Item 5. Market for Registrant’s Common Equity
Item 5 Market for the Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities
Share Price, Earnings and Dividends Summary
MillerKnoll, Inc.'s common stock is traded on the Nasdaq Global Select Market System (Symbol: MLKN). As of July 18, 2022, there were approximately 58,000 shareholders of record, including individual participants in security position listings, of the Company's common stock.
Dividends were declared and paid quarterly for fiscal 2022 as approved by the Board of Directors. On April 12, 2022, the Company's Board of Directors approved a quarterly cash dividend of 18.75 cents ($0.1875) per share that was paid on July 15, 2022, to shareholders of record on May 28, 2022. While it is anticipated that the Company will contin ue to pay quarterly cash dividends, the amount and timing of such dividends is subject to the discretion of the Board depending on the Company's future results of operations, financial condition, capital requirements and other relevant factors.
Issuer Purchases of Equity Securities
The Company has one share repurchase plan authorized by the Board of Directors on January 16, 2019, which provides a share repurchase authorization of $250.0 million with no specified expiration date. The approximate dollar value of shares available for purchase under the plan at May 28, 2022 was $220.5 million.
The following is a summary of share repurchase activity during the Company's fourth fiscal quarter ended May 28, 2022:
Period Total Number of Shares (or Units) Purchased Average Price Paid per Share or Unit Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs Maximum Number (or Approximate Dollar Value) of Shares (or Units) that May Yet be Purchased Under the Plans or Programs (1)
2/26/22-3/26/22 2,782 $ 38.77 2,782 $ 220,606,508
3/27/22-4/23/22 997 33.34 997 220,573,272
4/24/22-5/28/22 2,086 $ 31.73 2,086 $ 220,507,083
Total 5,865 5,865
(1) Amounts are as of the end of the period indicated
The Company may repurchase shares from time to time for cash in open market transactions, privately negotiated transactions, pursuant to accelerated share repurchase programs or otherwise in accordance with applicable federal securities laws. The timing and amount of the repurchases will be determined by the Company's management based on their evaluation of market conditions, share price and other factors. The share repurchase program may be suspended or discontinued at any time.
During the period covered by this report, the Company did not sell any shares of common stock that were not registered under the Securities Act of 1933.
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Stockholder Return Performance Graph
Set forth below is a line graph comparing the yearly percentage change in the cumulative total stockholder return on the Company's common stock with that of the cumulative total return of the Standard & Poor's 500 Stock Index and the Nasdaq Composite Total Return for the five-year period ended May 28, 2022. The graph assumes an investment of $100 on May 28, 2017 in the Company's common stock, the Standard & Poor's 500 Stock Index and the Nasdaq Composite Total Return, with dividends reinvested.
2017 2018 2019 2020 2021 2022
MillerKnoll, Inc. $ 100 $ 103 $ 113 $ 75 $ 159 $ 104
S&P 500 Index 100 112 113 125 172 170
Nasdaq Composite Total Return 100 121 121 155 227 201
Information required by this item is also contained in Item 12 of this report.
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Item 6 Selected Financial Data
Year Ended
(In millions, except key ratios and per share data) 2022 2021 2020
Operating Results
Net sales $ 3,946.0 $ 2,465.1 $ 2,486.6
Gross margin 1,352.7 951.1 911.2
Selling, general, and administrative (1)
1,188.7 643.8 643.3
Impairment charges 15.5 — 205.4
Design and research 108.7 72.1 74.0
Operating earnings (loss) 39.8 232.5 (37.9)
(Loss) earnings before income taxes and equity income (8.6) 228.3 (12.9)
Net (loss) earnings (19.7) 180.3 (14.0)
Net cash (used in) provided by operating activities (11.9) 332.3 221.8
Net cash (used in) provided by investing activities (1,172.4) (59.9) (168.1)
Net cash provided by (used in) financing activities 1,039.9 (347.7) 244.0
Depreciation and amortization 190.6 87.2 79.5
Capital expenditures (94.7) (59.8) (69.0)
Common stock repurchased plus cash dividends paid (70.7) (35.4) (63.0)
Key Ratios
Sales growth (decline) 60.1 % (0.9) % (3.1) %
Gross margin (2)
34.3 38.6 36.6
Selling, general, and administrative (1) (2)
30.1 26.1 25.9
Design and research (2)
2.8 2.9 3.0
Operating earnings (loss) (2)
1.0 9.4 (1.5)
Net earnings (decline) growth (110.9) 1,387.9 (108.7)
After-tax return on net sales (3)
(0.5) 7.3 (0.6)
After-tax return on average assets (4)
(0.6) 8.7 (0.8)
After-tax return on average equity (5)
(1.7) 23.8 (2.0)
Share and Per Share Data
Earnings (loss) per share-diluted $ (0.37) $ 2.94 $ (0.15)
Cash dividends declared per share 0.75 0.56 0.63
Book value per share at year end (6)
18.83 14.58 11.10
Market price per share at year end 30.65 47.80 23.02
Weighted average shares outstanding-diluted 73.2 59.4 58.9
Financial Condition
Total assets $ 4,514.0 $ 2,076.8 $ 2,067.0
Working capital (7)
440.5 430.0 459.9
Current ratio (8)
1.5 1.9 2.0
Interest-bearing debt and related swap agreements (9)
1,355.5 285.7 558.8
Stockholders' equity 1,427.1 860.5 652.4
Total capital (10)
2,782.6 1,146.2 1,211.2
(1) Selling, general, and administrative expenses include restructuring expenses in years that are applicable.
(2) Shown as a percent of net sales.
(3) Calculated as net earnings (loss) divided by net sales.
(4) Calculated as net earnings (loss) divided by average assets.
(5) Calculated as net earnings (loss) divided by average equity.
(6) Calculated as total stockholders' equity divided by common shares of stock outstanding.
(7) Calculated using current assets less current liabilities.
(8) Calculated using current assets divided by current liabilities.
(9) Amounts shown include the fair market value of the Company’s interest rate swap arrangement(s).
(10) Calculated as interest-bearing debt and related swap agreements plus stockholders' equity.
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