Tempur Sealy International, Inc. has released its results for the third quarter ended 30 September 2016.

Tempur sealy hq

Tempur Sealy International, Inc. has released its results for the third quarter ended 30 September 2016.

The mattress manufacturer reported a decrease in total net sales of 5.4% to $832.4 million from $880.0 million in the third quarter of 2015. Gross margin under the U.S generally accepted accounting principles (GAAP) was 43.5%  compared to 40.9% in the third quarter of 2015.

GAAP earnings per diluted share (EPS), however, increased to $1.32 as compared to $0.64 in the third quarter of 2015, beating a consensus estimates from analysts of $1.21.

As of September 30, 2016, the company reported $89.0 million in cash and cash equivalents and $1.7 billion in total debt, as compared to $153.9 million in cash and cash equivalents and $1.5 billion in total debt as of December 31, 2015. Alongside the results for quarter 3, the business confirmed its financial guidance for 2016. For the full year 2016 adjusted EBITDA is expected to range from $500 million to $525 million.

Tempur Sealy International, Inc. chairman and CEO Scott Thompson commented: “We are pleased to report record EBITDA and GAAP EPS for the quarter. The flexibility of our business model was displayed this quarter as our top line sales were below our original expectations yet we delivered significant margin expansion and 19% EPS growth. We continue to effectively execute on our core strategy to drive our long term operating performance.”