KNL - Knoll under pressure on top-line headwinds in Q3

Knoll (KNL) is down 11.40% after Q3 earnings report, where revenue declined 13.2% Y/Y to $309.4M driven primarily by a decline in office sales.Gross Margin decreased 280 bps to 36.6%.On another side, work from home e-commerce sales grew 434% and higher margin residential sales increased 39%. "Total shipments during the quarter benefited from elevated backlog levels heading into the period and we are pleased that we saw sequential improvement in incoming order activity from the very depressed levels we experienced in the second quarter," says CEO Andrew Cogan in Q3 earnings conference call.Adjusted EBITDA margins down 260bps to 12.1%.The company finished the quarter with net debt of $303M, and net debt leverage of 2.1x adjusted EBITDA.Restructuring costs is estimated at ~$10M which will be incurred in the start of Q4 to carry through 2021.Further, in 2021, Knoll expects to take advantage of favorable short term retail opportunities to launch a flagship Muuto direct to

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Knoll under pressure on top-line headwinds in Q3