Why Invest

Investment Thesis

Our two differentiated business segments each possess cyclical, secular, and company-specific growth drivers. These diversified revenue streams should be complemented by multiple margin expansion opportunities, strong free cash flow potential, and modest financial leverage.

1
Enhancing two differentiated business segments
Revenue to benefit from cyclical recovery, secular post-pandemic drivers, and company-specific initiatives.
2
Improving overall company margin profile
Maintain industry-leading profitability in Residential Building Products; focus on margin expansion in Workplace Furnishings as part of our Strategic Framework.
3
Continuing to drive strong cash flow
Free cash flow consistently exceeds net income; supporting growth investments and shareholder returns.
4
Taking advantage of balance sheet flexibility
Cash flow profile and balance sheet strength supports growth investment, dividend growth, M&A, and share repurchase.
5
Seasoned management team
CEO Jeff Lorenger: 22 years with HNI, CFO Marshall Bridges: 19 years with HNI; top six leaders: total of 110 years of pertinent industry experience.
6
Attractive valuation and dividend yield
Support from: diversified revenue streams, exposure to faster-growing markets and secular trends, cash flow and dividend consistency, and balance sheet strength.

HNI Corporation At-A-Glance (KPI)

~$1.7B
Market cap
(as of 10/22/2021)
~$1.9B
Enterprise Value
(as of 10/22/2021)
$2.1B
TTM Revenue (as of Q3 2021)
$196M
TTM Non-GAAP EBITDA (as of Q3 2021)
$102M
TTM Free Cash Flow (as of Q3 2021)
$50M
Net Debt (as of Q3 2021)