Operating margins remain constrained and highly volatile, fluctuating between -8.9% and 7.0% over the last ten quarters despite a relatively stable gross margin profile near 39%.
| Metric | May'26 | May'25 | Jun'24 | Jun'23 | May'22 | May'21 | May'20 | May'19 | May'18 | May'17 | May'16 | May'15 | May'14 | May'13 | May'12 | May'11 | May'10 | May'09 | May'08 | May'07 | May'06 | May'05 | May'04 | May'03 | May'02 | May'01 | May'00 | May'99 | May'98 | May'97 |
|---|
| Sales/Revenue | 3.84B | 3.67B | 3.63B | 4.09B | 3.95B | 2.47B | 2.49B | 2.57B | 2.38B | 2.28B | 2.26B | 2.14B | 1.88B | 1.77B | 1.72B | 1.65B | 1.32B | 1.63B | 2.01B | 1.92B | 1.74B | 1.52B | 1.34B | 1.34B | 1.47B | 2.24B | 1.94B | 1.77B | 1.72B | 1.5B |
| Revenue Growth % | 4.68% | 1.14% | -11.22% | 3.58% | 60.07% | -0.86% | -3.14% | 7.81% | 4.52% | 0.59% | 5.73% | 13.83% | 6.03% | 2.95% | 4.54% | 25.05% | -19.09% | -18.99% | 4.86% | 10.46% | 14.62% | 13.25% | 0.13% | -9% | -34.32% | 15.39% | 9.73% | 2.77% | 14.89% | 16.51% |
| Cost of Goods Sold | 2.35B | 2.25B | 2.21B | 2.66B | 2.59B | 1.51B | 1.58B | 1.64B | 1.51B | 1.41B | 1.39B | 1.35B | 1.25B | 1.17B | 1.13B | 1.11B | 890.3M | 1.1B | 1.31B | 1.27B | 1.16B | 1.03B | 922.7M | 912.9M | 1.03B | 1.48B | 1.13B | 1.03B | 1.03B | 914M |
| COGS % of Revenue | 61.25% | 61.24% | 60.88% | 65.01% | 65.72% | 61.42% | 63.38% | 63.78% | 63.34% | 62.07% | 61.4% | 63.06% | 66.47% | 65.9% | 65.74% | 67.37% | 67.51% | 67.63% | 65.28% | 66.34% | 66.91% | 67.68% | 68.95% | 68.31% | 70.02% | 66.21% | 58.23% | 58.57% | 59.87% | 61.1% |
| Gross Profit | 1.49B | 1.42B | 1.42B | 1.43B | 1.35B | 951.1M | 910.7M | 929.9M | 873M | 864.2M | 874.2M | 791.4M | 631M | 605.2M | 590.6M | 538.1M | 428.5M | 527.7M | 698.7M | 645.9M | 574.8M | 489.8M | 415.6M | 423.6M | 440.3M | 755.7M | 809.5M | 731.7M | 689.6M | 581.9M |
| Gross Margin % | 38.75% | 38.76% | 39.12% | 34.99% | 34.28% | 38.58% | 36.62% | 36.22% | 36.66% | 37.93% | 38.6% | 36.94% | 33.53% | 34.1% | 34.26% | 32.63% | 32.49% | 32.37% | 34.72% | 33.66% | 33.09% | 32.32% | 31.05% | 31.69% | 29.98% | 33.79% | 41.77% | 41.43% | 40.13% | 38.9% |
| Gross Profit Growth % | 4.65% | 0.22% | -0.73% | 5.71% | 42.22% | 4.44% | -2.06% | 6.52% | 1.02% | -1.14% | 10.46% | 25.42% | 4.26% | 2.47% | 9.76% | 25.58% | -18.8% | -24.47% | 8.17% | 12.37% | 17.35% | 17.85% | -1.89% | -3.79% | -41.74% | -6.65% | 10.63% | 6.11% | 18.51% | 21.25% |
| Operating Expenses | 1.28B | 1.2B | 1.2B | 1.21B | 1.21B | 715.9M | 717.3M | 716.2M | 688.4M | 660.9M | 662.7M | 613.1M | 630.2M | 489.1M | 447.6M | 411.8M | 358.2M | 376.5M | 447M | 447.8M | 415.5M | 366.9M | 344.1M | 358.9M | 520.2M | 519.7M | 574.8M | 507.4M | 481.2M | 436.7M |
| OpEx % of Revenue | 33.21% | 32.67% | 33.2% | 29.71% | 30.54% | 29.04% | 28.85% | 27.9% | 28.91% | 29.01% | 29.26% | 28.62% | 33.49% | 27.56% | 25.96% | 24.97% | 27.16% | 23.1% | 22.22% | 23.34% | 23.92% | 24.21% | 25.71% | 26.85% | 35.42% | 23.24% | 29.66% | 28.73% | 28% | 29.19% |
| Selling, General & Admin | 1.28B | 1.11B | 1.11B | 1.11B | 1.1B | 643.8M | 643.3M | 639.3M | 615.3M | 587.8M | 585.6M | 541.7M | 564.3M | 429.2M | 394.9M | 366M | 317.7M | 330.8M | 395.8M | 395.8M | 372.5M | 326.7M | 304.1M | 319.8M | 399.7M | 475.4M | 456.4M | 407.4M | 396.7M | 359.6M |
| SG&A % of Revenue | 33.21% | 30.12% | 30.65% | 27.12% | 27.78% | 26.12% | 25.87% | 24.9% | 25.84% | 25.8% | 25.86% | 25.29% | 29.98% | 24.18% | 22.9% | 22.19% | 24.09% | 20.29% | 19.67% | 20.63% | 21.44% | 21.56% | 22.72% | 23.93% | 27.21% | 21.26% | 23.55% | 23.07% | 23.08% | 24.04% |
| Research & Development | 0 | 93.8M | 92.6M | 105.7M | 108.7M | 72.1M | 74M | 76.9M | 73.1M | 73.1M | 77.1M | 71.4M | 65.9M | 59.9M | 52.7M | 45.8M | 40.5M | 45.7M | 51.2M | 52M | 43M | 40.2M | 40M | 39.1M | 38.9M | 44.3M | 41.3M | 37.9M | 33.8M | 29.1M |
| R&D % of Revenue | - | 2.56% | 2.55% | 2.59% | 2.75% | 2.92% | 2.98% | 3% | 3.07% | 3.21% | 3.4% | 3.33% | 3.5% | 3.37% | 3.06% | 2.78% | 3.07% | 2.8% | 2.54% | 2.71% | 2.48% | 2.65% | 2.99% | 2.93% | 2.65% | 1.98% | 2.13% | 2.15% | 1.97% | 1.95% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 81.6M | 0 | 77.1M | 62.1M | 50.7M | 48M |
| Operating Income | 214.4M | 223.6M | 214.8M | 215.9M | 147.7M | 235.2M | 193.4M | 213.7M | 184.6M | 203.3M | 211.5M | 178.3M | 800K | 116.1M | 143M | 126.3M | 70.3M | 151.2M | 251.7M | 198.1M | 159.3M | 122.9M | 71.5M | 64.7M | -79.9M | 236M | 234.7M | 224.3M | 208.4M | 145.2M |
| Operating Margin % | 5.58% | 6.09% | 5.92% | 5.28% | 3.74% | 9.54% | 7.78% | 8.32% | 7.75% | 8.92% | 9.34% | 8.32% | 0.04% | 6.54% | 8.29% | 7.66% | 5.33% | 9.28% | 12.51% | 10.32% | 9.17% | 8.11% | 5.34% | 4.84% | -5.44% | 10.55% | 12.11% | 12.7% | 12.13% | 9.71% |
| Operating Income Growth % | -4.11% | 4.1% | -0.51% | 46.17% | -37.2% | 21.61% | -9.5% | 15.76% | -9.2% | -3.88% | 18.62% | 22187.5% | -99.31% | -18.81% | 13.22% | 79.66% | -53.51% | -39.93% | 27.06% | 24.36% | 29.62% | 71.89% | 10.51% | 180.98% | -133.86% | 0.55% | 4.64% | 7.63% | 43.53% | 58.86% |
| EBITDA | 362.7M | 364.1M | 369.9M | 371M | 338.3M | 322.4M | 272.9M | 285.8M | 251.5M | 262.2M | 264.5M | 228.1M | 43.2M | 153.6M | 180.2M | 165.4M | 112.9M | 192.9M | 294.9M | 239.3M | 200.9M | 169.8M | 130.8M | 84.5M | 33M | 328.6M | 311.8M | 286.4M | 259.1M | 193.2M |
| EBITDA Margin % | 9.44% | 9.92% | 10.19% | 9.08% | 8.57% | 13.08% | 10.97% | 11.13% | 10.56% | 11.51% | 11.68% | 10.65% | 2.3% | 8.65% | 10.45% | 10.03% | 8.56% | 11.83% | 14.66% | 12.47% | 11.56% | 11.2% | 9.77% | 6.32% | 2.25% | 14.69% | 16.09% | 16.22% | 15.08% | 12.92% |
| EBITDA Growth % | -0.38% | -1.57% | -0.3% | 9.67% | 4.93% | 18.14% | -4.51% | 13.64% | -4.08% | -0.87% | 15.96% | 428.01% | -71.88% | -14.76% | 8.95% | 46.5% | -41.47% | -34.59% | 23.23% | 19.11% | 18.32% | 29.82% | 54.79% | 156.06% | -89.96% | 5.39% | 8.87% | 10.54% | 34.11% | 41.64% |
| D&A (Non-Cash Add-back) | 148.3M | 140.5M | 155.1M | 155.1M | 190.6M | 87.2M | 79.5M | 72.1M | 66.9M | 58.9M | 53M | 49.8M | 42.4M | 37.5M | 37.2M | 39.1M | 42.6M | 41.7M | 43.2M | 41.2M | 41.6M | 46.9M | 59.3M | 19.8M | 112.9M | 92.6M | 77.1M | 62.1M | 50.7M | 48M |
| EBIT | 214.4M | 55.1M | 175.5M | 124.6M | 29.2M | 235.2M | 193.4M | 213.7M | 184.6M | 203.3M | 211.5M | 178.3M | 800K | 116.1M | 143M | 126.3M | 70.3M | 151.2M | 251.7M | 198.1M | 159.3M | 126.8M | 71.5M | 64.7M | -79.9M | 236M | 234.7M | 224.3M | 208.4M | 145.2M |
| Net Interest Income | 0 | -71.3M | -70.1M | -71.2M | -36.2M | -11.8M | -10.2M | -10M | -9.1M | -13M | -14.6M | -16.9M | -17.2M | -16.8M | -16.5M | -18.4M | -17.1M | -25.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 5.4M | 6.1M | 2.8M | 1.6M | 2.1M | 2.3M | 2.1M | 4.4M | 2.2M | 800K | 600K | 400K | 400K | 1M | 1.5M | 4.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 76.7M | 76.2M | 74M | 37.8M | 13.9M | 12.5M | 12.1M | 13.5M | 15.2M | 15.4M | 17.5M | 17.6M | 17.2M | 17.5M | 19.9M | 21.7M | 25.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -86.3M | -245.2M | -115.5M | -165.3M | -156.3M | -6.6M | -201.8M | -13.6M | -13.5M | -24.1M | -14.5M | -33M | -44.1M | -19M | -23.5M | -23.8M | -35.5M | -52.3M | -21.3M | -11.1M | -11.7M | -10.1M | -19.9M | -28.9M | -11.1M | -10.9M | -12.9M | 5.6M | 1.1M | -19.3M |
| Pretax Income | 128.2M | -21.6M | 99.3M | 50.6M | -8.6M | 228.6M | -8.4M | 200.1M | 171.1M | 179.2M | 197M | 145.3M | -43.3M | 97.1M | 119.5M | 102.5M | 34.8M | 98.9M | 230.4M | 187M | 147.6M | 112.8M | 51.6M | 35.8M | -91M | 225.1M | 221.8M | 229.9M | 209.5M | 125.9M |
| Pretax Margin % | 3.34% | -0.59% | 2.74% | 1.24% | -0.22% | 9.27% | -0.34% | 7.79% | 7.19% | 7.87% | 8.7% | 6.78% | -2.3% | 5.47% | 6.93% | 6.22% | 2.64% | 6.07% | 11.45% | 9.75% | 8.5% | 7.44% | 3.86% | 2.68% | -6.2% | 10.07% | 11.44% | 13.02% | 12.19% | 8.42% |
| Income Tax | 32.4M | 11.6M | 14.7M | 4.5M | 11.1M | 48.3M | 6M | 39.6M | 42.4M | 55.1M | 59.5M | 47.2M | -21.2M | 28.9M | 44.3M | 31.7M | 6.5M | 31M | 78.2M | 57.9M | 47.7M | 44.7M | 8.8M | 12.5M | -35M | 81M | 82.1M | 88.1M | 81.2M | 51.5M |
| Effective Tax Rate % | 25.27% | -53.7% | 14.8% | 8.89% | -129.07% | 21.13% | -71.43% | 19.79% | 24.78% | 30.75% | 30.2% | 32.48% | 48.96% | 29.76% | 37.07% | 30.93% | 18.68% | 31.34% | 33.94% | 30.96% | 32.32% | 39.63% | 17.05% | 34.92% | 38.46% | 35.98% | 37.02% | 38.32% | 38.76% | 40.91% |
| Net Income | 91.5M | -36.9M | 82.3M | 42.1M | -27.1M | 174.6M | -9.1M | 160.5M | 128.1M | 123.9M | 136.7M | 97.5M | -22.1M | 68.2M | 75.2M | 70.8M | 28.3M | 68M | 152.3M | 129.1M | 99.2M | 68M | 42.3M | 23.3M | -56M | 147.6M | 139.7M | 141.8M | 128.3M | 74.4M |
| Net Margin % | 2.38% | -1.01% | 2.27% | 1.03% | -0.69% | 7.08% | -0.37% | 6.25% | 5.38% | 5.44% | 6.04% | 4.55% | -1.17% | 3.84% | 4.36% | 4.29% | 2.15% | 4.17% | 7.57% | 6.73% | 5.71% | 4.49% | 3.16% | 1.74% | -3.81% | 6.6% | 7.21% | 8.03% | 7.47% | 4.97% |
| Net Income Growth % | 347.97% | -144.84% | 95.49% | 255.35% | -115.52% | 2018.68% | -105.67% | 25.29% | 3.39% | -9.36% | 40.21% | 541.18% | -132.4% | -9.31% | 6.21% | 150.18% | -58.38% | -55.35% | 17.97% | 30.14% | 45.88% | 60.76% | 81.55% | 141.61% | -137.94% | 5.66% | -1.48% | 10.52% | 72.45% | 62.09% |
| Net Income (Continuing) | 95.7M | -33.2M | 84.6M | 46.1M | -19.7M | 180.3M | -14.4M | 160.5M | 128.7M | 124.1M | 137.5M | 98.1M | -22.1M | 68.2M | 75.2M | 70.8M | 28.3M | 67.9M | 152.2M | 129.1M | 99.9M | 68.1M | 42.8M | 23.3M | -56M | 144.1M | 139.7M | 141.8M | 128.3M | 74.4M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 63.3M | 59.3M | 73.9M | 107.6M | 106.9M | 77M | 50.4M | 20.6M | 30.7M | 24.7M | 27.3M | 30.9M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 300K | 200K | 100K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 1.32 | -0.53 | 1.11 | 0.55 | -0.37 | 2.94 | -0.15 | 2.70 | 2.12 | 2.05 | 2.26 | 1.62 | -0.37 | 1.16 | 1.29 | 1.06 | 0.43 | 1.25 | 2.56 | 1.98 | 1.45 | 0.96 | 0.58 | 0.31 | -0.74 | 1.81 | 1.74 | 1.67 | 1.39 | 0.77 |
| EPS Growth % | 349.06% | -147.75% | 101.82% | 248.65% | -112.59% | 2060% | -105.56% | 27.36% | 3.41% | -9.29% | 39.51% | 537.84% | -131.9% | -10.08% | 21.7% | 146.51% | -65.6% | -51.17% | 29.29% | 36.55% | 51.04% | 65.52% | 87.1% | 141.89% | -140.88% | 4.02% | 4.19% | 20.14% | 80.52% | 67.39% |
| EPS (Basic) | 1.34 | -0.53 | 1.12 | 0.56 | -0.37 | 2.96 | -0.15 | 2.72 | 2.15 | 2.07 | 2.29 | 1.64 | -0.37 | 1.17 | 1.29 | 1.24 | 0.51 | 1.26 | 2.58 | 2.01 | 1.46 | 0.98 | 0.58 | 0.31 | -0.74 | 1.83 | 1.76 | 1.69 | 1.42 | 0.79 |
| Diluted Shares Outstanding | 69.42M | 68.98M | 73.95M | 76.02M | 73.16M | 59.39M | 58.92M | 59.38M | 60.31M | 60.55M | 60.53M | 60.13M | 58.96M | 58.84M | 58.46M | 57.68M | 57.49M | 54.54M | 59.58M | 65.06M | 68.5M | 70.8M | 73.07M | 75.16M | 75.87M | 77.65M | 80.53M | 84.83M | 92.3M | 96.62M |
| Basic Shares Outstanding | 68.8M | 68.98M | 73.29M | 75.48M | 73.16M | 58.93M | 58.92M | 59.01M | 59.68M | 59.87M | 59.84M | 59.48M | 58.96M | 58.43M | 58.17M | 57.12M | 56M | 54.14M | 59.11M | 64.32M | 67.86M | 70.3M | 72.57M | 75.16M | 75.87M | 76.66M | 79.53M | 83.73M | 90.35M | 94.18M |
| Dividend Payout Ratio | - | - | 67.56% | 135.63% | - | 19.76% | - | 28.41% | 33.1% | 31.8% | 25.53% | 34.15% | - | 28.01% | 6.91% | 7.06% | 17.31% | 28.24% | 13.92% | 16.03% | 20.46% | 30% | - | 46.35% | - | 7.52% | 8.23% | 8.67% | 10.52% | 16.8% |
Commercial real estate exposure
According to recent quarterly filings, MillerKnoll's revenue growth has exhibited significant volatility, oscillating between a 11.4% contraction in 2024Q3 and a 10.9% expansion in 2026Q1, suggesting that the company's project-based business model remains highly sensitive to shifting corporate capital expenditure cycles and broader macroeconomic uncertainty.
The inconsistent revenue trajectory reflects the inherent difficulty in converting order backlogs into recognized revenue within a hybrid work environment. Investors should monitor whether the recent 4.4% growth in 2026Q4 represents a sustainable recovery or merely a temporary stabilization of project-based demand.
As reported in financial statements, MillerKnoll maintains a relatively stable gross margin profile near 39%, yet operating margins remain constrained, fluctuating between -8.9% and 7.0% over the last ten quarters, which suggests that the company struggles to translate its premium design positioning into consistent bottom-line profitability.
The persistent gap between gross and operating margins indicates that high SG&A expenses and integration costs continue to weigh heavily on the firm's performance. This suggests that the anticipated synergies from the Knoll acquisition have yet to materialize in a way that meaningfully expands the company's operating leverage.
Based on MillerKnoll's reported figures, operating income has failed to scale consistently with gross profit, as evidenced by the 2025Q3 period where a $332.4 million gross profit resulted in a $78.0 million operating loss, highlighting the significant burden of fixed costs and ongoing integration-related expenditures.
The lack of clear operating leverage suggests that the company's cost structure is not yet optimized for the current revenue environment. Analysts should investigate whether the recent reduction in R&D spending is a strategic pivot or a reactive measure to protect operating margins during periods of revenue softness.
Data from recent income statements reveals that MillerKnoll's net income is subject to extreme swings, ranging from a $57.1 million loss in 2025Q4 to a $34.1 million profit in 2025Q2, which suggests that non-operating items and acquisition-related accounting adjustments are significantly distorting the quality of reported earnings.
The wide variance in net income, coupled with inconsistent stock-based compensation patterns, makes it difficult to assess the company's true earnings power. Investors should be cautious of relying on headline EPS figures, as they appear to be heavily influenced by one-time charges rather than core operational efficiency.
While management emphasizes design dominance, the income statement data suggests that MillerKnoll faces significant margin compression risks, as evidenced by the 2025Q3 operating loss, which may indicate that the Knoll integration has created a more complex and costly operational footprint than the market initially anticipated.
Short-sellers may focus on the company's inability to maintain consistent operating profitability despite its premium brand status. The reliance on large-scale contract projects in a weakening commercial real estate market warrants further investigation into whether the current cost structure is sustainable without a significant rebound in office occupancy.
Quick answers to the most common questions about buying MLKN stock.
For fiscal year 2026, MillerKnoll, Inc. (MLKN) reported total revenue of $3.84B. This represents a 156.8% increase compared to $1.50B in 1997.
MillerKnoll, Inc. (MLKN) is profitable, generating $91.5M in net income for the fiscal year ending 2026 with a net profit margin of 2.4%.
MillerKnoll, Inc. (MLKN) reported an operating income of $214.4M, resulting in an operating profit margin of 5.6%. This margin reflects the operational efficiency of the business before interest and taxes.
MillerKnoll, Inc. (MLKN) generated $1.49B in gross profit for the year, representing a gross profit margin of 38.8%. This demonstrates the company's core pricing power and production efficiency.