06:28 AM EST, 11/19/2025 (MT Newswires) -- La-Z-Boy's ( LZB ) shares gained early Wednesday as the furniture manufacturer's fiscal second-quarter sales rose year over year amid growth in its retail and wholesale segments, while it expects revenue to increase on a sequential basis in the ongoing three-month period.

Sales are anticipated to come in between $525 million and $545 million for the current quarter, Chief Financial Officer Taylor Luebke said in a late Tuesday statement. The outlook reflects the company's growth initiatives, friction costs related to portfolio and supply chain optimizations and a "measured view on the uncertain macroeconomic backdrop," according to Luebke.

La-Z-Boy's ( LZB ) sales edged up 0.3% to $522.5 million in the previous quarter ended Oct. 25, while three analysts polled by FactSet expected $517.6 million. The stock gained 7.5% in the most recent premarket activity.

Revenue in the second quarter was buoyed by "modest growth" in the company's retail and wholesale businesses, offset by lower delivered volume in its Joybird division, it said. Retail sales advanced 4% to $222 million, although written same-store sales decreased 2% amid lower traffic and conversion. In the wholesale segment, sales inclined 2% to $369.4 million, while the Joybird business fell 10%.

"We were pleased to deliver modest sales growth, particularly in our wholesale segment where we also again delivered margin expansion, continuing to create our own momentum in what remains a choppy landscape," Chief Executive Melinda Whittington said in the earnings release. "Our century vision strategy to grow our retail store footprint and expand brand reach is working and positions us to disproportionately benefit when overall industry volumes rebound."

Adjusted earnings came in at $0.71 a share for the second quarter, unchanged from the year before. Three analysts surveyed by FactSet had estimated non-GAAP EPS of $0.54.

La-Z-Boy's ( LZB ) adjusted operating margin came in at 7.1%, down from 7.5% in the prior-year quarter, due to deleverage in retail delivered same-store sales and investment in new stores. The company expects the metric to be in a range of 5% to 6.5% for the current three-month period, Luebke said.