SGI Q1 2025 Earnings
Reported May 8, 2025 at 6:37 AM ET · SEC Source
Q1 25 EPS
$0.49
BEAT +4.14%
Est. $0.47
Q1 25 Revenue
$1.60B
MISS 1.49%
Est. $1.63B
vs S&P Since Q1 25
+0.5%
BEATING MARKET
SGI +28.1% vs S&P +27.5%
Market Reaction
Did SGI Beat Earnings? Q1 2025 Results
Somnigroup International delivered a mixed but consequential first quarter, beating adjusted earnings expectations while falling just short on revenue as the company absorbed its landmark Mattress Firm acquisition. Adjusted EPS came in at $0.49, clea… Read more Somnigroup International delivered a mixed but consequential first quarter, beating adjusted earnings expectations while falling just short on revenue as the company absorbed its landmark Mattress Firm acquisition. Adjusted EPS came in at $0.49, clearing the $0.47 consensus by 4.14%, though total net sales of $1.60 billion trailed the $1.63 billion estimate by 1.49%, even as the top line surged 34.9% year over year, propelled by roughly two months of Mattress Firm contributions following the deal's February 5 close. On a GAAP basis, the company swung to a net loss of $33.10 million, largely reflecting $114.20 million in acquisition-related costs and $51.90 million in transaction expenses. The Tempur Sealy International segment was a standout, growing net sales 5.7% to $304.80 million with operating margin expanding 130 basis points to 16.8%. Looking ahead, Somnigroup revised its full-year 2025 adjusted EPS guidance to a range of $2.30 to $2.65, accounting for approximately 11 months of Mattress Firm operations, while flagging tariff uncertainty and macroeconomic softness as key risks to the outlook.
Key Takeaways
- • Mattress Firm acquisition contributing $593.7 million in stub period revenue
- • International segment net sales grew 5.7% (7.7% constant currency) driven by new product launches
- • Adjusted gross margin improved to 42.2% from 40.1% year-over-year
- • Operational efficiencies and favorable product mix in North America
- • North America adjusted operating margin improved 190 basis points to 17.2%
SGI YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
SGI Revenue by Segment
With YoY comparisons, source: SEC Filings
“Our results this quarter both reflect the transformational acquisition of Mattress Firm and highlight our ability to navigate a weak global market. All of our business units, domestically and internationally, successfully made progress on their growth opportunities as we leverage the core strengths of our business, including scale, operational flexibility and manufacturing capabilities. I continue to be impressed by our people, all around the world, as they focus on execution and taking care of our customers to deliver share gains and efficient cost management across the Somnigroup enterprise. Everyone in the organization has stepped up to quickly advance our near and longer term initiatives to continue delivering value to shareholders.”
— Scott Thompson, Q1 2025 Earnings Press Release
SGI Earnings Trends
SGI vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SGI EPS Trend
Earnings per share: estimate vs actual
SGI Revenue Trend
Quarterly revenue: estimate vs actual
SGI Quarterly Results
4 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q4 25 MISS FY | $0.67 | $0.66 | -1.76% | $1.87B | -3.23% |
| FY Full Year | $2.70 | $1.84 | -31.75% | $7.48B | -0.83% |
| Q3 25 BEAT | $0.85 | $0.95 | +11.76% | $2.12B | — |
| Q2 25 MISS | $0.69 | $0.53 | -22.97% | $1.88B | -5.74% |
| Q1 25 BEAT | $0.47 | $0.49 | +4.14% | $1.60B | -1.49% |