One-time IEEPA tariff refund vs the adjusted base
With refund · GAAP
Refund stripped · adjusted
How a one-time IEEPA tariff refund flows into the Q4 GAAP record and away from adjusted profit
IEEPA tariff
duties on furniture imports
refund owed
Refund lands — Q4 FY26
one-time ≈ $8–9M
Gross margin
PY 23.9%
base ≈ 30% − 780bps
one-time +780bps
refund removed
Operating income
GAAP $16.3M
14.2% of sales
Diluted EPS
$2.58
record
Operating income
adj. $8.2M
7.1% · vs $10.3M PY
Diluted EPS
adj. $1.33
vs $1.40 · down ~5%
gap ≈ $8.1M
gap ≈ $1.25
refund skims out
skim valve
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FY26: GAAP EPS $6.07 vs adjusted record $4.94
the refund does not repeat — discount EPS, watch adjusted base
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