Steelcase posts higher earnings, misses estimates

NEW YORK (Reuters) - Office furniture maker Steelcase Inc (SCS.N: Quote, Profile, Research) on Thursday reported higher quarterly results but missed analyst estimates, citing slowing industry growth and inflation.

Fourth-quarter net income for the world's largest office furniture maker was $30.6 million, or 22 cents a share, compared with $29.3 million, or 20 cents a share, a year ago.

Analysts had expected the company to post earnings of 25 cents a share, according to Reuters Estimates.

The company also announced an acceleration of cost reductions over the next nine to twelve months, which are expected to generate annualized savings of about $25 million after-tax, Steelcase said in a statement.

"Various economic indicators suggest our industry may continue to moderate in the near-term and face increasing inflationary headwinds at the same time," Chief Financial Officer David Sylvester said in the statement.

The Grand Rapids, Michigan-based company posted a 15.8 percent rise in revenue to $901.3 million, topping Reuters analyst estimates of $866.02 million.

Steelcase's shares were down about 4 percent at $11 in after hours trade.

(Reporting by Helen Chernikoff, editing by Phil Berlowitz)