Floor & Decor Holdings, Inc. Announces First Quarter Fiscal 2024 Financial Results

Net sales of $1,097.3 million decreased 2.2% from the first quarter of fiscal 2023

Comparable store sales decreased 11.6%

Diluted earnings per share of $0.46

Opened four new warehouse stores

Floor & Decor Holdings, Inc. (“We,” “Our,” the “Company,” or “Floor & Decor”) announces its financial results for the first quarter of fiscal 2024, which ended March 28, 2024.

Tom Taylor, Chief Executive Officer, stated, “We are pleased to report better-than-expected fiscal 2024 first quarter diluted earnings per share of $0.46. We take pride in these first quarter results as they demonstrate how our teams continue to work to strategically grow our gross margin rate and prudently manage expenses without sacrificing customer service amid the near-term uncertain macroeconomic challenges. We are focused on continuing to grow our market share by opening new warehouse-format stores, capitalizing on our everyday low prices and value-driven options, trend-right product assortments, in-stock job lot quantities, and exceptional customer service.”

Mr. Taylor continued, “We have a busy fiscal 2024 second quarter store opening plan, including opening in Brooklyn, New York. We remain focused on managing our profitability in the short run while at the same time continuing to make long-term growth investments toward our plan to operate 500 warehouse-format stores in the United States over time.”

Please see “Comparable Store Sales” below for information on how the Company calculates period-over-period changes in comparable store sales.

For the Thirteen Weeks Ended March 28, 2024

• Net sales of $1,097.3 million decreased 2.2% from $1,122.1 million in the first quarter of fiscal 2023.
• Comparable store sales decreased 11.6%.
• We opened four new warehouse stores, ending the quarter with 225 warehouse stores and five design studios.
• Operating income of $59.3 million decreased 37.9% from $95.5 million in the first quarter of fiscal 2023. Operating margin of 5.4% decreased 310 basis points from the first quarter of fiscal 2023.
• Net income of $50.0 million decreased 30.0% from $71.5 million in the first quarter of fiscal 2023. Diluted earnings per share (“EPS”) of $0.46 decreased 30.3% from $0.66 in the first quarter of fiscal 2023.
• Adjusted EBITDA* of $123.0 million decreased 17.8% from $149.6 million in the first quarter of fiscal 2023.

*Non-GAAP financial measure. Please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below for more information.

Outlook for the Fiscal Year Ending December 26, 2024:

• Net sales of approximately $4,600 million to $4,770 million
• Comparable store sales of approximately (5.5)% to (2.0)%
• Diluted EPS of approximately $1.75 to $2.05
• Adjusted EBITDA* of approximately $520 million to $560 million
• Depreciation and amortization expense of approximately $230 million
• Interest expense, net of approximately $9 million to $11 million
• Tax rate of approximately 20%
• Diluted weighted average shares outstanding of approximately 109 million shares
• Open 30 to 35 new warehouse stores
• Capital expenditures of approximately $400 million to $475 million

*Non-GAAP financial measure. Please see “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below for more information.

For full results click here.

About Floor & Decor

Founded in 2000, Atlanta-based Floor & Decor is a leading high-growth specialty retailer of hard-surface flooring, operating 178 warehouse-format stores and five design studios across 35 states as of September 29, 2022. The stores offer homeowners and professionals the industry’s broadest in-stock selection of tile, natural wood, natural stone, laminate and luxury vinyl plank, under one roof. In addition, Floor & Decor stocks the necessary tools, decorative materials, wall tile, and related accessories for hard-surface flooring projects. Stores carry over 1 million square feet of in-stock flooring and offer free design services, as well as a dedicated pro sales team. The company directly sources products from manufacturers around the globe, which enables it to bring the world’s best and most innovative flooring trends to its customers, at everyday low prices. Floor & Decor has locations nationwide, but each store is bolstered by a local focus that creates a store experience and mix of products that meet the needs of each market served.

Additional company information can be found at www.flooranddecor.com and on Facebook (www.facebook.com/flooranddecor).

Contact:

Wayne Hood – Senior Vice President of Investor Relations – wayne.hood@flooranddecor.com – (678) 505-4415

Source: Floor & Decor Holdings, Inc.