Steelcase surprises with solid performance in the third quarter

The office furniture manufacturer Steelcase exceeded market expectations in the third quarter of the 2025 fiscal year and recorded a revenue growth of 4.8% to $897.1 million year-over-year. The adjusted earnings per share (EPS) reached $0.45, surpassing analysts' consensus estimates by an impressive 23.3%. Founded in 1912, the company has evolved from a manufacturer of metal office furniture to a global provider of workplace solutions, offering desks, chairs, and architectural products. Despite a revenue increase of $3.26 billion over the past twelve months, Steelcase has not seen significant demand increase over the past five years, indicating a certain market saturation. Analysts forecast a 2.1% growth for Steelcase for the coming year, anticipating that newer products and services will drive better revenue performance. Meanwhile, the company has maintained stable costs with an operating profit margin of 5.9%, indicating a balanced cost structure. Compared to flat revenue, the two-year EPS increase of 23.8% shows a positive development, making Steelcase one of the faster-growing service companies in recent times. However, for the current year, Wall Street expects a slight decline in EPS by 1.2% to $1.21. Despite solid results in the recent quarter, the question remains whether Steelcase represents a worthwhile investment. The stock rose by 1.4% to $16.92 immediately following the announcement of the results.