Mohawk Industries, Inc. (MHK): Business Model Canvas [Dec-2025 Updated]

You're looking at a flooring giant navigating a tricky housing market as of late 2025, and honestly, the business model is all about operational muscle and strategic defense. With $8.1 billion in net sales through the first nine months of the year, Mohawk Industries, Inc. (MHK) is leaning hard on its vertical integration-controlling everything from raw materials to the final product-while aggressively cutting costs, targeting $110 million in savings this year alone. It's a playbook focused on premium brands and commercial strength to offset residential softness, and you need to see the structure behind that resilience. Dive below to see exactly how their key partnerships, resources, and revenue streams are set up to manage this cycle, defintely worth a look.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Key Partnerships

You're looking at the core relationships Mohawk Industries, Inc. (MHK) relies on to keep its global operations running and its product lines stocked. These partnerships are critical, especially given the current tariff environment and ongoing cost pressures.

Raw material suppliers for clay, wood, and polymers

Mohawk Industries, Inc. manages significant exposure to input cost volatility, which directly impacts the cost of goods sold across its Global Ceramic, Flooring North America (Flooring NA), and Flooring Rest of the World (Flooring ROW) segments. The company explicitly lists inflation in freight and raw material prices as an important factor that could cause future results to differ from expectations.

The company has been aggressively pursuing cost reductions through internal means, including restructuring actions expected to deliver annual savings of approximately $140 million. However, external cost pressures remain evident; for instance, higher input costs contributed to an impact of $41 million in the first quarter of 2025. Furthermore, Mohawk estimates an annualized cost impact of approximately $50 million from current 10% tariffs, which it plans to counter with supply chain adjustments and price increases.

Metric	Value/Context	Period/Source
Estimated Annualized Tariff Cost Impact	$50 million	Current 10% Rates
Higher Input Costs Impact (Q1 2025)	$41 million	Q1 2025
Restructuring Savings Target (Annualized)	$140 million	Announced 2024

Global logistics and freight carriers for international distribution

Moving product globally requires a vast network, as Mohawk Industries, Inc. exports products to around 180 countries. The company is actively working to optimize this network. In late 2025, management noted identifying additional restructuring opportunities to streamline logistics operations across its segments.

The focus on domestic production is a direct countermeasure to global logistics and trade risks. Approximately 85% of U.S. sales are from goods produced in North America, which provides a competitive advantage against import-driven competition, especially amid evolving tariff situations.

Technology partners for digital printing and manufacturing automation

Mohawk Industries, Inc. partners with technology providers to enhance manufacturing efficiency and product innovation. The company has made significant investments in new digital printing technologies designed to create three-dimensional visuals, offering different color intensity and surface textures.

For warehouse operations, the partnership with inVia Robotics has yielded quantifiable results. Since implementing inVia's warehouse optimization system using Picker autonomous mobile robots (AMRs) starting in 2022, Mohawk has seen its team's productivity increase substantially.

• Pick rates have more than doubled since adopting inVia's technology.
• The automation helped eliminate the use of temporary labor.
• Full-time team members were reassigned from rote tasks to more strategic jobs.

Sourcing relationships with other manufacturers to supplement product lines

To ensure a wide product offering, Mohawk Industries, Inc. supplements its domestic manufacturing with imported products, particularly in its Global Ceramic Segment, which accounted for 39% of total revenue in 2024. A key part of this sourcing strategy involves internal production outside the U.S. Most of the ceramic tile and some LVT imported into the U.S. is produced in Mohawk's own facilities in Mexico, which keeps those products outside of specific U.S. tariff structures like USMCA.

Segment	2024 Revenue Contribution	Sourcing Strategy Detail
Global Ceramic	39%	Supplemented by imports, including own-facility production in Mexico
Flooring North America	35%	Majority of U.S. sales (85%) are from North American production

Key retail partners like home centers and mass merchants

Distribution relies heavily on a mix of retail channels, though the balance between independent specialists and large format stores is distinct. Mohawk Industries, Inc. continues to support its network of independent retailers, which remain a dominant sales channel.

The company actively engages these partners through specific programs designed to elevate the in-store experience and drive sales, anticipating a market rebound in 2025.

• Independent retailers sell three times as much flooring as home centers.
• Mohawk launched the Edge Stores program for its most aligned customers.
• The Edge Experience Academy provides training for retail store associates.

Finance: draft 13-week cash view by Friday.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Key Activities

Vertically integrated manufacturing of diverse flooring products

Mohawk Industries, Inc. maintains vertically integrated operations across 19 countries. This integration spans from raw materials, including in-house clay mining and resin extrusion, through to distribution. The company produces carpet, rugs, ceramic tile, laminate, wood, stone, and vinyl flooring. Mohawk operates with over 20 recognized brands.

Segment	Nine Months Ended Sept 27, 2025 Net Sales	Q3 2025 Net Sales	Q2 2025 Adjusted Operating Margin
Global Ceramic Segment	$2.1 billion (First Half 2025)	Increased 4.4% as reported	8.1%
Flooring North America (FNA) Segment	$1.8 billion (First Half 2025)	Decreased 3.8% as reported	7.3%
Flooring Rest of the World (FROW) Segment	$1.4 billion (First Half 2025)	Increased 4.3% as reported	10.4% adjusted (Q2 2025)

Global distribution and logistics management

Logistics operations are being streamlined as part of cost-cutting measures. The company's global footprint includes operations on five continents. Approximately 85% of U.S. sales originate from goods produced in North America.

Product innovation, especially in LVT and premium ceramic

Mohawk Industries, Inc. emphasizes fashion and performance in its product development. For the first quarter of 2025, over 100 new SKUs were introduced. This included 4 new resilient plank visuals and 2 new resilient tile visuals.

• Water-resistant Laminate technology keeps the product safe from spills for up to 24 hours.
• StepWise™ Ceramic Technology is infused into porcelain tile for superior slip resistance.
• Pergo Extreme rigid LVT is constructed with a solid stone-plastic composite.
• The Karastan Black Label soft surface program was launched.

Executing restructuring actions for $110 million in 2025 savings

Restructuring actions are on schedule to deliver an expected $110 million in annualized savings for 2025. These actions involve closing high-cost operations and eliminating inefficient assets. The broader, multi-year restructuring program targets $285 million in annualized savings by 2026. The restructuring in the Mexican ceramic business alone is expected to result in $20 million in annualized savings.

Restructuring Metric	Value	Target Year
Annualized Savings from 2025 Actions	$110 million	2025
Total Projected Annualized Savings	$285 million	2026
Efficiency Improvement in North American LVT Production	15%	Ongoing

Managing supply chain to mitigate tariff impacts

The company is managing the impact of tariffs through supply chain optimization and pricing actions. U.S. tariffs on imports from China, specifically on Luxury Vinyl Tile, face duties of up to 145%. At 10% tariff rates, the estimated annualized cost to Mohawk was approximately $50 million. The company is reinforcing the value of its domestic manufacturing to counter these impacts.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Key Resources

You're looking at the core assets that let Mohawk Industries, Inc. operate at a global scale, which is critical in a capital-intensive, cyclical industry like flooring. These aren't just things they own; they are the competitive advantages that make it tough for others to catch up.

The foundation of Mohawk Industries, Inc.'s operational strength is its physical footprint and its intellectual moat. The sheer scale of their manufacturing and distribution capabilities allows them to serve diverse global markets efficiently, even when facing regional economic headwinds. This physical network is supported by a deep bench of intellectual property that protects their product differentiation.

Here's a quick look at the hard numbers underpinning these key resources:

Key Resource Metric	Value/Data Point	Context/Date
Total Assets	$13.621 billion	As of the quarter ending September 30, 2025
Patents (Total)	Over 3,800	Approximate Count
Patent Families	Approximately 500	Approximate Count
Restructuring Savings Target (Annualized)	Approximately $110 million	Combined savings expected in 2025

The intellectual property portfolio is a significant, often underestimated, asset. It's not just about the quantity of patents; it's about the quality and strategic placement of those patents, especially those related to locking systems like Uniclic® and protective technologies like WetProtect™.

The company's brand equity is another vital, though less tangible, resource. Mohawk Industries, Inc. manages a collection of highly recognized names across different price points and channels:

• Daltile: Strong presence in the North American ceramic tile market.
• Marazzi: Key brand in premium ceramic offerings.
• Pergo: Leading name in laminate and wood flooring technology.
• Quick-Step: Recognized globally for innovative flooring installation systems.

Finally, you can't overlook the human capital and the operational philosophy it drives. The management team, led by Chairman and CEO Jeff Lorberbaum, has consistently demonstrated a focus on cost containment and operational efficiency. This focus is evident in the ongoing restructuring actions, which aim to rationalize less efficient assets and streamline logistics to deliver significant annualized savings.

• Restructuring actions are on schedule, closing high-cost operations.
• Productivity initiatives target lower costs through equipment enhancements and supply chain optimization.
• New restructuring actions identified in Q3 2025 target annualized savings of approximately $32 million.

They are definitely focused on driving down the cost base while waiting for market volumes to recover. Finance: draft 13-week cash view by Friday.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Value Propositions

You're looking at the core reasons why customers choose Mohawk Industries, Inc. (MHK) over the competition. It boils down to breadth, control, and reach. Honestly, being the world's largest flooring manufacturer means you have to offer something for everyone, everywhere.

Comprehensive product portfolio for all flooring needs (one-stop-shop)

Mohawk Industries, Inc. offers a massive selection, positioning itself as the go-to source for nearly any flooring requirement, which is key for large commercial builders and distributors. This breadth covers every major category in the market. You see this reflected in the segment structure, which covers the entire scope of their operations.

Here's how the 2024 net sales were distributed across the three main operating segments:

Segment	2024 Net Sales Percentage of Total
Global Ceramic	39%
Flooring North America (Flooring NA)	35%
Flooring Rest of the World (Flooring ROW)	26%

The product range itself is extensive, including carpet, ceramic tile, laminate, wood, luxury vinyl tile (LVT), sheet vinyl, and stone surfaces. Plus, they've moved into adjacent categories like quartz countertops, porcelain slabs, decorative panels, and insulation products. That's a lot of material under one corporate umbrella.

Premium and commercial collections mitigating residential pricing pressure

When the residential market gets tight, having strong commercial and premium offerings helps keep the overall revenue stream stable. As of the third quarter of 2025, the company noted that its sales mix continued to benefit from the success of its premium residential and commercial offering and collections introduced during the past two years. In the second quarter of 2025, the commercial channel specifically outperformed the residential segment. This focus helps offset the pricing pressure seen in more commoditized areas of the market. For instance, Q2 2025 net sales were $2.8 billion, essentially flat year-over-year, showing resilience driven by these higher-value products.

Vertical integration ensuring quality control and cost management

Being vertically integrated means Mohawk Industries, Inc. controls more of its supply chain, from raw materials like in-house clay mining and resin extrusion to final distribution. This control is a major value proposition for managing costs and quality. The company's restructuring initiatives are a direct play on this integration, aiming for significant annual savings. They instituted actions since 2022 expected to save approximately $285 million annually when fully completed in 2026. For the current year, 2025, these restructuring actions are expected to deliver approximately $100 million in benefits. The LVT restructuring in North America, for example, enhanced operational efficiency by 15%.

Global presence serving approximately 180 countries

Mohawk Industries, Inc. is not just a North American player; it's truly global. The company maintains manufacturing facilities in 19 nations across multiple continents. This manufacturing footprint supports sales in approximately 180 countries, according to their February 2025 10-K filing. The Flooring Rest of the World segment alone serves sales in approximately 130 countries. This massive geographic reach allows them to serve local preferences while leveraging global scale. For context, approximately 55% of 2024 net sales were in the United States, meaning 45% came from international markets.

Durable, aesthetic, and sustainable flooring options

The value proposition includes a commitment to product differentiation through innovation and sustainability, which appeals to modern buyers and specifiers. The company is widely acclaimed for creating premium products that feature exceptional durability for long-term functionality. On the sustainability front, Mohawk Industries, Inc. has concrete actions in place:

• Recycling billions of plastic bottles into carpet fiber.
• Producing PVC-free PureTech™ flooring options.
• Generating renewable energy from wood scraps used in their operations.

These efforts not only meet ESG (Environmental, Social, and Governance) criteria but also help reduce material costs, which feeds back into their cost management strategy.

Finance: draft 13-week cash view by Friday.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Customer Relationships

You're looking at how Mohawk Industries, Inc. (MHK) manages its connections with the diverse buyers of its flooring products as of late 2025. The company employs distinct approaches based on the customer type, recognizing that a home builder needs a different relationship than a large independent specialty retailer.

Dedicated sales teams for commercial and builder segments are crucial, especially given the performance of the commercial side. Mohawk Industries noted that its commercial channels continue to outperform the residential sector, showing strong order backlogs in areas like education and hospitality. This suggests a high-touch, project-based relationship model is necessary for these segments. The scale of the business is evident in the first half of 2025 net sales, which totaled $5.3 billion.

The Flooring North America segment, which serves many of these builder and residential customers, posted net sales of $1.8 billion for the first six months of 2025. The Global Ceramic segment, which also serves commercial and builder needs, had net sales of $2.1 billion over the same period.

Customer Segment Focus	First Half 2025 Net Sales (USD)	Segment
Global Ceramic Customers	$2.1 billion	Global Ceramic
Flooring North America Customers	$1.8 billion	Flooring North America
Flooring Rest of World Customers	$1.4 billion	Flooring Rest of the World

For large independent specialty retailers, the relationship centers on deep partnership through programs like the Mohawk Edge Aligned Program. Retailers in this program are seeing profit, with Mohawk reporting that Mohawk Edge Dealers are up 18 percent despite soft economic conditions. This relationship is clearly valued by the independent channel, which still sells three times as much flooring as home centers because consumers value the expertise offered.

Transactional relationships via home centers and e-commerce platforms represent the high-volume, lower-touch end of the spectrum. While the company focuses heavily on its independent dealer network, it still utilizes these broader channels to move product. The company is also focusing on digital adoption and omnichannel integration to enhance its sales efforts.

Marketing support and merchandising for dealer networks is a significant investment area. Mohawk Industries is actively encouraging its retailer partners to use consumer marketing campaigns developed for key American-made, tariff-free products like PureTech, RevWood, and Pergo Elements. The company is relaunching the Pergo brand with fresh shopper campaigns for 2025. This support builds on strong prior year digital engagement, where in the last year, Mohawk delivered over two billion impressions and over eight million video views on YouTube for its brands. This digital push resulted in Mohawk.com site traffic being up 33%, customer leads growing by 86%, and 42% more 'where to buy' searches in 2024. For 2025, the team plans to double down on shopper marketing.

The support for the dealer network is formalized through specific training and service structures. The company launched the Edge Experience Academy, which includes six hours of virtual training for retail store associates. The Edge Aligned Program offers impactful components such as:

• Priority Dealer Locator placement to drive new traffic and leads.
• First access to new displays.
• Edge Experience Academy training.
• Dedicated concierge service for fast, personal support.
• Enhanced co-op funding and marketing tools.

Customer service tailored to regional product preferences is integrated into the overall strategy of strengthening product and channel mix to mitigate pricing pressure. The company is leveraging the strength of its portfolio and superior service to expand business with current and new customers. The Edge Aligned Program specifically provides dedicated concierge service and marketing specialists to assist with day-to-day business, claims, and sales programs, showing a personalized service layer for key partners.

Finance: review Q3 2025 segment margins against Q2 2025 to assess regional service effectiveness by end of next week.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Channels

You're looking at how Mohawk Industries, Inc. gets its products-from ceramic tile to luxury vinyl-into the hands of builders, contractors, and homeowners as of late 2025. The company relies on a multi-pronged distribution network, which they actively manage by strengthening the product and channel mix to counter pricing pressure across their markets. For the first nine months of 2025, Mohawk Industries, Inc. reported net sales of $8.1 billion.

The company's channel strategy is reflected in its segment reporting, which gives us a view into the scale of different parts of the business that serve distinct customer groups. For the six months ended June 28, 2025, the Global Ceramic segment, which includes commercial strength sales, accounted for almost 40% of consolidated revenues, with net sales of $2.1 billion.

Here's a breakdown of the channel access points based on the third quarter of 2025 segment performance, which gives you a snapshot of the scale of operations feeding these channels:

Segment (Channel Proxy)	Q3 2025 Net Sales	Year-over-Year Change (Reported)
Global Ceramic Segment	$1.10 billion	Up 4.4%
Flooring North America Segment	$936.8 million	Down 3.8%
Flooring Rest of World Segment	$716.4 million	Up 4.3%

The Flooring North America segment, which heavily involves the core retail channels, saw net sales of $936.8 million in Q3 2025. The company is actively supporting its independent retail partners, which are a core part of this segment's success. Mohawk Industries, Inc. launched the new Edge Stores program to deliver premium benefits and support for an elevated retail experience to its most aligned customers. They also announced the Edge Experience Academy, which includes six hours of virtual training for retail store associates.

For the big box and mass merchant side, the strategy involves leveraging brand power and product mix across all channels. The company reported that customer leads grew by 86% and there were 42% more "where to buy" searches, indicating strong consumer pull through digital channels that feed into all retail points. Furthermore, the team planned to double down on shopper marketing and was relaunching the Pergo brand with new products and price points in 2025.

The direct sales force channel, often associated with the Durkan brand for commercial projects, is supported by the overall health of the commercial sector. Management noted that the commercial segment remained stable during Q3 2025. The Global Ceramic segment's performance, which saw a 4.4% reported increase in Q3 2025 sales, benefited from commercial strength.

Wholesale distributors in international markets are served primarily through the Flooring Rest of the World segment, which posted net sales of $716.4 million in Q3 2025, an increase of 4.3% as reported. This segment reflects the company's global footprint, with manufacturing operations in 19 countries and product distribution in roughly 180 countries worldwide as of mid-2025.

Regarding e-commerce, the company is seeing digital engagement translate into physical sales. In the last year leading up to late 2025, brand.com site traffic was up 33%, which is a clear indicator of digital channel influence on product discovery. The company is using digital marketing to capture, educate, and convert next-generation shoppers.

• The company is actively managing its channel mix to mitigate pricing pressure.
• The Edge Stores program is designed to elevate the experience for the most aligned independent retailers.
• Commercial sales strength contributed to the 4.4% reported sales increase in the Global Ceramic Segment for Q3 2025.
• Digital marketing efforts resulted in over two billion impressions and over eight million video views on YouTube for their products in the last year.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Customer Segments

You're looking at the core buyers for Mohawk Industries, Inc. (MHK) as of late 2025, based on their latest reported structure. Honestly, the customer base is highly segmented by geography and product type, which is typical for a global flooring giant.

The primary way Mohawk Industries segments its customers is through its three operating segments, which align closely with the end-markets you listed. For the full year 2024, the total net sales were $10,836.9 million.

The customer base distribution across these segments for the full year 2024 showed the following revenue contribution:

• Global Ceramic segment customers: Accounted for 39% of total revenue in 2024.
• Flooring North America customers: Represented 35% of total revenue in 2024.
• Flooring Rest of the World customers: Made up the remaining 26% of total revenue in 2024.

Geographically, approximately 55% of Mohawk Industries, Inc.'s 2024 net sales came from the United States, with the other 45% generated from international markets.

To give you a more current snapshot, here are the net sales figures from the second quarter of 2025, which shows how the customer demand was tracking:

Segment	Q2 2025 Net Sales (USD)	2024 Full Year Revenue Share
Global Ceramic	$1.1 billion	39%
Flooring North America	$947 million	35%
Flooring Rest of the World	$734 million	26%

The customers within these segments serve the specific end-markets you mentioned. For instance, the Global Ceramic segment serves both residential replacement/remodeling consumers and residential new construction builders, in addition to commercial end-markets like healthcare, education, and retail, by providing ceramic, porcelain, and natural stone tile products.

The Flooring North America and Flooring Rest of the World segments also cater to these same end-users with their respective product lines, which include carpet, LVT, laminate, and wood flooring. In Q2 2025, the Flooring Rest of the World segment noted continued residential pricing pressure and consumer deferral of purchases, while the Flooring North America segment saw lower volumes in soft surfaces. Conversely, the Global Ceramic segment saw strength in its commercial channel in Q2 2025.

Here's a quick look at the end-market focus within the US market for 2023, which provides context for the residential side of the business:

• Carpet and rugs: 33.3% of US floor covering sales.
• Resilient (LVT, sheet vinyl, etc.): 33.0% of US floor covering sales.
• Ceramic tile: 12.6% of US floor covering sales.

Finance: draft 13-week cash view by Friday.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Cost Structure

When you look at the cost side of Mohawk Industries, Inc.'s business, it's clear that the company runs a capital-intensive operation. This structure is a direct result of their strategy to control quality and supply from start to finish.

Cost of Sales (COS) is definitely the biggest bucket of spending. This covers the direct costs tied to making their flooring products, which includes raw materials, energy to run the kilns and machinery, and the direct labor on the factory floor. For the third quarter of 2025, the Cost of Sales was reported as $2.103 billion, making it the dominant cost driver. This is why management is so focused on productivity gains and managing input costs, as even small fluctuations here have a massive impact on the bottom line.

The next major category is Selling, General, and Administrative (SG&A) expenses. This covers everything from sales commissions and marketing to corporate overhead. For Q3 2025, the SG&A expense was $518.2 million. To put that in perspective, the adjusted SG&A as a percentage of net sales for that quarter was 17.9%.

Because Mohawk Industries operates extensive, vertically integrated manufacturing assets-meaning they own much of the process from raw material to finished good-the cost structure carries a significant level of fixed costs. These costs don't change much whether they ship a million square feet or a million and a half. This is a double-edged sword: it helps margins when volumes are high but pressures profitability when demand softens, like during the recent housing market slowdown.

To combat this, Mohawk Industries is actively engaged in Restructuring charges for asset rationalization and streamlining logistics. These are one-time or periodic costs associated with making the fixed asset base more efficient. For Q3 2025 alone, non-recurring charges related to ongoing restructuring initiatives totaled $69 million. Management noted that new actions identified to rationalize less efficient assets and streamline logistics are expected to yield annualized savings of approximately $32 million, at a net cash cost of about $20 million after asset sales. Overall, the company anticipates delivering $110 million in total restructuring savings for the full year 2025.

Finally, the non-cash charge of Depreciation and Amortization (D&A) reflects the wear and tear on those large manufacturing plants and equipment. For the nine months ending September 27, 2025, D&A totaled $476.3 million. The forecast for the full Fiscal Year 2025 D&A is set at approximately $610 million.

Here's a quick look at the key cost components we have data for, focusing on the nine-month period ending September 27, 2025, compared to the prior year:

Cost Component (Nine Months Ended Sept 27, 2025)	Amount (In millions)	Reference Period Data (Nine Months Ended Sept 28, 2024)
Net Sales	$8,100.0	$8,200.0
Cost of Sales (Implied from Outline/Context)	(Calculated based on outline target)	$6,133.8
Depreciation and Amortization	$476.3	$481.9
Restructuring Charges (Q3 2025 Only)	$69.0	N/A (Focus on 2025 Initiatives)

You can see the impact of their fixed asset base in the D&A line, which remains substantial even as net sales slightly declined year-over-year for the nine-month period. The company's strategy is clearly to manage the variable component (COS) through productivity and the fixed component (SG&A/D&A) through rationalization and restructuring.

• Input costs (raw materials, energy, labor) are the primary variable pressure point.
• Restructuring efforts target the fixed cost base, aiming for $110 million in 2025 savings.
• SG&A as a percentage of sales was 17.9% (adjusted) in Q3 2025.
• The company is actively managing its asset base to lower the fixed cost intensity.

Finance: draft 13-week cash view by Friday.

Mohawk Industries, Inc. (MHK) - Canvas Business Model: Revenue Streams

You're looking at the core ways Mohawk Industries, Inc. (MHK) brings in cash as of late 2025. It's all about moving product across their three main operational segments, and the numbers show a real mix of strength and challenge across the globe.

Net sales for the first nine months of 2025 totaled $8.1 billion, which was a reported decrease of 1.4% versus the first nine months of 2024, which totaled $8.2 billion. This top-line performance reflects the current environment, but the underlying story is in the segment details from the third quarter of 2025.

The revenue streams are clearly segmented by geography and product type:

• Sales of ceramic tile, stone, and quartz (Global Ceramic segment)
• Sales of carpet, LVT, laminate, and wood (Flooring North America)
• Sales from Flooring Rest of the World segment (Europe, Australasia)

Here's a look at the reported net sales by segment for the third quarter of 2025, which gives you the clearest picture of the current revenue generation:

Revenue Stream Segment	Q3 2025 Net Sales (Reported)	Year-over-Year Change (Reported)
Global Ceramic Segment	$1.10 billion	Up 4.4%
Flooring North America Segment	$936.8 million	Down 3.8%
Flooring Rest of the World Segment	$716.4 million	Up 4.3%

For the third quarter of 2025 specifically, total net sales were $2.8 billion, marking an increase of 1.4% as reported over the prior year's third quarter. This growth, despite overall volume weakness in some areas, is being supported by strategic product positioning.

The company is seeing revenue from premium product mix and commercial sales offsetting volume weakness. Chairman and CEO Jeff Lorberbaum noted that the sales and product mix benefited from the success of their premium residential and commercial offerings and collections introduced over the past two years. This focus on higher-value products is key to maintaining revenue momentum when overall market demand, particularly in residential remodeling, is slower.

The performance drivers across the segments for Q3 2025 looked like this:

• Global Ceramic: Growth driven by product/channel mix, partially offset by lower sales volume.
• Flooring North America: Experienced a net sales decrease.
• Flooring Rest of the World: Reported sales increase, though adjusted sales were down slightly.

Finance: draft 13-week cash view by Friday.