MILLERKNOLL INC
For the period ended Jun 1, 2024. Filed Jul 30, 2024.
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FY2024 · Filed Jul 30, 2024
MLKN$21.94-1.7%Stored close · as of Nov 10, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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Item 8. Financial Statements and Supplementary Data
| Year Ended | |||
|---|---|---|---|
| (In millions, except per share data) | June 1, 2024 | June 3, 2023 | May 28, 2022 |
| Net sales | $3,628.4 | $4,087.1 | $3,946.0 |
| Cost of sales | 2,208.9 | 2,657.1 | 2,593.3 |
| Gross margin | 1,419.5 | 1,430.0 | 1,352.7 |
| Operating expenses: | |||
| Selling, general and administrative | 1,112.1 | 1,126.4 | 1,204.2 |
| Impairment charges | 16.8 | 41.2 | — |
| Restructuring expenses | 30.8 | 34.4 | — |
| Design and research | 92.6 | 105.7 | 108.7 |
| Total operating expenses | 1,252.3 | 1,307.7 | 1,312.9 |
| Operating earnings | 167.2 | 122.3 | 39.8 |
| Interest expense | 76.2 | 74.0 | 37.8 |
| Interest and other investment (income) expense | (6.1) | (2.8) | (1.6) |
| Other (income) expense, net | (2.6) | (0.3) | 12.2 |
| Earnings (loss) before income taxes and equity income | 99.7 | 51.4 | (8.6) |
| Income tax expense | 14.7 | 4.5 | 11.1 |
| Equity (loss) earnings from nonconsolidated affiliate, net of tax | (0.4) | (0.8) | — |
| Net earnings (loss) | 84.6 | 46.1 | (19.7) |
| Net earnings attributable to redeemable noncontrolling interests | 2.3 | 4.0 | 7.4 |
| Net earnings (loss) attributable to MillerKnoll, Inc. | $82.3 | $42.1 | $(27.1) |
| Earnings (loss) per share - basic | $1.12 | $0.56 | $(0.37) |
| Earnings (loss) per share - diluted | 1.11 | 0.55 | (0.37) |
| Other comprehensive income (loss), net of tax | |||
| Foreign currency translation adjustments | 8.3 | (20.1) | (90.0) |
| Pension and post-retirement liability adjustments | (9.5) | 13.1 | 13.5 |
| Unrealized gains on interest rate swap agreement | 3.6 | 19.0 | 34.5 |
| Other comprehensive income (loss), net of tax | 2.4 | 12.0 | (42.0) |
| Comprehensive income (loss) | 87.0 | 58.1 | (61.7) |
| Comprehensive income attributable to redeemable noncontrolling interests | 2.3 | 4.0 | 4.4 |
| Comprehensive income (loss) attributable to MillerKnoll, Inc. | $84.7 | $54.1 | $(66.1) |
| (In millions, except share and per share data) | June 1, 2024 | June 3, 2023 |
|---|---|---|
| ASSETS | ||
| Current Assets: | ||
| Cash and cash equivalents | $230.4 | $223.5 |
| Accounts receivable, net of allowances of $7.4 and $6.4 | 308.3 | 334.1 |
| Unbilled accounts receivable | 22.2 | 29.4 |
| Inventories, net | 428.6 | 487.4 |
| Prepaid expenses | 66.5 | 92.7 |
| Assets held for sale | 3.5 | — |
| Other current assets | 10.1 | 9.1 |
| Total current assets | 1,069.6 | 1,176.2 |
| Property and equipment, net of accumulated depreciation of $1,090.7 and $1,034.4 | 492.0 | 536.3 |
| Right of use assets | 375.6 | 415.9 |
| Goodwill | 1,226.3 | 1,221.7 |
| Indefinite-lived intangibles | 465.5 | 480.7 |
| Other amortizable intangibles, net of accumulated amortization of $223.4 and $185.2 | 279.3 | 313.1 |
| Other noncurrent assets | 135.3 | 130.9 |
| Total Assets | $4,043.6 | $4,274.8 |
| LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS & STOCKHOLDERS' EQUITY | ||
| Current Liabilities: | ||
| Accounts payable | $241.4 | $269.5 |
| Short-term borrowings and current portion of long-term debt | 43.5 | 33.4 |
| Accrued compensation and benefits | 104.5 | 61.7 |
| Short-term lease liability | 67.2 | 77.1 |
| Accrued warranty | 17.6 | 20.8 |
| Customer deposits | 100.2 | 93.8 |
| Other accrued liabilities | 123.3 | 146.5 |
| Total current liabilities | 697.7 | 702.8 |
| Long-term debt | 1,291.7 | 1,365.1 |
| Pension and post-retirement benefits | 10.0 | 7.5 |
| Lease liabilities | 360.4 | 393.7 |
| Other liabilities | 224.8 | 265.5 |
| Total Liabilities | 2,584.6 | 2,734.6 |
| Redeemable noncontrolling interests | 73.9 | 107.6 |
| Stockholders' Equity: | ||
| Preferred stock, no par value (10,000,000 shares authorized, none issued) | — | — |
| Common stock, $0.20 par value (240,000,000 shares authorized, 70,377,692 and 75,698,670 shares issued and outstanding in 2024 and 2023, respectively) | 14.1 | 15.1 |
| Additional paid-in capital | 725.3 | 836.5 |
| Retained earnings | 738.4 | 676.1 |
| Accumulated other comprehensive loss | (92.7) | (95.1) |
| Total Stockholders' Equity | 1,385.1 | 1,432.6 |
| Total Liabilities, Redeemable Noncontrolling Interests and Stockholders' Equity | $4,043.6 | $4,274.8 |
Consolidated Statements of Stockholders' Equity
| Common Stock · Additional Paid-in Capital · Retained Earnings · Accumulated Other Comprehensive (Loss) Income · Deferred Compensation Plan · MillerKnoll, Inc. Stockholders' Equity | |||||||
|---|---|---|---|---|---|---|---|
| (In millions, except share and per share data) · Shares · Amount | |||||||
| May 29, 2021 | 59,029,165 | $11.8 | $94.7 | $819.3 | $(65.1) | $(0.2) | $860.5 |
| Net loss | — | — | — | (27.1) | — | — | (27.1) |
| Other comprehensive loss, net of tax | — | — | — | — | (42.0) | — | (42.0) |
| Stock-based compensation expense | — | — | 31.4 | — | — | — | 31.4 |
| Restricted stock issuance | 611,452 | 0.1 | (0.1) | — | — | — | — |
| Exercise of stock options | 116,178 | 0.1 | 3.3 | — | — | — | 3.4 |
| Restricted and performance stock units released | 503,687 | 0.1 | (0.1) | — | — | — | — |
| Employee stock purchase plan issuances | 87,562 | — | 2.8 | — | — | — | 2.8 |
| Repurchase and retirement of common stock | (390,979) | (0.1) | (16.1) | — | — | — | (16.2) |
| Directors' fees direct issuance | 23,255 | — | 0.9 | — | — | — | 0.9 |
| Director's fees deferred restricted stock units | — | — | 0.6 | — | — | — | 0.6 |
| Deferred compensation plan | — | — | — | — | — | 0.2 | 0.2 |
| Shares issued for the Acquisition of Knoll | 15,843,921 | 3.2 | 685.1 | — | — | — | 688.3 |
| Pre-combination expense from Knoll rollover | — | — | 22.4 | — | — | — | 22.4 |
| NCI Adjustment | — | — | 0.5 | — | — | — | 0.5 |
| Redemption Value Adjustment | — | — | — | (41.6) | — | — | (41.6) |
| Restricted stock units dividend reinvestment | — | — | 0.3 | (0.3) | — | — | — |
| Dividends declared ($0.75 per share) | — | — | — | (57.0) | — | — | (57.0) |
| May 28, 2022 | 75,824,241 | $15.2 | $825.7 | $693.3 | $(107.1) | $— | $1,427.1 |
| Net earnings | — | — | — | 42.1 | — | — | 42.1 |
| Other comprehensive income, net of tax | — | — | — | — | 12.0 | — | 12.0 |
| Stock-based compensation expense | (39,839) | — | 20.2 | — | — | — | 20.2 |
| Exercise of stock options | 49,482 | — | 1.0 | — | — | — | 1.0 |
| Restricted and performance stock units released | 226,657 | — | 0.4 | — | — | — | 0.4 |
| Employee stock purchase plan issuances | 185,551 | — | 3.1 | — | — | — | 3.1 |
| Repurchase and retirement of common stock | (575,207) | (0.1) | (15.9) | — | — | — | (16.0) |
| Deferred stock unit | — | — | 0.6 | — | — | — | 0.6 |
| Director's fees | 27,785 | — | 0.6 | — | — | — | 0.6 |
| Redemption Value Adjustment | — | — | — | (1.9) | — | — | (1.9) |
| Dividends declared ($0.75 per share) | — | — | — | (57.2) | — | — | (57.2) |
| Other | — | — | 0.8 | (0.2) | — | — | 0.6 |
| June 3, 2023 | 75,698,670 | $15.1 | $836.5 | $676.1 | $(95.1) | $— | $1,432.6 |
| Net earnings | — | — | — | 82.3 | — | — | 82.3 |
| Other comprehensive income, net of tax | — | — | — | — | 2.4 | — | 2.4 |
| Stock-based compensation expense | (983) | — | 20.7 | — | — | — | 20.7 |
| Exercise of stock options | 74,096 | — | 1.7 | — | — | — | 1.7 |
| Restricted and performance stock units released | 457,965 | 0.1 | 0.9 | — | — | — | 1.0 |
| Employee stock purchase plan issuances | 139,211 | 0.1 | 2.9 | — | — | — | 3.0 |
| Repurchase and retirement of common stock, including excise tax | (6,022,646) | (1.2) | (138.2) | — | — | — | (139.4) |
| Director's fees | 31,379 | — | 0.8 | — | — | — | 0.8 |
| Redemption Value Adjustment | — | — | — | 34.5 | — | — | 34.5 |
| Dividends declared ($0.75 per share) | — | — | — | (55.0) | — | — | (55.0) |
| Other | — | — | — | 0.5 | — | — | 0.5 |
| June 1, 2024 | 70,377,692 | $14.1 | $725.3 | $738.4 | $(92.7) | $— | $1,385.1 |
| Year Ended | |||
|---|---|---|---|
| (In millions) | June 1, 2024 | June 3, 2023 | May 28, 2022 |
| Cash Flows from Operating Activities: | |||
| Net earnings (loss) | $84.6 | $46.1 | $(19.7) |
| Adjustments to reconcile net earnings (loss) to net cash provided by operating activities: | |||
| Depreciation expense | 117.5 | 115.3 | 112.0 |
| Amortization expense | 37.6 | 39.8 | 78.6 |
| Loss on sale of equity method investment | 0.4 | — | — |
| Loss on sale of property and dealers | — | — | (1.0) |
| Deferred taxes | (38.8) | (45.3) | (21.7) |
| Pension contributions | (1.8) | (11.7) | (5.0) |
| Impairment charges | 16.8 | 57.9 | 15.5 |
| Loss on extinguishment of debt | — | — | 13.4 |
| Restructuring expenses | 30.8 | 34.0 | — |
| Stock-based compensation | 20.7 | 20.2 | 31.4 |
| Amortization of deferred financing costs | 4.6 | 4.6 | 4.2 |
| Decrease (increase) in long-term assets | 2.4 | (4.7) | (1.6) |
| (Decrease) in long-term liabilities | (3.6) | (1.8) | (2.1) |
| Changes in current assets and liabilities: | |||
| Decrease (increase) in accounts receivable & unbilled accounts receivable | 35.2 | 15.6 | (92.4) |
| Decrease (increase) in inventories | 59.0 | 81.5 | (166.4) |
| Decrease (increase) in prepaid expenses and other | 25.6 | 19.6 | (39.6) |
| (Decrease) increase in accounts payable | (28.9) | (82.5) | 51.5 |
| (Decrease) increase in accrued liabilities | (7.5) | (124.8) | 47.2 |
| Other, net | (2.3) | (0.9) | (16.2) |
| Net Cash Provided by (Used in) Operating Activities | 352.3 | 162.9 | (11.9) |
| Cash Flows from Investing Activities: | |||
| Advances of notes receivable | (14.7) | (5.1) | (1.2) |
| Collection of notes receivable | 2.8 | — | — |
| Marketable securities sales | — | — | 7.7 |
| Capital expenditures | (78.4) | (83.3) | (94.7) |
| Proceeds from sales of property and dealers | — | 0.3 | 2.8 |
| Proceeds from life insurance policy | — | 13.5 | — |
| Acquisitions, net of cash received | — | — | (1,088.5) |
| Proceeds from the sale of equity method investment | 3.5 | — | — |
| Other, net | 0.5 | (1.9) | 1.5 |
| Net Cash (Used in) Investing Activities | (86.3) | (76.5) | (1,172.4) |
| Cash Flows from Financing Activities: | |||
| Proceeds from issuance of debt, net of discounts | — | — | 1,007.0 |
| Payments of deferred financing costs | — | — | (9.3) |
| Repayments of long-term debt | (31.3) | (26.3) | (63.1) |
| Proceeds from credit facility | 833.2 | 929.9 | 1,026.5 |
| Repayments of credit facility | (869.9) | (916.2) | (838.5) |
| Payment of make whole premium on debt | — | — | (13.4) |
| Dividends paid | (55.6) | (57.1) | (54.5) |
| Common stock issued | 5.9 | 5.5 | 7.5 |
| Common stock repurchased and retired | (138.2) | (16.0) | (16.2) |
| Distribution to noncontrolling interest | (2.8) | (4.9) | (6.8) |
| Other, net | (0.1) | (1.7) | 0.7 |
| Net Cash (Used in) Provided by Financing Activities | (258.8) | (86.8) | 1,039.9 |
| Effect of exchange rate changes on cash and cash equivalents | (0.3) | (6.4) | (21.7) |
| Net Increase (Decrease) In Cash and Cash Equivalents | 6.9 | (6.8) | (166.1) |
| Cash and cash equivalents, Beginning of Year | 223.5 | 230.3 | 396.4 |
| Cash and Cash Equivalents, End of Year | $230.4 | $223.5 | $230.3 |
| Other Cash Flow Information | |||
|---|---|---|---|
| Interest paid | $70.6 | $70.6 | $28.8 |
| Income taxes paid, net of cash received | $28.1 | $34.8 | $36.9 |
Notes to the Consolidated Financial Statements
| Note 1 | Significant Accounting and Reporting Policies | 53 |
|---|---|---|
| Note 2 | Revenue from Contracts with Customers | 62 |
| Note 3 | Acquisitions and Divestitures | 65 |
| Note 4 | Inventories | 65 |
| Note 5 | Investments in Nonconsolidated Affiliates | 66 |
| Note 6 | Short-Term Borrowings and Long-Term Debt | 67 |
| Note 7 | Leases | 68 |
| Note 8 | Employee Benefit Plans | 69 |
| Note 9 | Common Stock and Per Share Information | 74 |
| Note 10 | Stock-Based Compensation | 74 |
| Note 11 | Income Taxes | 80 |
| Note 12 | Fair Value | 83 |
| Note 13 | Commitments and Contingencies | 87 |
| Note 14 | Operating Segments | 88 |
| Note 15 | Accumulated Other Comprehensive Loss | 91 |
| Note 16 | Restructuring and Integration Expense | 91 |
| Note 17 | Variable Interest Entities | 93 |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.