On this page of StockholderLetter.com we present the latest annual shareholder letter from LEGGETT & PLATT INC — ticker symbol LEG. Reading current and past LEG letters to shareholders can bring important insights into the investment thesis.

 •  4/7/2026 Letter Continued (Full PDF)
 •  3/23/2023 LEG Stockholder Letter
 •  3/28/2024 LEG Stockholder Letter
 •  3/26/2025 LEG Stockholder Letter
 •  More "Home Furnishings & Furniture" Category Stockholder Letters
 •  LEG Benford's Law Stock Score = 90

LEG Shareholder/Stockholder Letter Transcript:

Leggett & Platt
2025 ANNUAL REPORT
AND 2026 PROXY STATEMENT

LEGGETT & PLATT AT A GLANCE
Leggett & Platt (NYSE: LEG) is a diversified manufacturer that designs and produces a broad variety of
engineered components and products.
38%
BEDDING
PRODUCTS
Steel Rod
Drawn Wire
U.S. Spring
28%
34%
SPECIALIZED
PRODUCTS
Automotive
Home Furniture
    Seating Comfort
    Mechanical and pneumatic lumbar
support and massage systems for
automotive seating
    In-Car Motion Systems
    Motors, actuators, and cables
    Innersprings
    Static foundations
    Semi-finished mattresses
Specialty Foam
    Private label finished mattresses
    Mattress toppers and pillows
    Specialty foam
FURNITURE,
FLOORING &
TEXTILE PRODUCTS
    Steel mechanisms and motion hardware
for reclining and lift chairs, sofas, and
sleeper sofas
Work Furniture
    Components and private label finished goods
for collaborative soft seating
    Controls, bases, and frames for office chairs
Hydraulic Cylinders
    Engineered hydraulic cylinders primarily
for material handling and heavy
construction equipment
Adjustable Bed
International Bedding
Flooring Products
    Carpet cushion
    Hard surface flooring underlayment
Fabric Converting
    Structural fabrics for bedding, upholstered
furniture, home furnishing accessories, and
industrial uses
    Innersprings
    Finished mattresses
    Specialty foam
    Wire-coiling machines
Geo Components
    Synthetic fabrics and other products used
in ground stabilization, drainage protection,
and erosion control
Percentage of 2025 net trade sales
Quick Facts
Strong
competitive
positions
Broad customer
base; mainly
manufacturers
Solid operating
cash flow
Financial
stability, healthy
balance sheet
Engaged
management
team
1

LETTER TO SHAREHOLDERS
Fellow Shareholders,
Since returning as CEO in May of 2024, I   m continually amazed at the unwavering commitment and
resilience demonstrated by our employees across the globe. Guided by our values of putting people first
and doing the right thing, our teams have faced challenges with determination, ingenuity, and a strong
sense of shared purpose. By doing great work together and taking ownership while raising the bar, they
have driven meaningful progress as we solidified Leggett & Platt   s financial foundation.
These efforts produced notable results in 2025     a year in which our markets continued to experience soft
demand, yet one in which we maintained our commitments to strengthen the balance sheet, improve profit
margins, and position the company for profitable long-term growth.
2025 Financial Performance     Achievements Amid Challenging Markets
Our residential markets, which account for roughly half of the company   s revenue, experienced continued
weakness as they remain in a multi-year depression with demand well below average cycle levels. Lower
volume and divestitures reduced company sales by 7% compared to 2024. While we cannot predict the
timing of demand recovery, we are poised to capitalize on the incremental volume when it materializes.
Adjusted(1) EBIT was $263 million, a decrease of $4 million versus 2024 adjusted(1) EBIT. The decline was
primarily due to lower volume partially offset by restructuring benefits and metal margin expansion. With
the actions we   ve taken to optimize our footprint and drive efficiency, we are well positioned to drive margin
growth once our markets recover.
Sales
Margins
Earnings
$4.05 billion
down 7% vs. 2024
EBIT: 8.8%
Adj. EBIT: 6.5%
EPS: $1.69
Adj. EPS: $1.05
EBITDA: 11.8%
Adj. EBITDA: 9.5%
(1)
For non-GAAP reconciliations, please refer to page 6.
This letter contains forward-looking statements; please refer to    Forward-Looking Statements    in our 2025 Form 10-K, which is part of this document.
2
Cash from
Operations
$338 million
up 11% vs. 2024

LETTER TO SHAREHOLDERS
Strengthening Our Balance Sheet
We generated $338 million of cash from operations during
2025. Proceeds from divestitures, along with operating cash
flow and cash from real estate sales, allowed us to reduce
debt by $376 million in 2025. Our net debt to adjusted
EBITDA improved from 3.8x at the beginning of the year
to 2.4x, moving us significantly closer to our long-term
leverage target of 2.0x.
Net Debt to Adjusted EBITDA
4.0
3.5
3.0
2.5
Our long-term capital allocation priorities remain the same:
2.0
2021
2022
2023
2024
2025
invest in organic growth, pursue strategic acquisitions, and
return cash to shareholders through dividends and share repurchases. As we move closer toward our leverage
target, we will begin to shift our use of capital from net debt reduction toward these long-term priorities.
Restructuring Update
The restructuring plan we launched in
early 2024 was substantially completed
in 2025 and delivered significantly
better EBIT contribution benefits with
lower associated costs than originally
estimated. While weaker demand over the
past two years has partially offset these
cost benefits, the improvements from
these activities are sustainable and will
support improved profitability and cash
flow. Additionally, they place us in a strong
position to benefit when our residential
end markets begin to recover. We expect
additional real estate sales in 2026 and
will continue to evaluate opportunities
pp
to improve our cost structure and
profitability across our businesses.
Cash From
Real Estate
$20
EBIT Benefit
$22
Restructuring
Costs
$48
Sales
Attrition
$15

$10
$28
$41
$30
$38
$20
2024 Actuals
$30
$40
$50
$60
2025 Actuals*
$70
$80
$90 $100
$ in millions
2026 Estimate
* Sales Attrition and EBIT Benefit are incremental, which represents
year-over-year change, for 2025.
Optimizing Our Portfolio
A key priority for Leggett & Platt is to concentrate resources on businesses we believe will drive the best
long-term value for our shareholders. In 2024, we announced that we were exploring strategic alternatives
for our Aerospace Products Group, and in late August 2025, we completed the sale of this business.
We used the after-tax proceeds to accelerate our deleveraging efforts by retiring all of our outstanding
commercial paper borrowings. We also divested a facility in our Work Furniture business unit and rightsized our Adjustable Bed business unit.
Collectively, these transactions sharpened our focus on markets where we have scale, competitive
advantages, and a clear path to sustainable value creation. Going forward, we will continue to evaluate our
portfolio and ensure we are investing in businesses that will generate attractive returns over the long term.
3

LETTER TO SHAREHOLDERS
Positioning for Long-Term Profitable Growth
We have made tremendous progress over the past two years in positioning our businesses for long-term
success. In Bedding Products, we   ve significantly streamlined our operating footprint in response to the
evolving market landscape. We continue to successfully commercialize more advanced and innovative
technologies, such as Eco-Base   and CombiCore  , supporting our content growth strategy. These
innovations, along with newer specialty foam technologies that improve comfort, response, and airflow,
differentiate our semi-finished and finished mattress products and allow us to pursue strategic sales
opportunities.
In Automotive, we made strides in building our innovation pipeline and strengthening our OEM and Tier
1 customer relationships, both with our long-standing customers and new Chinese manufacturers. Under
new leadership in 2026, the team is focused on aggressively pursuing available growth opportunities.
Textiles continues to have opportunities for future growth both organically and through small strategic,
accretive acquisitions. As we move closer toward our long-term leverage target, we expect to accelerate
our investments in these opportunities.
Finally, across all of our business units, we are improving our management processes to enhance our focus
and accountability on the key strategic initiatives that will drive profitable growth.
Looking Ahead
While near-term demand in several of our markets remains challenged, Leggett & Platt is poised for future
success. Our streamlined manufacturing network, strengthened balance sheet, and portfolio of innovative
products have us well positioned to build on our progress in 2026 and beyond. We will continue to invest in
our businesses, pursue targeted acquisitions, and return value to you, our shareholders.
In closing, I would like to thank our employees, customers, suppliers, and shareholders for their trust and
partnership. The progress made in 2025 reflects the hard work and resilience of our teams. We move into
2026 with confidence in our strategy and in the capabilities of our people.
Thank you for your continued support.
Karl Glassman
President and CEO
February 26, 2026
4

4/7/2026 Letter Continued (Full PDF)

 

Nothing in StockholderLetter.com is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy.