Leggett & Platt 4Q Earnings Up on Lower Sales

Carthage, MO, January 26, 2007--Leggett & Platt said its fourth-quarter earnings rose 55 percent as lower costs helped offset a slight drop in sales, but results failed to meet Wall Street expectations. Net income climbed to $70 million, or 38 cents per share, from $45.3 million, or 24 cents per share, a year ago. The latest period includes a gain of 5 cents per share from recouping a duty on Canadian lumber imports, while year-ago results include charges of 11 cents. Excluding items, the company posted profit of 33 cents per share in the latest quarter. Sales dipped 2.2 percent to $1.31 billion from $1.34 billion, partially due to restructuring efforts and divestitures. On average, analysts surveyed by Thomson Financial were looking for profit of 36 cents per share on revenue of $1.34 billion. "Fourth-quarter sales and earnings were in line with the expectations we shared in October, even though sales were toward the lower end of our guidance," said David S. Haffner, president and CEO.