Financial Analysis

COMMITMENTS AND CONTINGENCIES From time to time, the Company is a party to legal proceedings, whether arising in the ordinary course of business or otherwise. One of the proceedings the Company is involved in is summarized below. PFAS Lawsuit In April 2025, The Water Works Board of the City of Opelika, Alabama filed a lawsuit in the Circuit Court of Lee County, Alabama, The Water Works of the City of Opelika, Alabama, v. 3M Company, et al., Case No. 43-CV-2025-900229.00 , against Interface, Inc., our subsidiary InterfaceFLOR, LLC, and numerous other defendants. The lawsuit alleges that the defendants, including Interface, manufactured, sold, used, and discharged per- and poly-fluoroalkyl substances (PFAS), which have allegedly contaminated the plaintiff's water supply. The case was removed by defendant 3M Company to the United States District Court for the Middle District of Alabama, Case No. 3:25-cv-411-ECM-CWB. Subsequently, a motion was filed to transfer the case to the Multi-District Litigation (MDL) concerning Aqueous Film-Forming Foams (AFFF) Products Liability Litigation, and the plaintiff filed a motion to remand the case to the Circuit Court of Lee County, Alabama. On October 9, 2025, the United States Judicial Panel on Multidistrict Litigation issued a Transfer Order directing that the case be transferred to the District of South Carolina for inclusion in MDL No. 2873. The nature of this litigation involves complex scientific, legal and factual issues, and the case …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

For fiscal years 2025, 2024 and 2023, revenue from the Companys customers is broken down by geography as follows: Fiscal Year Geography 2025 2024 2023 Americas 60.9% 60.9% 58.4% Europe 29.0% 28.6% 30.1% Asia-Pacific 10.1% 10.5% 11.5% Revenue from the Companys customers in the Americas corresponds to the AMS reportable segment, and the EAAA reportable segment includes revenue from the Europe and Asia-Pacific geographies. See Note 19 entitled Segment Information for additional information. For fiscal years 2025, 2024, and 2023, revenue by material market segment as a percentage of consolidated totals is as follows: Fiscal Year Market Segment 2025 2024 2023 Corporate Office 44% 47% 49% Education 20% 19% 18% Healthcare 11% 9% 10% Other 25% 25% 23% …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

FAIR VALUE OF FINANCIAL INSTRUMENTS Accounting standards establish a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure estimated fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). The three levels of the fair value hierarchy under applicable accounting standards are described below: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2 Inputs to the valuation methodology include: quoted prices for similar assets in active markets; quoted prices for identical or similar assets in inactive markets; inputs other than quoted prices that are observable for the asset; and inputs that are derived principally or corroborated by observable data by correlation or other. Level 3 Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. A financial instruments level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The following table presents the carrying values and estimated fair values, including the level within the fair value hierarchy, of certain financial instruments: December 28, 2025 December 29, 2024 Carrying Value Fair Value (Level 1) F …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

NOTE 11 GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill The Company has two operating and reportable segments namely AMS and EAAA. See Note 19 entitled Segment Information for additional information. The Company tests goodwill for impairment at least annually at the reporting unit level. The Companys reporting units consist of (1) the Americas, (2) Europe, Middle East and Africa (EMEA), and (3) Asia-Pacific. The Americas reporting unit is the same as the AMS reportable segment, and the EMEA and Asia-Pacific reporting units are one level below the EAAA reportable segment. During the fourth quarter of 2025, 2024, and 2023 we performed our annual quantitative goodwill impairment testing. We focused our testing on the Americas reporting unit because it is the only reporting unit with an allocated goodwill balance. The allocated goodwill balances for our EMEA and Asia-Pacific reporting units were written off in prior years as a result of goodwill impairment charges. The Company performed limited procedures for our EMEA and Asia-Pacific reporting units during the 2025, 2024, and 2023 goodwill testing to facilitate a reconciliation of market capitalization. The annual quantitative goodwill impairment testing performed in 2025, 2024, and 2023 for our Americas reporting unit used a consistent methodology. T he Company prepared valuations for the Americas reporting unit on both a market comparable methodology and an income methodology, utilizing a combination of the present value of expe …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

INCOME TAXES Income before income taxes consisted of the following: Fiscal Year 2025 2024 2023 (in thousands) U.S. operations $ 64,601 $ 37,060 $ 3,611 Foreign operations 72,250 76,494 60,043 Income before income taxes $ 136,851 $ 113,554 $ 63,654 Provisions for federal, foreign and state income taxes in the consolidated statements of operations consisted of the following components: Fiscal Year 2025 2024 2023 (in thousands) Current expense: Federal $ 7,209 $ 7,599 $ 5,523 Foreign 23,235 20,982 18,330 State 2,843 2,481 2,167 Current expense 33,287 31,062 26,020 Deferred (benefit) expense: Federal 182 (3,279) (4,810) Foreign (12,846) (841) (1,212) State 130 (334) (861) Deferred benefit (12,534) (4,454) (6,883) Total income tax expense $ 20,753 $ 26,608 $ 19,137 Income taxes paid (net of refunds) consisted of the following: Fiscal Year 2025 (in thousands) Federal $ 9,118 Foreign: Germany 11,538 Netherlands 5,546 China 2,069 Other Foreign 5,684 State and local 3,384 Total Income taxes paid, net of refunds $ 37,339 Income tax payments amounted to approximately $37.8 million and $25.8 million for the years 2024 and 2023, respectively. During the years 2024 and 2023, the Company received income tax refunds of $3.3 million and $2.5 million, respectively. We adopted ASU 2023-09 on a prospective basis beginning with fiscal year 2025. The following table reconciles the U.S. federal statutory rate of 21% to our effective income tax rate for fiscal year 2025 in accordance with ASU 2023-0 …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

LEASES General The Company has operating and finance leases for manufacturing equipment, corporate offices, showrooms, vehicles, distribution facilities, design centers, as well as computer and office equipment. The Companys leases have terms ranging from 1 to 20 years, some of which may include options to extend the lease term for up to 5 years, and certain leases may include an option to terminate the lease. Our lease accounting may include these options to extend or terminate a lease when it is reasonably certain that we will exercise that option. As of December 28, 2025, there were no significant leases that had not commenced. The table below represents a summary of the balances recorded in the consolidated balance sheets related to the Companys leases as of December 28, 2025 and December 29, 2024: December 28, 2025 December 29, 2024 Balance Sheet Location Operating Leases Finance Leases Operating Leases Finance Leases (in thousands) Operating lease right-of-use assets $ 78,191 $ 76,815 Current portion of operating lease liabilities $ 15,748 $ 12,296 Operating lease liabilities 67,205 68,092 Total operating lease liabilities $ 82,953 $ 80,388 Property, plant and equipment, net $ 9,574 $ 8,079 Accrued expenses $ 3,155 $ 2,657 Other long-term liabilities 6,817 5,797 Total finance lease liabilities $ 9,972 $ 8,454 Lease Costs Fiscal Year 2025 2024 2023 (in thousands) Finance lease cost: Amortization of right-of-use assets $ 3,477 $ 3,079 $ 2,808 Interest on lease liabilities …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

"NOTE 9 LONG-TERM DEBT Long-term debt consisted of the following: December 28, 2025 December 29, 2024 Outstanding Principal Interest Rate (1) Outstanding Principal Interest Rate (1) (in thousands) (in thousands) Syndicated Credit Facility Revolving loan borrowings $ 6,158 6.07 % $ % Term loan borrowings 175,621 5.09 % 5,564 5.62 % Total borrowings under Syndicated Credit Facility 181,779 5.12 % 5,564 5.62 % 5.50% Senior Notes (2) % 300,000 5.50 % Total debt 181,779 305,564 Less: Unamortized debt issuance costs (200) (2,807) Total debt, net 181,579 302,757 Less: Current portion of long-term debt (8,778) (482) Total long-term debt, net $ 172,801 $ 302,275 (1) Represents the weighted average rate of interest for borrowings under the Syndicated Credit Facility and the stated rate of interest for the 5.50% Senior Notes without the effect of debt issuance costs. (2) The Senior Notes were redeemed December 3, 2025. See below for additional information. Syndicated Credit Facility The Companys Syndicated Facility Agreement (Facility) provides to the Company U.S. denominated and multicurrency term loans and provides to the Company and certain of its subsidiaries a multicurrency revolving credit facility. Each of the Companys material domestic subsidiaries guarantee the obligations of the Company under its Facility. At December 28, 2025, the Company had available borrowing capacity of $243.2 million under the revolving loan facility. Significant Credit Facility Amendment On December 3, …

LongTermDebtTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Pronouncements Adopted In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740 ): Improvements to Income Tax Disclosures. This ASU requires public entities on an annual basis to disclose a rate reconciliation with explicit categories, as outlined in the ASU, and requires additional disclosures for reconciling items that meet certain quantitative thresholds. Other disclosures include disaggregation of income taxes paid, pre-tax income, and income tax expense. The new guidance is effective for fiscal years beginning after December 15, 2024. The Company adopted this ASU prospectively for the period ended December 28, 2025. S ee Note 16 entitled Income Taxes for additional information. The adoption of this ASU impacted our income tax disclosures but did not have a material impact to our consolidated financial statements. Recently Issued Accounting Pronouncements Not Yet Adopted In September 2025, the FASB issued ASU 2025-06 - Intangibles - Goodwill and Other Internal Use Software (Topic 350-40). This ASU amends the accounting for internal-use software costs by removing reference to prescriptive and sequential software development stages used to evaluate capitalizable costs. The ASU requires entities to consider whether significant uncertainties associated with development activities have been resolved prior to capitalization of software costs and aligns disclosure requir …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

EMPLOYEE BENEFIT PLANS Defined Contribution and Deferred Compensation Plans The Company has a 401(k) retirement investment plan (401(k) Plan), which is open to all eligible U.S. employees with at least six months of service. The 401(k) Plan provides Company matching contributions on a sliding scale based on the level of the employees contribution. The Companys matching contributions totaled approximately $3.6 million, $3.6 million, and $3.4 million for the years 2025, 2024 and 2023, respectively. Under the Companys nonqualified savings plans (NSPs), the Company provides eligible employees the opportunity to enter into agreements for the deferral of a specified percentage of their compensation, as defined in the NSPs. The NSPs provide Company matching contributions on a sliding scale based on the level of the employees contribution. The obligations of the Company under such agreements to pay the deferred compensation in the future in accordance with the terms of the NSPs are unsecured general obligations of the Company. Participants have no right, interest or claim in the assets of the Company, except as unsecured general creditors. The Company has established a rabbi trust to hold, invest and reinvest deferrals and contributions under the NSPs. If a change in control of the Company occurs, as defined in the NSPs, the Company will contribute an amount to the rabbi trust sufficient to pay the obligation owed to each participant. The deferred compensation liability in connection …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

RESTRUCTURING AND OTHER During the second quarter of 2023, the Company completed the sale of its Thailand facility, in connection with a previous plan of restructuring, for a selling price of $6.6 million and recognized a gain of $2.7 million, which is recorded in restructuring, asset impairment, other (gains) and charges in the consolidated statements of operations and is attributable to the EAAA reportable segment. The Company determined that the Thailand facility sale did not meet the criteria for classification as discontinued operations.

RestructuringAndRelatedActivitiesDisclosureTextBlock

REVENUE RECOGNITION The Company generates revenue from sales of modular carpet, resilient flooring, rubber flooring, and other flooring-related material, and from the installation of carpet and other flooring-related material. A summary of these revenue streams, as a percentage of net sales, for fiscal years 2025, 2024 and 2023 is as follows: Fiscal Year 2025 2024 2023 Revenue from the sale of flooring material 98% 97% 98% Revenue from installation of flooring material 2% 3% 2% Disaggregation of Revenue For fiscal years 2025, 2024 and 2023, revenue from the Companys customers is broken down by geography as follows: Fiscal Year Geography 2025 2024 2023 Americas 60.9% 60.9% 58.4% Europe 29.0% 28.6% 30.1% Asia-Pacific 10.1% 10.5% 11.5% Revenue from the Companys customers in the Americas corresponds to the AMS reportable segment, and the EAAA reportable segment includes revenue from the Europe and Asia-Pacific geographies. See Note 19 entitled Segment Information for additional information. For fiscal years 2025, 2024, and 2023, revenue by material market segment as a percentage of consolidated totals is as follows: Fiscal Year Market Segment 2025 2024 2023 Corporate Office 44% 47% 49% Education 20% 19% 18% Healthcare 11% 9% 10% Other 25% 25% 23% …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT INFORMATION The Company determines that an operating segment exists if a component (i) engages in business activities from which it earns revenues and incurs expenses, (ii) has operating results that are regularly reviewed by the chief operating decision maker (CODM) and (iii) has discrete financial information. Additionally, accounting standards require the utilization of a management approach to report the financial results of operating segments, which is based on information used by the CODM to assess performance and make operating and resource allocation decisions. The Company determined that it has two operating segments organized by geographical area namely (a) Americas (AMS) and (b) Europe, Africa, Asia and Australia (collectively EAAA). The AMS operating segment includes the United States, Canada and Latin America geographic areas. Pursuant to the management approach discussed above, the Companys CODM, our chief executive officer, evaluates performance at the AMS and EAAA operating segment levels and makes operating and resource allocation decisions based on segment adjusted operating income (AOI). The CODM uses AOI to evaluate segment operating results compared to expectations. AOI is also used by the CODM to develop variable compensation targets and make capital spend decisions. AOI excludes: nora purchase accounting amortization; restructuring, asset impairment, severance, and other, net; and the impact of the Cyber Event. Intersegment revenues for 2025, 20 …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations Interface is a global flooring company specializing in carpet tile and resilient flooring, including luxury vinyl tile (LVT), and nora rubber flooring. The Company manufactures modular carpet focusing on the high quality, design-oriented sector of the market, sources resilient flooring including LVT from third parties and focuses on the same sector of the market, and provides specialized carpet replacement, installation and maintenance services. The Company also manufactures and sells resilient rubber flooring. The Companys fiscal year is the 52 or 53 week period ending on the Sunday nearest December 31. All references herein to 2025, 2024, and 2023, mean the fiscal years ended December 28, 2025, December 29, 2024, and December 31, 2023, respectively. Fiscal years 2025, 2024 and 2023 were each comprised of 52 weeks. The Company has determined that it has two operating and reportable segments namely Americas (AMS) which includes the United States, Canada and Latin America geographic areas, and Europe, Africa, Asia and Australia (collectively EAAA). See Note 19 entitled Segment Information for additional information. Cybersecurity Event On November 20, 2022, we discovered a cybersecurity attack, perpetrated by unauthorized third parties, affecting our IT systems (the Cyber Event). The investigation of the Cyber Event was completed during 2023. During 2024, we recovered $4.8 million in business interruption insura …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

NOTE 13 SHAREHOLDERS EQUITY The Company is authorized to issue 120 million shares of $0.10 par value Common Stock. The Companys Common Stock is traded on the Nasdaq Global Select Market under the symbol TILE. The Company paid cash dividends during 2025 totaling $0.06 per share and $0.04 per share for 2024 and 2023, including participating securities. The future declaration and payment of dividends is at the discretion of the Companys Board, and depends upon, among other things, the Companys investment policy and opportunities, results of operations, financial condition, cash requirements, future prospects, and other factors that may be considered relevant at the time of the Boards determination. Such other factors include limitations contained in the agreement for its Syndicated Credit Facility, which specify conditions as to when any dividend payments may be made. As such, the Company may discontinue its dividend payments in the future if its Board determines that a cessation of dividend payments is appropriate in light of the factors indicated above. In May 2022, the Company adopted a new share repurchase program in which the Company is authorized to repurchase up to $100 million of its outstanding shares of common stock. The program has no specific expiration date. During fiscal year 2025, the Company repurchased 750,166 shares of common stock at a weighted average price of $24.23 per share pursuant to this program. No shares of common stock were repurchased pursuant to th …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

COMMITMENTS AND CONTINGENCIES From time to time, we are a party to legal proceedings, whether arising in the ordinary course of business or otherwise. Some of these proceedings are summarized below. PFAS Lawsuit In April 2025, The Water Works Board of the City of Opelika, Alabama filed a lawsuit in the Circuit Court of Lee County, Alabama, The Water Works of the City of Opelika, Alabama, v. 3M Company, et al., Case No. 43-CV-2025-900229.00 , against Interface, Inc., our subsidiary InterfaceFLOR, LLC, and numerous other defendants. The lawsuit alleges that the defendants, including Interface, manufactured, sold, used, and discharged per- and poly-fluoroalkyl substances (PFAS), which have allegedly contaminated the plaintiff's water supply. The case was removed by defendant 3M Company to the United States District Court for the Middle District of Alabama, Case No. 3:25-cv-411-ECM-CWB. Subsequently, a motion was filed to transfer the case to the Multi-District Litigation (MDL) concerning Aqueous Film-Forming Foams (AFFF) Products Liability Litigation, and the plaintiff filed a motion to remand the case to the Circuit Court of Lee County, Alabama. On October 9, 2025, the United States Judicial Panel on Multidistrict Litigation issued a Transfer Order directing that the case be transferred to the District of South Carolina for inclusion in MDL No. 2873. The nature of this litigation involves complex scientific, legal and factual issues. Interface believes it has meritorious defens …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

LONG-TERM DEBT Long-term debt consisted of the following: September 28, 2025 December 29, 2024 Outstanding Principal Interest Rate (1) Outstanding Principal Interest Rate (1) (in thousands) (in thousands) Syndicated Credit Facility: (2) Revolving loan borrowings $ 4,579 4.85 % $ % Term loan borrowings 5,475 4.84 % 5,564 5.62 % Total borrowings under Syndicated Credit Facility 10,054 4.84 % 5,564 5.62 % 5.50% Senior Notes due 2028 300,000 5.50 % 300,000 5.50 % Total debt 310,054 305,564 Less: Unamortized debt issuance costs (2,267) (2,807) Total debt, net 307,787 302,757 Less: Current portion of long-term debt (507) (482) Total long-term debt, net $ 307,280 $ 302,275 (1) Represents the weighted average rate of interest for borrowings under the Syndicated Credit Facility and the stated rate of interest for the 5.50% Senior Notes due 2028, without the effect of debt issuance costs. (2) The Syndicated Credit Facility also includes a multicurrency revolving loan facility up to $300.0 million as discussed below. Syndicated Credit Facility The Companys Syndicated Credit Facility (the Facility) provides to the Company U.S. denominated and multicurrency term loans and provides to the Company and certain of its subsidiaries a multicurrency revolving credit facility. Interest on base rate loans is charged at varying rates computed by applying a margin depending on the Companys consolidated net leverage ratio as of the most recently completed fiscal quarter. Interest on secured overnight …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

For the three and nine months ended September 28, 2025 and September 29, 2024, revenue from the Companys customers is broken down by geography as follows: Three Months Ended Nine Months Ended Geography September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 Americas 60.0 % 61.0 % 61.5 % 60.7 % Europe 29.6 28.2 28.7 28.9 Asia-Pacific 10.4 10.8 9.8 10.4 …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

FAIR VALUE OF FINANCIAL INSTRUMENTS Accounting standards establish a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure estimated fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). The three levels of the fair value hierarchy under applicable accounting standards are described below: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2 Inputs to the valuation methodology include: quoted prices for similar assets in active markets; quoted prices for identical or similar assets in inactive markets; inputs other than quoted prices that are observable for the asset; and inputs that are derived principally or corroborated by observable data by correlation or other. Level 3 Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. A financial instruments level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The following table presents the carrying values and estimated fair values, including the level within the fair value hierarchy, of certain financial instruments: September 28, 2025 December 29, 2024 Carrying Value Fair Value (Level 1) …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

GOODWILL AND OTHER INTANGIBLE ASSETS The ending balance and the change in the carrying amount of goodwill for the nine months ended September 28, 2025 is as follows: Goodwill (1) (in thousands) Balance, at December 29, 2024 $ 99,887 Foreign currency translation (2) 11,612 Balance, at September 28, 2025 $ 111,499 (1) The goodwill balance is allocated entirely to the AMS reportable segment. (2) A portion of the goodwill balance is comprised of goodwill denominated in foreign currency attributable to the nora acquisition. The net carrying value of intangible assets other than goodwill was $50.6 million and $48.3 million at September 28, 2025 and December 29, 2024, respectively.

GoodwillAndIntangibleAssetsDisclosureTextBlock

INCOME TAXES The Company determines its provision for income taxes for interim periods using an estimate of its annual effective tax rate (AETR) and records any changes affecting the estimated AETR in the interim period in which the change occurs, including discrete tax items. During the nine months ended September 28, 2025, the Company recorded a total income tax provision of $18.1 million on pre-tax income of $109.8 million resulting in an effective tax rate of 16.5%, as compared to a total income tax provision of $21.0 million on pre-tax income of $86.2 million resulting in an effective tax rate of 24.4% during the nine months ended September 29, 2024. The decrease in the effective tax rate for the nine months ended September 28, 2025 as compared to the nine months ended September 29, 2024, was primarily due to the remeasurement and adjustment of deferred taxes as discussed below and a favorable mix of geographic earnings. In July 2025, Germany enacted tax legislation to gradually reduce the corporate income tax rate. The current income tax rate of 15% is set to decrease by 1% annually beginning in 2028 reaching 10% by 2032. As a result of this change to tax rates, deferred assets and liabilities were remeasured using the new rates applicable to the periods in which the underlying temporary differences are expected to reverse. The remeasurement of the Companys German deferred tax positions and other deferred tax adjustments resulted in a favorable deferred income tax benef …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

LEASES The table below represents a summary of the balances recorded in the consolidated condensed balance sheets related to the Companys leases as of September 28, 2025 and December 29, 2024: September 28, 2025 December 29, 2024 Balance Sheet Location Operating Leases Finance Leases Operating Leases Finance Leases (in thousands) Operating lease right-of-use assets $ 77,596 $ 76,815 Current portion of operating lease liabilities $ 13,561 $ 12,296 Operating lease liabilities 68,692 68,092 Total operating lease liabilities $ 82,253 $ 80,388 Property, plant and equipment, net $ 7,857 $ 8,079 Accrued expenses $ 2,759 $ 2,657 Other long-term liabilities 5,493 5,797 Total finance lease liabilities $ 8,252 $ 8,454 As of September 28, 2025, there were no significant leases that had not commenced. Lease Costs Three Months Ended Nine Months Ended September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 (in thousands) Finance lease cost: Amortization of right-of-use assets $ 883 $ 766 $ 2,600 $ 2,291 Interest on lease liabilities 137 119 413 328 Operating lease cost 5,152 4,824 15,271 14,635 Short-term lease cost 116 241 412 637 Variable lease cost 1,007 805 2,496 2,140 Total lease cost $ 7,295 $ 6,755 $ 21,192 $ 20,031 Other Supplemental Information Three Months Ended Nine Months Ended September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Pronouncements Not Yet Adopted In September 2025, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2025-06 - Intangibles - Goodwill and Other Internal Use Software (Topic 350-40). This ASU amends the accounting for internal-use software costs by removing reference to prescriptive and sequential software development stages used to evaluate capitalizable costs. The ASU requires entities to consider whether significant uncertainties associated with development activities have been resolved prior to capitalization of software costs and aligns disclosure requirements with ASC 360, Property, Plant, and Equipment. The new guidance in ASU 2025-06 is effective for annual periods beginning after December 15, 2027, and interim periods within those annual reporting periods, and may be applied prospectively, retrospectively, or using a modified retrospective approach. Early adoption is permitted. The Company is currently evaluating the impact of this ASU to its consolidated financial statements. In November 2024, the FASB issued ASU 2024-03, Income Statement Reporting - Comprehensive Income - Expense Disaggregation (Topic 220-40). This ASU requires public entities to provide additional footnote disclosures to disaggregate the cost and expense line items presented in the income statement into specific categories including (a) purchases of inventory; (b) employee compensation; (c) depreciation; and (d) intangible asset amort …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

EMPLOYEE BENEFIT PLANS The Company has defined benefit and multi-employer pension plans, which are described more fully in Note 19 to the consolidated financial statements included in Item 8 of the Annual Report on Form 10-K for the fiscal year ended December 29, 2024 . During the three and nine month periods ended September 28, 2025 and September 29, 2024, the Company recorded multi-employer pension expense related to multi-employer contributions of $0.8 million and $2.1 million, respectively. The following tables provide the components of net periodic benefit cost for the three and nine months ended September 28, 2025 and September 29, 2024: Three Months Ended Nine Months Ended Defined Benefit Retirement Plans (Europe) September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 (in thousands) Interest cost $ 1,961 $ 1,746 $ 5,703 $ 5,158 Expected return on plan assets (2,094) (2,009) (6,093) (5,930) Amortization of prior service cost 48 46 139 135 Amortization of net actuarial losses 405 274 1,178 810 Net periodic benefit cost $ 320 $ 57 $ 927 $ 173 Three Months Ended Nine Months Ended Salary Continuation Plan September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 (in thousands) Interest cost $ 274 $ 267 $ 823 $ 799 Amortization of net actuarial losses 47 59 142 179 Net periodic benefit cost $ 321 $ 326 $ 965 $ 978 Three Months Ended Nine Months Ended nora Defined Benefit Plan September 28, 2025 September 29, 2024 September 28, 2025 Sept …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

REVENUE RECOGNITION The Company generates revenue from sales of modular carpet, resilient flooring, rubber flooring, and other flooring-related material, and from the installation of carpet and other flooring-related material. A summary of these revenue streams, as a percentage of net sales, for the three and nine months ended September 28, 2025 and September 29, 2024 is as follows: Three Months Ended Nine Months Ended September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 Revenue from the sale of flooring material 97 % 96 % 98 % 97 % Revenue from installation of flooring material 3 4 2 3 Disaggregation of Revenue For the three and nine months ended September 28, 2025 and September 29, 2024, revenue from the Companys customers is broken down by geography as follows: Three Months Ended Nine Months Ended Geography September 28, 2025 September 29, 2024 September 28, 2025 September 29, 2024 Americas 60.0 % 61.0 % 61.5 % 60.7 % Europe 29.6 28.2 28.7 28.9 Asia-Pacific 10.4 10.8 9.8 10.4 Revenue from the Companys customers in the Americas corresponds to the AMS reportable segment, and the EAAA reportable segment includes revenue from the Europe and Asia-Pacific geographies. See Note 10 entitled Segment Information for additional information. …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT INFORMATION The Company determines that an operating segment exists if a component (i) engages in business activities from which it earns revenues and incurs expenses, (ii) has operating results that are regularly reviewed by the chief operating decision maker (CODM) and (iii) has discrete financial information. Additionally, accounting standards require the utilization of a management approach to report the financial results of operating segments, which is based on information used by the CODM to assess performance and make operating and resource allocation decisions. The Company determined that it has two operating segments organized by geographical area namely (a) Americas (AMS) and (b) Europe, Africa, Asia and Australia (collectively EAAA). The AMS operating segment includes the United States, Canada and Latin America geographic areas. Pursuant to the management approach discussed above, the Companys CODM, our chief executive officer, evaluates performance at the AMS and EAAA operating segment levels and makes operating and resource allocation decisions based on segment adjusted operating income (AOI). The CODM uses AOI to evaluate segment operating results compared to expectations. AOI is also used by the CODM to develop variable compensation targets and make capital spend decisions. AOI excludes: nora purchase accounting amortization; restructuring, asset impairment, severance, and other, net, and the impact of a cyber event. Intersegment revenues for the three …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation References in this Quarterly Report on Form 10-Q to Interface, the Company, we, our, ours and us refer to Interface, Inc. and its subsidiaries or any of them, unless the context requires otherwise. As contemplated by the Securities and Exchange Commission (the Commission) instructions to Form 10-Q, the following footnotes have been condensed and, therefore, do not contain all disclosures required in connection with annual financial statements. Reference should be made to the Companys year-end financial statements and notes thereto contained in its Annual Report on Form 10-K for the fiscal year ended December 29, 2024, as filed with the Commission. In the opinion of management, the unaudited financial information prepared by the Company and included in this report contains all adjustments necessary for a fair presentation of the results for the interim periods. All such adjustments are of a normal recurring nature unless otherwise disclosed. Nevertheless, the results shown for interim periods are not necessarily indicative of results to be expected for the full year. The December 29, 2024, consolidated condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States (GAAP). The nine-month periods ended September 28, 2025 and September 29, 2024 both include 39 weeks. The three-month periods end …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

SHAREHOLDERS EQUITY The following tables depict the activity in the accounts which make up shareholders equity for the three and nine months ended September 28, 2025 and September 29, 2024: SHARES COMMON STOCK ADDITIONAL PAID-IN CAPITAL RETAINED EARNINGS FOREIGN CURRENCY TRANSLATION ADJUSTMENT PENSION LIABILITY TOTAL (in thousands, except per share data) Balance, at December 29, 2024 58,304 $ 5,830 $ 261,028 $ 405,441 $ (143,317) $ (39,834) $ 489,148 Net income 13,002 13,002 Issuances of stock related to restricted share units and performance shares 658 66 (66) Cash dividends declared, $0.01 per common share (641) (641) Compensation expense related to share-based plans, net of forfeitures and shares received for tax withholdings (352) (35) (3,546) (3,581) Foreign currency translation adjustment 15,834 15,834 Pension liability adjustment (695) (695) Balance, at March 30, 2025 58,610 $ 5,861 $ 257,416 $ 417,802 $ (127,483) $ (40,529) $ 513,067 Net income 32,561 32,561 Issuances of stock related to restricted share units and performance shares 1 Cash dividends declared, $0.01 per common share (586) (586) Compensation expense related to share-based plans, net of forfeitures and shares received for tax withholdings 2,765 2,765 Share repurchases (218) (22) (4,423) (4,445) Foreign currency translation adjustment 33,445 33,445 Pension liability adjustment (1,782) (1,782) Balance, at June 29, 2025 58,393 $ 5,839 $ 255,758 $ 449,777 $ (94,038) $ (42,311) $ 575,025 Net income 46,146 46, …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing