Financial Responsibility

Financial Responsibility

Advantage of financial strength

Our ability to adapt to an ever-changing industry and increasingly competitive marketplace has resulted in our continued success for over 90 years. Since 1927, our commitment to innovation, quality and comfort has never wavered. By reinvesting in our brand, building on our strengths, taking calculated risks and developing strategic advantages, La-Z-boy has positioned itself for long-term financial returns.

Profitable growth

La-Z-boy is proud to deliver strong operating margin performance. Over the past five years ending Fiscal 2019 (April 27, 2019):

$388 million**

sales growth

$39 million**

operating income growth

$627 million

cash generated from operating activities

**Five-year sales and operating income growth is calculated as the sales / operating income for fiscal 2019 less the sales / operating income for fiscal 2014.

A strong brand, solid balance sheet and expansive global supply chain allows us to execute a dual-growth strategy focused on strengthening core offerings, while at the same time expanding our consumer base and developing new areas of growth in the digital marketplace.

Conservative fiscal philosophy

Almost a century of experience and a conservative fiscal philosophy have allowed La-Z-boy to weather market fluctuations, while continuing to invest in our brand and world-class global supply chain. A strong balance sheet and consistent strong cash generation give us flexibility in the dynamic marketplace, allowing us to make strategic acquisitions, strengthen our operations and competitive positioning, and venture into new areas.

Consistent returns to shareholders

Our capital allocation strategy has been focused on three elements: investing in the business to drive long-term value and returns; paying a consistent dividend; and buying back shares. With our strong cash generation, we have been able to do all three in recent years. Over the past five years ending Fiscal 2019 (April 27, 2019):

$99 million

in dividends paid to shareholders

$212 million

spent in share purchases

By making prudent investments across the company, the La-Z-boy® brand continues to evolve, delivering an enhanced customer experience through a combination of online, in store and in-home options and services.