Floor & Decor Holdings, Inc. Announces Second Quarter Fiscal 2026 Financial Results

Net sales of $1,250.3 million increased 3.0% from the second quarter of fiscal 2025

Comparable store sales decreased 2.1%

Diluted EPS of $0.89; Adjusted diluted EPS* of $0.58

Opened five new warehouse stores

Returned $65.7 million to shareholders through share repurchases

ATLANTA--(BUSINESS WIRE)--Floor & Decor Holdings, Inc. (NYSE: FND) (“We,” “Our,” the “Company,” or “Floor & Decor”) announces its financial results for the second quarter of fiscal 2026, which ended June 25, 2026.

Brad Paulsen, Chief Executive Officer, stated, “We are pleased with our second-quarter earnings, which exceeded our expectations and reflected both the resilience of our business model and the disciplined execution of our teams. While demand for larger discretionary home improvement flooring projects remains uneven, we saw sequential improvement throughout the quarter, with comparable store sales improving from a 5.1% decline in April to nearly flat in June. As we turn the page on the first half of 2026, we remain focused on driving sales, managing expenses, and delivering value to our customers. We believe these actions are resonating with customers and position us well when demand conditions normalize.”

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 June 25, 2026

• Net sales of $1,250.3 million increased 3.0% from $1,214.2 million in the second quarter of fiscal 2025.
• Comparable store sales decreased 2.1%.
• We opened five new warehouse stores, ending the quarter with 281 warehouse stores and five design studios.
• Operating income of $124.0 million increased 51.4% from $81.9 million in the second quarter of fiscal 2025. Operating margin of 9.9% increased 310 basis points from the second quarter of fiscal 2025.
• Net income of $95.9 million increased 51.7% from $63.2 million in the second quarter of fiscal 2025. Diluted earnings per share (“EPS”) of $0.89 increased 53.4% from $0.58 in the second quarter of fiscal 2025.
• Adjusted net income* of $63.0 million decreased 0.3% from $63.2 million in the second quarter of fiscal 2025. Adjusted diluted EPS* of $0.58 was flat compared to the second quarter of fiscal 2025.
• Gross margin of 48.2% increased 430 basis points from 43.9% in the second quarter of fiscal 2025. Adjusted gross margin* of 43.7% decreased 20 basis points from 43.9% in the second quarter of fiscal 2025.
• Adjusted EBITDA* of $152.0 million increased 1.2% from $150.2 million in the second quarter of fiscal 2025.

For the Twenty-six Weeks Ended June 25, 2026

• Net sales of $2,402.5 million increased 1.2% from $2,374.9 million in the same period of fiscal 2025.
• Comparable store sales decreased 2.9%.
• We opened 11 new warehouse stores.
• Operating income of $176.4 million increased 20.7% from $146.1 million in the same period of fiscal 2025. Operating margin of 7.3% increased 110 basis points from the same period of fiscal 2025.
• Net income of $135.6 million increased 21.0% from $112.1 million in the same period of fiscal 2025. Diluted EPS of $1.25 increased 21.4% from $1.03 in the same period of fiscal 2025.
• Adjusted net income* of $102.7 million decreased 8.3% from $112.1 million in the same period of fiscal 2025. Adjusted diluted EPS* of $0.95 decreased 7.8% from $1.03 in the same period of fiscal 2025.
• Gross margin of 46.2% increased 240 basis points from 43.8% in the same period of fiscal 2025. Adjusted gross margin* of 43.9% increased 10 basis points from 43.8% in the same period of fiscal 2025.
• Adjusted EBITDA* of $273.5 million decreased 2.3% from $280.0 million in the same period of fiscal 2025.

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

Updated Outlook for the Fiscal Year Ending December 31, 2026:

The Company will report 53 weeks of operating results in fiscal 2026 and provides the following guidance for fiscal 2026:

• Net sales of approximately $4,770 million to $4,990 million
  • The 53^rd week is expected to contribute approximately $65 million to net sales
• Comparable store sales of approximately (4.0)% to flat
• Diluted EPS of approximately $2.20 to $2.45
  • The 53^rd week is expected to contribute approximately $0.08 to diluted EPS
• Adjusted diluted EPS* of approximately $1.88 to $2.13
  • The 53^rd week is expected to contribute approximately $0.08 to Adjusted diluted EPS*
• Adjusted EBITDA* of approximately $550 million to $585 million
  • The 53^rd week is expected to contribute approximately $11 million to Adjusted EBITDA*
• Depreciation and amortization expense of approximately $250 million
• Interest (income) expense, net of approximately zero
• Tax rate of approximately 23%
• Diluted weighted average shares outstanding of approximately 107 million shares
• Open 20 new warehouse stores
• Capital expenditures of approximately $240 million to $275 million

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

Conference Call Details

A conference call to discuss the second quarter fiscal 2026 financial results is scheduled for today, July 30, 2026, at 5:00 p.m. Eastern Time. A live audio webcast of the conference call, together with related materials, will be available online at ir.flooranddecor.com.

A recorded replay of the conference call will be available approximately three hours after the conclusion of the call and can be accessed both online at ir.flooranddecor.com and by dialing 844-512-2921 (international callers please dial 412-317-6671). The pin number to access the telephone replay is 13761392. The replay will be available until August 6, 2026.

About Floor & Decor Holdings, Inc.

Floor & Decor is a multi-channel specialty retailer of hard surface flooring and related accessories and seller of commercial surfaces. As of June 25, 2026, the Company operated 281 warehouse-format stores and five design studios across 39 states. The Company offers a broad in-stock assortment of laminate and vinyl, tile, wood, and natural stone flooring and installation materials and decorative accessories, as well as adjacent categories, at everyday low prices. The Company was founded in 2000 and is headquartered in Atlanta, Georgia.

Comparable Store Sales

Comparable store sales refer to period-over-period comparisons of our net sales at the time of sale among the comparable store base. A store is included in the comparable store sales calculation on the first day of the thirteenth full fiscal month following a store’s opening, which is when we believe comparability has been achieved. Changes in our comparable store sales between two periods are based on net sales at the time of sale for stores that were in operation during both of the two periods. Any change in the square footage of an existing comparable store, including for remodels and relocations within the same primary trade area of the existing store being relocated, does not eliminate that store from inclusion in the calculation of comparable store sales. Stores that are closed for a full fiscal month or longer are excluded from the comparable store sales calculation for each full fiscal month that they are closed. Since our e-commerce, regional account manager, and design studio sales are fulfilled by individual stores, they are included in comparable store sales only to the extent the fulfilling store meets the above mentioned store criteria. Sales through our Spartan Surfaces, LLC (“Spartan”) subsidiary do not involve our stores and are therefore excluded from the comparable store sales calculation. When a fiscal year includes a 53rd week, we exclude the 53rd week of sales from our calculation.

Non-GAAP Financial Measures

Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA (which are shown in the reconciliations below) are supplemental measures of financial performance that are not required by or presented in accordance with accounting principles generally accepted in the United States (“GAAP”). We define Adjusted net income as net income adjusted to eliminate the impact of certain items that we do not consider indicative of our core operating performance and the tax effect related to those items. We define Adjusted diluted EPS as Adjusted net income divided by diluted weighted average shares outstanding. We define Adjusted gross profit as gross profit adjusted to eliminate the impact of certain items that we do not consider indicative of our core operating performance. We define Adjusted gross margin as Adjusted gross profit divided by net sales. We define EBITDA as net income before interest, loss on extinguishment of debt, taxes, and depreciation and amortization. We define Adjusted EBITDA as net income before interest, loss on extinguishment of debt, taxes, and depreciation and amortization adjusted to eliminate the impact of non-cash stock-based compensation expense and certain items that we do not consider indicative of our core operating performance. Reconciliations of these measures to the most directly comparable GAAP financial measure are set forth in the tables below.

Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA are key metrics used by management and our Board of Directors to assess our financial performance and enterprise value. We believe that Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA are useful measures, as they eliminate certain items that are not indicative of our core operating performance and facilitate comparisons on a consistent basis from period to period. We also use Adjusted EBITDA as a basis to determine covenant compliance with respect to our term loan and asset-based loan (“ABL”) facilities, to supplement GAAP measures of performance to evaluate the effectiveness of our business strategies, to make budgeting decisions, and to compare our performance against that of other peer companies using similar measures. Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA are also frequently used by analysts, investors, and other interested parties as performance measures to evaluate companies in our industry.

Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA are non-GAAP measures of our financial performance and should not be considered as alternatives to net income as a measure of financial performance or any other performance measure derived in accordance with GAAP, and they should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. Additionally, Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA are not intended to be measures of liquidity or free cash flow for management’s discretionary use. In addition, these non-GAAP measures exclude certain non-recurring and other charges. Each of these non-GAAP measures has its limitations as an analytical tool, and you should not consider them in isolation or as a substitute for analysis of our results as reported under GAAP. In evaluating Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA, you should be aware that in the future we may incur expenses or realize benefits that are the same as or similar to items eliminated in calculating these non-GAAP measures, such as stock-based compensation expense, fair value adjustments related to contingent earn-out liabilities, tariff refunds, and other adjustments. Definitions and calculations of Adjusted net income, Adjusted diluted EPS, Adjusted gross profit, Adjusted gross margin, EBITDA, and Adjusted EBITDA differ among companies in the retail industry, and therefore these non-GAAP measures disclosed by us may not be comparable to the metrics disclosed by other companies.

Please see “Reconciliation of GAAP to Non-GAAP Financial Measures” below for reconciliations of non-GAAP financial measures used in this release to their most directly comparable GAAP financial measures. The Company does not provide a reconciliation of forward-looking measures where it believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors and the Company is unable to reasonably predict certain items contained in these measures without unreasonable efforts. This is due to the inherent difficulty of forecasting the timing or amount of various items that have not yet occurred and are out of the Company’s control or cannot be reasonably predicted. For the same reasons, the Company is unable to address the probable significance of the unavailable information. Forward-looking non-GAAP financial measures provided without the most directly comparable GAAP financial measures may vary materially from the corresponding GAAP financial measures.

Forward-Looking Statements

This release and the associated webcast/conference call contain forward-looking statements within the meaning of the federal securities laws.

Investor Contact:
Wayne Hood
Senior Vice President of Investor Relations
678-505-4415
wayne.hood@flooranddecor.com