Mohawk Industries delivered a solid QQ2 2025 performance with revenue of $2.802 billion and a gross margin of 25.5%, marking a sequential margin expansion that contributed to a 6.73% operating margin and $188.7 million of operating income. Net income rose 101.7% quarter-over-quarter to $146.4 million, driving earnings per share (EPS) to $2.34. The company generated healthy operating cash flow of $206.3 million, translating to free cash flow of $206.3 million and a strong liquidity position, including cash and cash equivalents of $546.7 million and a net debt position of $340.2 million after meaningful debt repayments and stock buybacks in the quarter.
From a balance-sheet perspective, Mohawk maintains a robust equity base ($8.30 billion) and prudent leverage (debt to capitalization of 0.241; debt ratio 0.191; interest coverage ~36x), which underpin the company’s ability to navigate near-term macro volatility and fund ongoing capital allocation. The QQ2 2025 results reflect meaningful sequential improvement in profitability metrics (gross margin up from ~23.1% in Q1 to ~25.5% in Q2 and operating margin up from ~3.80% to ~6.73%), supported by favorable product mix and disciplined SG&A management. While management commentary from the call is not captured in the provided data, the reported fundamentals indicate a resilient cost structure and robust cash generation, positioning Mohawk to weather cyclical headwinds and invest in strategic opportunities over the medium term.