La-Z-Boy vs Somnigroup International
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The short version
- Somnigroup International is the larger business, with $7.5B of revenue in fiscal 2025 against $2.1B for La-Z-Boy, about 3.5 times as much.
- Somnigroup International grew revenue faster (51.6%, against 0.8%).
- Somnigroup International kept more of each dollar of sales as operating profit (10.1% operating margin, against 6.1%).
- Somnigroup International turned more of its sales into free cash flow (8.5% FCF margin, against 6.0%).
- La-Z-Boy earned a higher return on the capital invested in it (13.1%, against 11.7%).
- Investors pay more for each dollar of Somnigroup International’s earnings: a P/E of 25.8x against 15.1x for La-Z-Boy.
| Latest fiscal year | LZB · FY26 | SGI · FY25 |
|---|---|---|
| Size | ||
| Market cap | $1.2B | $13.7B |
| Revenue | $2.1B | $7.5B |
| Free cash flow | $128M | $633M |
| Net income | $102M | $384M |
| Growth | ||
| Revenue growth | 0.8% | 51.6% |
| 5-year growth | 4.2% | 15.3% |
| Share count change | −2.4% | 17.4% |
| Profitability | ||
| Gross margin | 44.0% | 42.6% |
| Operating margin | 6.1% | 10.1% |
| Net margin | 4.8% | 5.1% |
| FCF margin | 6.0% | 8.5% |
| Return on capital | 13.1% | 11.7% |
| Return on equity | 9.9% | 21.0% |
| Balance sheet | ||
| Net debt | −$301M | $4.6B |
| Net debt / EBITDA | −1.7x | 4.4x |
| Dividends and buybacks | $85.2M | $260M |
| Valuation & quality | ||
| P/E | 15.1x | 25.8x |
| Piotroski F-score | 7 | 6 |
Revenue
FY17
LZB $1.5B
SGI $2.8B
FY18
LZB $1.6B
SGI $2.7B
FY19
LZB $1.7B
SGI $3.1B
FY20
LZB $1.7B
SGI $3.7B
FY21
LZB $1.7B
SGI $4.9B
FY22
LZB $2.4B
SGI $4.9B
FY23
LZB $2.3B
SGI $4.9B
FY24
LZB $2.0B
SGI $4.9B
FY25
LZB $2.1B
SGI $7.5B
FY26
LZB $2.1B
SGI —
LZB
SGI
Operating margin
FY17
LZB 8.8%
SGI 10.7%
FY18
LZB 8.2%
SGI 9.5%
FY19
LZB 7.4%
SGI 11.2%
FY20
LZB 7.0%
SGI 14.5%
FY21
LZB 7.9%
SGI 18.5%
FY22
LZB 8.8%
SGI 13.8%
FY23
LZB 9.0%
SGI 12.3%
FY24
LZB 7.4%
SGI 12.9%
FY25
LZB 6.4%
SGI 10.1%
FY26
LZB 6.1%
SGI —
LZB
SGI
Free cash flow
FY17
LZB $128M
SGI $156M
FY18
LZB $79.4M
SGI $134M
FY19
LZB $102M
SGI $227M
FY20
LZB $118M
SGI $543M
FY21
LZB $272M
SGI $600M
FY22
LZB $2.4M
SGI $72.3M
FY23
LZB $136M
SGI $385M
FY24
LZB $105M
SGI $569M
FY25
LZB $113M
SGI $633M
FY26
LZB $128M
SGI —
LZB
SGI
Return on capital
FY17
LZB 19.6%
SGI 13.1%
FY18
LZB 17.2%
SGI 9.7%
FY19
LZB 18.0%
SGI 13.2%
FY20
LZB 14.9%
SGI 22.2%
FY21
LZB 21.9%
SGI 33.4%
FY22
LZB 31.7%
SGI 21.3%
FY23
LZB 26.4%
SGI 17.0%
FY24
LZB 17.7%
SGI 17.5%
FY25
LZB 13.5%
SGI 11.7%
FY26
LZB 13.1%
SGI —
LZB
SGI
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.