Interface, Inc. designs, produces, and sells modular carpet products in the United States, Canada, Latin America, Europe, Africa, Asia, and Australia. The ...
Interface, Inc. is a global flooring solutions provider focused primarily on commercial interiors. The company began in 1973 when founder Ray Anderson introduced the European concept of modular carpet tile to the U.S. market. That product format became the foundation of Interface’s business and helped establish carpet tile as a ...Interface, Inc. is a global flooring solutions provider focused primarily on commercial interiors. The company began in 1973 when founder Ray Anderson introduced the European concept of modular carpet tile to the U.S. market. That product format became the foundation of Interface’s business and helped establish carpet tile as a practical alternative to broadloom carpet. Modular flooring can be replaced in sections, supports flexible space planning, and can reduce waste during installation and renovation. Interface is headquartered at 1280 West Peachtree Street in Atlanta, Georgia, and sells products in North America, Latin America, Europe, Africa, Asia, and Australia.
The company’s portfolio includes modular carpet, luxury vinyl tile, modular resilient flooring, rubber flooring, and related installation systems. Its brands include Interface for commercial carpet tile and hard-surface flooring, FLOR for design-oriented residential and consumer flooring, and the nora brands NORAPLAN and NORAMENT for rubber flooring applications. Interface also provides TacTiles, adhesives, installation materials, carpet replacement, maintenance, installation, and project-management services. Products are sold through direct sales to end users as well as through independent contractors, installers, distributors, architects, designers, and other commercial flooring partners.
Interface serves a broad range of end markets, including corporate offices, education, healthcare, airports, hotels, retail, public buildings, and residential spaces. Its value proposition combines design flexibility, durability, acoustics, ease of maintenance, installation efficiency, and environmental performance. Sustainability is a central element of the company’s identity. Ray Anderson’s environmental vision led Interface to pursue reduced waste, recycled and bio-based inputs, lower greenhouse-gas emissions, renewable energy, and more circular product systems. The company has positioned itself as a sustainability leader in the flooring industry and promotes products intended to support healthier and lower-impact interiors.
The supplied trailing-twelve-month data indicates approximately $2.22 billion in market capitalization and $2.42 billion in enterprise value. Interface reported a gross margin of about 40.5%, EBITDA margin of approximately 14.6%, operating profit margin of about 13.6%, and net profit margin of roughly 10.1%. The data also shows a current ratio of approximately 2.53, debt-to-assets and debt-to-equity ratios near 22%, and enterprise value to EBITDA of about 11.5. Capital expenditures represented roughly 3.7% of revenue, while free cash flow was approximately $137 million on a free-cash-flow-to-firm basis. Interface employs approximately 3,570 people and is led by CEO Laurel Hurd. Key business priorities include profitable growth, design innovation, resilient and sustainable materials, customer service, operational efficiency, and advancing lower-carbon and circular flooring solutions.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$1.4B
+5.4%
+19.5%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$116.1M
+33.5%
+117.7%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+38.7%
+5.6%
+17.6%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+11.8%
+15.8%
+93.9%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+8.4%
+26.7%
+82.1%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$121.7M
+6.2%
+714.4%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+8.8%
+0.7%
+581.3%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
21.9%
-72.0%
-4.9%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
2.34x
-10.1%
+4.0%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Hello, everyone. Thank you for joining us, and welcome to the Interface Second Quarter 2026 Earnings Call. [Operator Instructions] I will now hand the conference over to Christine Needles, Corporate Communications. Christine, please go ahead.
Christine Needles: Good morning, and welcome to Interface's conference call regarding second quarter 2026 results, hosted by Laurel Hurd, CEO; and Bruce Hausmann, CFO. During today's conference call, any management comments regarding Interface's business, which are not historical information, are forward-looking statements within the meaning of federal securities laws. Forward-looking statements include statements regarding the intent, belief or current expectations of our management team as well as the assumptions on which such statements are based. Any forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties that could cause actual results to differ materially from any such statements, including risks and uncertainties described in our most recent annual report on Form 10-K filed with the SEC. The company assumes no responsibility to update forward-looking statements. Management's remarks during this call also refer to certain non-GAAP measures. Reconciliations of the non-GAAP measures to the most comparable GAAP measures and explanations for their use are contained in the company's earnings release and Form 8-K furnished with the SEC today. Lastly, this call is being recorded and broadcasted for Interface. It contains copyrighted material and may not be rerecorded or rebroadcasted without Interface's express permission. Your participation on the call confirms your consent to the company's taping and broadcasting of it. After our prepared remarks, we will open up the call for questions. Now I will turn the call over to Laurel Hurd, CEO.
Laurel Hurd: Thank you, Christine, and good morning, everyone. Interface delivered another strong quarter, exceeding our expectations, achieving 4% year-over-year currency-neutral net sales growth, building on 7% currency-neutral growth in the second quarter of last year. Growth was broad-based across regions, product categories and primary market segments. We saw healthy contributions from both price and volume, reflecting the strength of our diversified portfolio. Profitability also improved significantly this quarter, driven in part by the IEEPA tariff refunds we recognized. More importantly, continued operational execution improvements also contributed to margin expansion, highlighting the underlying strength and durability of the business. Our strong results continue to reinforce that our One Interface strategy is working. As we've discussed before, One Interface is a multiyear strategy focused on: building strong global functions to support our world-class local selling teams; accelerating growth through enhanced commercial productivity of our commercial teams; expanding margins through global …