2026 $05.00 Call had some of the highest implied volatility of all equity options today.

What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.

What do the Analysts Think?Clearly, options traders are pricing in a big move for Leggett & Platt share, but what is the fundamental picture for the company? Currently, Leggett & Platt is a Zacks Rank #5 (Strong Sell) in the Furniture Industry that ranks in the Bottom 8% of our Zacks Industry Rank. Over the last 60 days, no analyst has increased his estimate for the current quarter, while three have revised their estimates downward. The net effect has taken our Zacks Consensus Estimate for the current quarter to move from 31 cents per share to 29 cents per share in the same time period.

Given the way analysts feel about Leggett & Platt right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.

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Key Takeaways LEG's automotive unit is now Leggett Dynamics, targeting intelligent motion, comfort and software systems.Leggett Dynamics groups its offerings into Comfort, Motion, Software & Integration and Innovation Services.LEG shares fell 2.5% on the rebrand news, and the stock is down 11.9% over the past six months. Leggett & Platt, Incorporated (LEG - Free Report) recently announced that its automotive business division, Leggett & Platt Automotive, has rebranded as Leggett Dynamics. This marks a strategic evolution from a traditional automotive supplier to a technology-driven provider of intelligent motion, comfort and software-integrated systems. The new identity reflects LEG’s ambition to expand beyond automotive end markets and unlock new growth opportunities through innovation, diversification and advanced engineering solutions.

Following the news, LEG stock declined 2.5% during trading hours yesterday.

Portfolio Shift & Innovation With Leggett DynamicsThrough its new tagline, "eMotion & Comfort for everyone, everywhere, every day," Leggett Dynamics will aim to develop technologies that enhance movement, adjustability, wellness and user experience across a broad range of applications. Overall, this rebranding move signals a broader growth strategy designed to strengthen Leggett & Platt's market position, diversify its revenue streams and reduce reliance on traditional automotive markets.

Moreover, Leggett Dynamics has reorganized its products and services into four key platforms: Comfort Systems, covering massage, lumbar, bolster and suspension solutions; Motion Systems, focused on motors, actuators and cables; Software & Integration, including software, hardware and E/E architecture integration; and Innovation Services, which provides advanced engineering co-development and ergonomics studies.

The rebranding aligns with Leggett & Platt's long-standing focus on innovation and engineered solutions across the markets it serves. The company has historically leveraged its expertise in comfort, motion and component technologies to develop differentiated products, while continuously adapting its portfolio to evolving customer needs. Through Leggett Dynamics, the company is extending this innovation-driven approach by integrating advanced engineering, software capabilities and ergonomics expertise to create intelligent comfort and motion solutions. The move reflects Leggett & Platt's efforts to accelerate product development, strengthen customer collaboration and expand into adjacent growth markets.

LEG’s Share Price PerformanceShares of Leggett & Platt have declined 11.9% in the past six months compared with the Zacks Furniture industry’s 12.3% fall. Leggett & Platt continues to grapple with weak demand across residential end markets, subdued consumer spending, persistent softness in the U.S. mattress industry and retailer merchandising challenges. Margin pressures also remain due to lower sales volumes, elevated transportation and chemical costs, pricing headwinds within the Flooring business and ongoing supply-chain disruptions.

Image Source: Zacks Investment Research

However, the company has benefited from restructuring initiatives, improved manufacturing efficiency, disciplined cost-control measures and ongoing portfolio optimization efforts. Its Bedding Products segment remains a relative bright spot, supported by metal margin expansion and the realization of restructuring benefits. Additionally, the pending Somnigroup merger provides shareholders with an opportunity to participate in a larger, combined enterprise.

LEG’s Zacks Rank & Key PicksCurrently, Leggett & Platt carries a Zacks Rank #5 (Strong Sell).

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