Global flooring manufacturer Mohawk Industries, Inc. has reported an increase in third quarter revenue.
According to its latest trading update for the third quarter ended 27 September 2025, net sales rose 1.4% to $2.8bn from $2.7bn in 2024. Net earnings resulted at $108.8m, down from $162m compared the previous year.
Commenting on the Company’s third quarter, Chairman and CEO Jeff Lorberbaum stated: “Our net sales in the quarter were in line with our expectations, slightly ahead of prior year as reported. Though economic conditions across our regions weakened more than anticipated compared to the prior quarter, we believe we outperformed our markets.
“Our sales and product mix continued to benefit from the success of our premium residential and commercial offering and collections introduced during the past two years. Our results reflected benefits from ongoing productivity and restructuring initiatives as well as the impact of favourable currency exchange and lower interest expense, offset by higher input costs and temporary plant shutdowns.
“Across our markets, material and energy expenses are now improving from peak levels, though higher costs from earlier in the year will continue to impact our fourth quarter earnings. With our markets remaining challenged, we are executing targeted actions across the organization to drive performance, such as operational enhancements, administrative process improvements and technology advancements.
“We are lowering our cost structure without impacting our long-term growth potential when the market recovers. We have identified additional restructuring opportunities to rationalize less efficient assets and streamline logistics operations and administrative functions across our segments.
“These new actions will result in annualized savings of approximately $32 million at a net cash cost of approximately $20 million after asset sales. Combined with our previously announced restructuring actions, we anticipate delivering $110 million in savings this year.
“Our industry is currently at various stages of passing through the impact of higher tariffs on imported products and should compensate for the increased product cost over time. As previously stated, we continue to address the situation by optimizing our supply chain and implementing price adjustments on affected product categories.
“Ocean freight costs have been declining and are partially offsetting the tariff impact for U.S. importers. Based on recent changes, engineered wood and laminate imports will now be subject to reciprocal tariffs like other flooring categories, which should benefit domestically produced products.
“Because the evolving tariff situation will require some time to reach equilibrium, we will continue to adjust our strategies with changing rates and market conditions.”
