Page 1

Herman Miller Group News Herman Miller , Inc. Reports First Quarter Fiscal 2022 Results ZEELAND , Mich . , Sept. 29 , 2021 / PRNewswire / -- • Completed acquisition of Knoll , Inc. during the quarter , creating the preeminent leader in modern design ● Subject to shareholder approval at this year's annual meeting , our Board elected to change our name to MillerKnoll , Inc. ● Strong demand and the Knoll acquisition drove quarterly orders of $ 916.5 million , an increase of 64.8 % compared to the prior year period , up 34.5 % * organically • Net sales increased 26.0 % from the prior year to $ 789.7 million inclusive of a partial quarter net sales of $ 156.4 million from the Knoll acquisition , and up 0.4 % organically compared to prior year • Integration proceeding smoothly ; reaffirming expectation for $ 100 million run - rate cost synergies within two years of closing Webcast to be held Wednesday , September 29 , 2021 , at 5:30 PM ET First Quarter Fiscal 2022 Financial Results ( Dollars in millions , except per share data ) Net Sales Gross Margin % Adjusted Gross Margin % * Operating Expenses Adjusted Operating Expenses * Operating Earnings ( Loss ) % Adjusted Operating Earnings % * Net Earnings ( Loss ) Attributable to Herman Miller , Inc. Earnings ( Loss ) Per Share - Diluted Adjusted Earnings Per Share - Diluted * Orders Financial Results August 28 , 2021 $ 789.7 35.1 % 35.9 % $ Earnings ( Loss ) per Share - Diluted Non - comparable items : Add : Special charges , after tax Add : Amortization of purchased intangibles , after tax Add : Acquisition and integration charges , after tax 330.3 235.2 ( 6.7 ) % 6.2 % Add : Debt extinguishment , after tax Add : Restructuring expenses , after tax Adjusted Earnings per Share - Diluted Less : Knoll net income ( 61.5 ) ( 0.93 ) 0.49 Add : Impact of increased interest expense on financing of Knoll acquisition Add : Impact of additional shares issued for Knoll acquisition ( Unaudited ) Three Months Ended August 29 , 2020 $ 626.8 916.5 835.9 $ 39.9 % 40.0 % 154.6 155.8 15.2 % 15.3 % $ $ ( 60.5 ) % $ 556.0 64.8 % Backlog $ $ 400.0 109.0 % * Items indicated represent Non - GAAP measurements ; see the reconciliations of Non - GAAP financial measures and related explanations below . To our shareholders : 73.0 1.24 1.24 We had a strong start to fiscal 2022 , as we experienced robust demand across our business while also successfully completing our acquisition of Knoll . Going forward , we are pleased to share that we will operate under the name Miller Knoll , and become one of the largest and most influential design companies in the world . The integration is progressing smoothly as we bring together the best of both organizations , and we are confident in our ability to deliver on our previously outlined cost synergy targets . Our teams across the organization are energized and focused on our purpose - design for the good of humankind . Acquisition of Knoll and Changes in Reportable Segments In connection with Herman Miller's acquisition of Knoll , Inc. completed on July 19 , 2021 , and now operating as MillerKnoll , we are reporting results under four business segments : % Chg . 26.0 % • Global Retail - reflects the legacy North America Retail segment and now includes International Retail • Americas Contract reflects the legacy North America Contract segment now combined with Latin America and Design Within Reach Contract • International Contract - reflects contract business outside the Americas • Knoll - the acquired consolidated Knoll business will initially be reflected as a stand - alone segment Performance Highlights We continue to experience strong momentum in our Global Retail and International Contract segments . Demand is accelerating in the Americas Contract and Knoll segments as our customers prepare to return to their offices and adapt them for the future of work . Order levels increased over the prior year for all reportable segments . We believe that this positive order demand is an indicator of the strength of our business strategy , and underscores our confidence in the future as we lead the industry in redefining modern design as MillerKnoll . N / A N / A % 113.6 51.0 % N / A N / A N / A N / A The following table highlights non - comparable items that impacted U.S. GAAP net earnings per diluted share , defined as earnings per diluted share adjusted , to exclude the impact of special charges , acquisition and integration - related expenses , expense related to debt extinguishment , and intangible asset amortization related to the Knoll acquisition . The table also includes an adjustment for the impact of the Knoll acquisition including Knoll's net income , the impact of increased interest expense from financing of the Knoll acquisition , and the impact of additional shares issued for the Knoll acquisition for the purpose of pro forma earnings per share . This pro forma earnings per share excludes items that are non - comparable to the diluted earnings per share guidance given in the June 2021 earnings release . $ Three Months Ended August 28 , 2021 August 29 , 2020 $ ( 0.93 ) $ 1.24 0.37 0.90 0.15 0.49 ( 0.10 ) 0.02 0.06 $ 0.01 ( 0.01 ) 1.24