#Textiles & Apparel / Garment

2025-07-03

Culp reports FY2025 results and completes restructuring to support future growth

Culp, Inc. (NYSE: CULP), a leading supplier of fabrics for bedding and upholstered furniture, has reported its financial results for the fourth quarter and full fiscal year ended April 27, 2025. Despite continued macroeconomic and tariff-related challenges, the company completed its restructuring plan and entered fiscal 2026 with a leaner, more efficient operating model.

Fiscal 2025 Summary

+ Consolidated net sales for the year totaled $213.2 million, down 5.4% year-over-year.

+ GAAP operating loss was $(18.4) million, including $9.4 million in restructuring costs.

+ Non-GAAP operating loss improved to $(9.0) million from $(10.6) million in FY2024.

+ Mattress fabrics segment posted a full-year sales decline of 2.1%, with significant improvement in operating performance over the course of the year.

+ Upholstery fabrics segment remained profitable despite an 8.8% drop in annual sales, supported by stronger margins in the hospitality/contract market.

+ Restructuring Completed

The company finalized its restructuring plan initiated in May 2024, which included facility closures and a transition to an asset-light sourcing model. The sale of its Canadian manufacturing facility in April 2025 marked the completion of the program, which is expected to yield annualized savings of $10–11 million.

Culp has also announced the integration of its mattress and upholstery divisions into a unified CULP-branded business, aimed at improving scale efficiency and responsiveness to market trends.

Q4 Financial Highlights

+ Net sales were $48.8 million, flat year-over-year.

+ Non-GAAP operating loss narrowed to $(704) thousand, compared to $(4.0) million in the prior-year quarter.

+ Adjusted EBITDA turned positive at $559 thousand, up from $(2.2) million.

+ Mattress fabrics sales grew by 5.3%, while upholstery sales declined by 8.9%.

+ Strengthened Financial Flexibility

The company ended fiscal 2025 with $5.6 million in cash and $12.7 million in outstanding debt, and recently extended its credit facility with Wells Fargo by three years. Total liquidity as of year-end stood at approximately $27 million.

Outlook

Culp expects continued pressure in the residential upholstery market but anticipates year-over-year growth in mattress fabric sales. Operating performance is expected to benefit from ongoing restructuring efficiencies, division integration, and selective price increases related to tariffs. The company will continue to focus on liquidity, cost discipline, and free cash flow.

CEO Iv Culp stated: "We enter fiscal 2026 with a more agile and resilient platform. Our completed restructuring, integrated business structure, and continued focus on customer service position us well to navigate market volatility and seize new opportunities."

Culp reports improved operating results in Q2 as restructuring gains traction

Culp, Inc., a major supplier of mattress and upholstery fabrics, reported its fiscal Q2 2026 results with signs of operational improvement despite continued weakness in the global home furnishings market. Consolidated sales reached USD 53.2 million, slightly above the previous quarter, with the bedding segment growing both sequentially and year-over-year.

Culp announces strategic transformation of operating model following completion of restructuring initiatives

Culp, Inc. (NYSE: CULP), a leading provider of fabrics for bedding and upholstery fabrics for residential and commercial furniture, today announced the strategic transformation of its operating model to further position the Company for flexibility and growth. The Company will combine its two stand-alone operating divisions, Culp Upholstery Fabrics and Culp Home Fashions, into a single, integrated business designed to optimize operational agility and collaboration, further streamline costs and processes across its business, and, most importantly, increase responsiveness to customer needs and market trends.

Culp names Mary Beth Hunsberger as President of Culp Upholstery Fabrics

Culp, Inc. (NYSE: CULP) (together with its consolidated subsidiaries, “CULP”) today announced that its board of directors has named Mary Beth Hunsberger as President of Culp Upholstery Fabrics, effective July 27, 2024, following the planned succession of retiring division president, Boyd Chumbley. Hunsberger joined CULP in January 2024 as the Executive Vice President of the division and has worked closely with Chumbley over the past six months.

Messe Frankfurt commits further to East Africa: three textiles trade fairs during Africa Sourcing and Fashion Week from 2027

Messe Frankfurt and its Texpertise Network continue their steady, successful trajectory in the region. As Africa Sourcing and Fashion Week (ASFW) opened today, Member of the Executive Board Detlef Braun announced that Messe Frankfurt is licencing its three leading international trade fair brands Texworld, Apparel Sourcing and Texprocess to Nairobi, Kenya for the first time in 2027. From now on, they will take place annually as part of the Africa Sourcing and Fashion Week (ASFW) Nairobi.

“We Believe in the Value of Textiles”: Successful Opening of the KARL MAYER TEXTILE INNOVATION CENTER

KARL MAYER inaugurated its new, state-of-the-art TEXTILE INNOVATION CENTER (TIC) with a four-day opening week from April 21 to 24. The highlight of the week was the grand opening on Thursday, which drew a strong turnout from the international textile industry: around 220 customers, brands, and partners from across the textile value chain came to the company’s headquarters in Obertshausen for a first-hand look at the new high-tech development environment and lively exchange with industry peers.

Fifteen years of Autoneum – From spin off to global technology leader

What started as a strategic carve‑out has since become the success story of a global technology leader in acoustic and thermal management solutions for vehicles. Headquartered in Winterthur, Switzerland, Autoneum supplies leading automobile manufacturers worldwide with innovative, lightweight and increasingly sustainable solutions.

Kruger, Canada, orders first nonwovens line for sustainable wipes from ANDRITZ

International technology group ANDRITZ has received an order from newly established Kruger Nonwovens to deliver a complete WetlaceTM hybrid line for the Wayagamack mill in Trois-Rivières, Quebec, Canada. With this investment, pulp and paper producer Kruger is preparing to enter the nonwovens market with a new generation of plastic-free, chemical-free materials for sustainable wipes. The line is the first of its kind in Canada and is scheduled to start production in 2028.

Picanol to present its leading weaving technology at ITM 2026

Picanol is pleased to announce it will be participating in ITM 2026 in Istanbul. This is a key event for industry professionals to engage with the Turkish textile industry as well as the extensive international audience attending the fair. During the event, Picanol will present its latest innovations to the visitors in Hall 8, booth 802.