Culp, Inc. Reports Mixed Fiscal 2025 Results

Culp, Inc ( (CULP) ) has released its Q4 earnings. Here is a breakdown of the information Culp, Inc presented to its investors.

Culp, Inc. is a prominent provider of fabrics for bedding and upholstery, serving both residential and commercial furniture markets with a global reach. The company has recently completed a significant restructuring process aimed at improving its operational efficiency and positioning itself for future growth.

In its latest earnings report, Culp, Inc. announced a mixed financial performance for the fourth quarter and fiscal year 2025. While the company faced a challenging revenue environment, it managed to execute a series of strategic initiatives that led to improved operating leverage. The restructuring efforts, including the sale of a manufacturing facility in Canada, have begun to show positive results, with a reduction in fixed costs and increased efficiencies.

Key financial metrics revealed that Culp’s consolidated net sales for the fourth quarter were $48.8 million, slightly down from the previous year. The company reported a GAAP consolidated loss from operations of $2.2 million, an improvement from the prior year’s $4.2 million loss. The mattress fabrics segment showed a 5.3% increase in sales, while the upholstery fabrics segment experienced an 8.9% decline. Despite these challenges, the company achieved profitability in the upholstery fabrics segment and improved its adjusted EBITDA to $559 thousand.

Looking forward, Culp, Inc. is optimistic about fiscal 2026, expecting continued benefits from its restructuring plan and integration of its operating divisions. The company anticipates sales growth in its mattress fabrics business and plans to manage liquidity and capital expenditures aggressively. While macroeconomic uncertainties and tariff-related challenges persist, Culp remains focused on leveraging its leaner and more flexible global platform to navigate future market conditions.