Dixie Group Q2 Sales Up 6%, Income Down 9.9%

Dalton, GA, August 6, 2026— For Q2 2026, The Dixie Group net sales of $68,614,000, a 6% increase as compared to $68,573,000 in the same quarter of 2025. 

The net income from continuing operations in Q2 2026 was $1,130,000, a 9.9% decline compared to Q2 2025’s $1,254,000.

For the first six months of 2026, net sales were $127,995,000, 2.7% below net sales for the first six months of 2025 at $131,563,000. 

The company had a net income from continuing operations of $2,484,000 for the six months of 2026 compared to a net loss from continuing operations of $328,000 in the first six months of 2025.

Commenting on the results, Daniel K. Frierson, chairman and chief executive officer, said, “Our results for the quarter showed a modest improvement in gross profit margins on relatively flat year over year net sales. Market conditions remained challenging, reflecting the continued softness in the home resale and remodeling environment. As we continue to monitor market conditions and the uncertain economic environment, we remain committed to controlling costs and improving profitability through our previously announced Profit Improvement Plan. We currently estimate the Plan will contribute $17 million in year over year cost reductions and profit contributions. The Plan includes net savings related to relocating a portion of our west coast yarn operations to our existing yarn plant in Roanoke, Alabama. This manufacturing consolidation began in the second quarter and is expected to lower internal raw material costs.

“Our sales for the quarter showed strong activity in the higher end segments such as our decorative product lines, 1866 by Masland and Décor by Fabrica, and our Fabrica wood program in our hard floor offerings. Outside of these higher end offerings, our DuraSilkSD polyester category in our DH Floors division increased its market share with strong growth.

“As conditions in the housing market continue to present a challenge for the flooring industry, we are focusing on strategically introducing new products to the strongest parts of our markets. And we also remain committed to reducing expenses without negatively affecting the quality of our products or service to our customers.” Frierson concluded.