Steelcase Inc (SCS) Q1 2026 Earnings Report

Steelcase reported a solid start to fiscal 2026 QQ1 with revenue of $779 million, up 7% year over year, and adjusted EPS of $0.20, up 25% from the prior year. The quarter featured a 170 basis point expansion in gross margin and a 5% adjusted operating margin, driven by stronger Americas performance and ongoing cost-reduction initiatives. Management highlighted healthy backlog growth and resilience in large corporate demand, particularly from technology customers, while education and certain government segments faced headwinds tied to policy changes and funding cycles. The company signaled ongoing tariff headwinds and inflation pressures but indicated pricing actions and productivity gains were offsetting a portion of these costs. Looking ahead, Steelcase maintains a mid-single-digit organic revenue growth target for the year and intends to expand adjusted operating margins, though international profitability remains a work in progress due to Europe-specific headwinds and restructuring efforts. The outcome will hinge on the evolution of tariffs, policy shifts in ESSER-like funding, and the pace of large-corporate space transformations as hybrid work solidifies.”,