Knoll, Inc., a constellation of design-driven brands and people, working together with clients in person and digitally to create inspired modern interiors for workplaces and homes, today announced financial results for the fourth quarter ended December 31, 2020.
Fourth Quarter Highlights Versus Prior Year
Net Sales decreased 15.8% to $312.9M
Gross Margin decreased 320 bps to 35.6%
Adjusted Operating Expenses decreased $11.0M to $94.1M or 30.1% of net sales
Adjusted EBITDA decreased $21.2M to $30.6M or 9.8% of net sales
Adjusted Diluted EPS decreased $0.38 to $0.14
Full Year Highlights Versus Prior Year
Net Sales decreased 13.4% to $1,236.4M
Gross Margin decreased 260 bps to 35.8%
Adjusted Operating Expenses decreased $36.5M to $365.9M or 29.6% of net sales
Adjusted EBITDA decreased $67.5M to $126.7M or 10.2% of net sales
Adjusted Diluted EPS decreased $1.01 to 0.95
Solid Financial Results From Our Diversified Portfolio
Our long term strategy of diversifying our sources of revenue, both organically and through acquisition, away from a sole dependence on commercial workplace sales, with fluid brands that can pivot between sectors, has paid off exceedingly well this year. Sales to residential end users represented over a third of our total revenue, up from a fifth just a year ago. These sales increased 34% from prior year levels to a record $107M in the fourth quarter, and increased over 20%, to $335M, for the full year 2020. This helped to offset a 22% decline in our commercial workplace sales in 2020 and resulted in total revenues of $1,236.4M, down 13.4% vs prior year. For the quarter, sales of $312.9M declined 15.8% vs prior year driven by a 30% decline in workplace sales.