This release contains "forward-looking" statements based on current expectations regarding future plans, events, outlook, objectives, financial performance, expectations for sales growth, and earnings per diluted share (GAAP and non-GAAP), including statements regarding the expected effects on our business, financial condition and results of operations from the COVID-19 pandemic. Forward-looking statements can be identified by words including "expect," "believe," "anticipate," "estimate," "may," "will," "would," "could," "confident", or other similar words, phrases, or expressions. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Corporation's actual future results and performance to differ materially from expected results. These risks include but are not limited to: the duration and scope of the COVID-19 pandemic, and its effect on people and the economy; the levels of office furniture needs and housing starts; overall demand for the Corporation's products; general economic and market conditions in the United States and internationally; industry and competitive conditions; the consolidation and concentration of the Corporation's customers; the Corporation's reliance on its network of independent dealers; change in trade policy; changes in raw material, component, or commodity pricing; market acceptance and demand for the Corporation's new products; changing legal, regulatory, environmental, and healthcare conditions; the risks associated with international operations; the potential impact of product defects; the various restrictions on the Corporation's financing activities; an inability to protect the Corporation's intellectual property; impacts of tax legislation; and force majeure events outside the Corporation's control. A description of these risks and additional risks can be found in the Corporation's annual and quarterly reports filed with the Securities and Exchange Commission on Forms 10-K and 10-Q. The Corporation
assumes no obligation to update, amend, or clarify forward-looking statements, except as required by applicable law.
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Q3 2020
Conference
Call
Agenda
Q3 2020 highlights
Q4 2020 outlook
2021/long-termcommentary IV. Q&A
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Q3 2020 Highlights
Operating cash flow increased $28 million (or 24%) on a year-to-date basis vs. 2019 levels.
Residential Building Products segment operating profit increased, and segment operating margin expanded on a year-over-year basis in the third quarter 2020.
Workplace Furnishings segment generated third quarter
2020 operating profit of nearly $17M, despite a 27% year-over-year decrease on the top line.
Quarter-endingdebt levels were $175 million, equal to a gross leverage ratio of approximately 0.9x (covenants are 3.5x).
Our diversified revenue streams, relative strength in our Residential Building Products segment, and ability to control costs and expenses in our Workplace Furnishings segment, combined to help drive strong free cash flow generation and further strengthen our balance sheet.
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HNI Corporation published this content on 19 October 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 19 October 2020 12:29:00 UTC
HNI Corporation is a provider of workplace furnishings and residential building products. The workplace furnishings segment manufactures and markets a line of commercial and home office furniture, which includes panel-based and freestanding furniture systems, seating, storage, benching, tables, architectural products, and social collaborative items. The residential building products segment manufactures and markets a range of gas, wood, electric, and pellet-fueled fireplaces, inserts, stoves, facings, outdoor fire pits and fire tables, and accessories. Its products are sold primarily through independent dealers, office product distributors, eCommerce retailers, and wholesalers but also directly to end-user customers and federal, state, and local governments. Its brands include HON, Allsteel, Beyond, Dâstyle, Gunlocke, Kimball, HBF, HBF Textiles and HNI India. It exports select products through its export subsidiary to North America, principally the Caribbean, Latin America, and Mexico.
HNI CORPORATION 
