Mohawk Industries reports sales of $2.04 bn in Q2 FY20

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19. 

 

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19.#

Gross profit dropped to $369.9 million (Q2 FY19: $736.6 million). Selling, general and administrative expenses for Q2 FY20 were $430.9 million ($469.7 million). Operating loss for the quarter were $60.9 million compared to operating income of $266.8 million in Q2 FY19. 

 

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19.#

“During the quarter, all of our businesses were dramatically impacted, with most of our customers and facilities operating either in a limited capacity or completely shut down for some time. After the company’s sales bottomed in April, our markets improved more than we expected, and shipments exceeded our production rates, reducing our inventories,” Jeffrey Lorberbaum, chairman and CEO, said in a press release. “Our manufacturing levels were impacted by government restrictions, Covid disruptions and employee absenteeism across the enterprise.”

 

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19.#

Sales of global ceramics segment during the quarter fell 21 per cent to $753.3 million ($958.0 million). Sales of flooring North America were down 19 per cent to $800.0 million ($983.4 million). While sales of flooring rest of the world slipped 23 per cent to $496.3 million ($643.0 million).

 

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19.#

“We are restructuring our business to enhance our results and our future performance. We are reducing SG&A, headcount and lower performing products and SKUs. We are closing less efficient operations and investing in more productive equipment. The largest of these changes are in the US, where LVT sales growth and the strong dollar have impacted many of our businesses,” Lorberbaum said.

 

Mohawk Industries, a global flooring leader, posted 21 per cent sales decrease to $2.04 billion in its second quarter (Q2) fiscal year 2020 ended on June 27, 2020 compared to the sales of $2.58 billion in same period previous year. Company reported a net loss of $48.2 million during the quarter compared to net income of $202.4 million in Q2 FY19.#

“Since April, we have seen substantial improvement in all of our businesses and markets. The residential remodelling and new construction channels have recovered more than commercial, where businesses are maintaining a cautious approach to investment,” Lorberbaum said.