Floor still gets top billing in its name, but it looks like Floor & Decor will be doing a little more of the latter going forward. The Atlanta-based retailer, which since its founding in 2000 has mainly focused on what’s under your feet, this week announced it was expanding to kitchen cabinets, its first foray into the category.
The program is already for sale across 11 markets and online. It consists of two collections: semi-custom cabinets and express-ship plywood cabinets, each offered in a variety of colors and styles.
The semi-custom ones, which ship in seven to 10 days, are available in eight different styles and include features like undermount drawer glides, six-way adjustable hinges, frameless construction, and water and stain-resistant interiors. The express line comes in classic Shaker designs in a variety of finishes and colors with plywood construction as well as soft-close doors and drawers. Products ship within four days.
The announcement of a new category follows a surprising trend of expansion and growth: Against the backdrop of a sluggish housing market and a spate of big-box retail closures, Floor & Decor has opened 30 new stores in the past year and is projecting 25 additional locations in the upcoming year. The move into cabinets may tap into a consumer base that—trapped by elevated mortgage rates and sky-high housing prices—could be looking to renovate their existing home rather than buy a new one.
The company, founded by a former glass salesman, focuses on discount flooring like tile, wood, laminate, vinyl and natural stone, all sold in a warehouse-like format. Over the years, it has added hardware and countertops to the mix. According to a release, Floor & Decor “directly sources products from manufacturers around the globe, which enables it to bring the world’s best and most innovative flooring trends to its customers, at everyday low prices,” allowing it to maintain its discounted pricing structure.
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In recent years, the stores have gotten more elaborate, with sophisticated displays and accessories like installation tools and decor items. Several years ago it began to open smaller studio stores with vignettes and in-house design services. There are currently five Design Studio locations, the newest in Atlanta.
Like most retailers in the broader home furnishings space, Floor & Decor has been impacted by the slowdown in the housing market. The company had sales of $4.45 billion in 2024, a 0.9 percent increase from the year before, though comp store sales declined 7.1 percent. Going forward, it may benefit from the troubles of one of its competitors, LL Flooring, which filed for bankruptcy last summer and is cutting back its store fleet by half, down to about 200 locations.
In announcing the company’s year-end numbers last week, CEO Tom Taylor said, “Our fourth quarter and full-year results demonstrate the resiliency of our business model and the potential earnings power we believe we can unlock over time as industry fundamentals improve.” If and when the housing market comes roaring back, with this new category expansion, Floor & Decor will be making money overhead as well as underfoot.
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Warren Shoulberg is the former editor in chief for several leading B2B publications. He has been a guest lecturer at the Columbia University Graduate School of Business; received honors from the International Furnishings and Design Association and the Fashion Institute of Technology; and been cited by The Wall Street Journal, The New York Times, The Washington Post, CNN and other media as a leading industry expert. His Retail Watch columns offer deep industry insights on major markets and product categories.
