NASDAQ$HOFT

Hooker Furnishings Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Hooker Furnishings reported double-digit income gains due to focus on strategic growth initiatives and cost reduction.

Hooker Furnishings reported positive third-quarter results, driven by strategic growth initiatives and cost reduction efforts. Consolidated orders increased by 15.7%, and the company saw improvements from the Home Meridian segment. The company is cautiously optimistic about future performance amid mixed economic indicators.

  • Consolidated orders increased by 15.7% compared to the prior year period.
  • Home Meridian segment reported a quarterly profit for the first time in two years, contributing to overall profitability.
  • New showrooms have significantly increased customer contacts, leading to new accounts.
  • Inventory levels are aligned with current demand, and the company's balance sheet supports growth initiatives and dividends.

Headline financials

Total Revenue

$117M

Previous: $152M-22.9%
EPS (adj)

$0.65

Previous: $0.42+54.8%
Capital Expenditures

-$1.75M

Previous: -$1.52M-15.2%
Free Cash Flow

$5.29M

Previous: $3.32M+59.2%
Net Income

$7.04M

Previous: $4.84M+45.4%
Operating Income

$8.77M

Previous: $6.42M+36.6%
Gross Profit

$33.7M

Previous: $32M+5.3%
Cash & Equivalents

$39.8M

Previous: $6.51M+511.5%
Total Assets

$354M

Previous: $400M-11.4%
Stock-Based Comp

$642K

Previous: $450K+42.7%

Revenue & EPS history

Hooker Furnishings · Revenue · Quarterly

$117M

Q3 2024-22.9%vs Q3 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Hooker Furnishings · $69.5M total across 3 segments · Q1 2027

  • Hooker Branded
    $35.3M
  • Domestic Upholstery
    $28.4M
  • All Other
    $5.77M

Forward guidance

Hooker Furnishings anticipates flat sales for Hooker Legacy brands in the next quarter compared to the prior year. Sales growth at HMI is expected to be temporarily suppressed, but significant new retail product placements should begin to buoy sales by the first quarter of next fiscal year.

Tailwinds

  • Long-term economic outlook has improved.
  • Core inflation is at the lowest level since 2021.
  • The US economy grew nearly 5% last quarter.
  • Unemployment remains at record lows.
  • A recession appears less likely.

Headwinds

  • Economic indicators remain mixed.
  • Furniture industry retail traffic is down about 15% from January through October 2023.
  • Reduced housing activity is still challenging.
  • High mortgage interest rates are still challenging.
  • Current retail conditions are soft.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-0.3%

Avg return

Earnings day

+0.4%

Avg return

5 days after

-0.6%

Avg return

30 days after

50%

33 / 66 earnings

Positive

+23.1%

Q4 2017

Best reaction

-22.6%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027+22.2%+23.3%
Q4 2026-13.5%-7.4%-9.7%
Q3 2026-4.4%+0.1%+8.3%
Q2 2026-1.1%-7.5%-18.5%
Q1 2026-1.0%+0.6%+3.8%
Q4 2025+14.8%+21.5%+28.8%
Q3 2025-7.4%-7.1%-25.3%
Q2 2025+1.2%+3.7%+8.1%
Q1 2025-14.9%-15.2%-24.0%
Q4 2024-10.7%-11.9%-11.1%
Q3 2024+15.7%+17.9%+20.1%
Q2 2024-12.1%-10.3%-11.5%
Q1 2024+3.6%+7.5%+12.0%
Q4 2023-5.5%-4.5%-2.2%
Q3 2023+3.7%+1.4%+11.5%
Q2 2023-1.0%-0.1%-14.1%
Q1 2023-5.0%-8.3%-7.8%
Q4 2022+0.8%-0.1%-6.3%
Q3 2022-7.6%-8.6%-9.9%
Q2 2022-9.9%-10.2%-13.1%
Q1 2022+7.4%+6.8%-7.9%
Q4 2021-6.7%-6.4%+3.0%
Q3 2021+1.4%+2.5%-1.9%
Q2 2021+6.8%+5.9%+1.7%
Q1 2021+1.6%+1.8%+7.7%
Q4 2020-11.2%-14.8%-17.2%
Q3 2020+1.2%+2.6%+5.4%
Q2 2020+4.7%+14.2%+16.7%
Q1 2020-22.6%-26.2%-20.7%
Q4 2019-5.2%-5.8%-4.6%
Q3 2019+1.5%+3.1%+3.1%
Q2 2019-10.3%-13.1%-27.9%
Q1 2019+21.3%+23.4%+27.0%
Q4 2018+5.9%+3.6%+0.8%
Q3 2018-14.0%-19.8%-21.3%
Q2 2018+10.3%+6.6%+19.0%
Q1 2018-7.5%-5.5%-8.0%
Q4 2017+23.1%+30.7%+45.3%
Q3 2017+9.5%+21.5%+27.9%
Q2 2017+6.8%+3.8%+2.7%
Q1 2017-6.7%-2.1%-12.8%
Q4 2016-19.9%
Q3 2016-5.5%
Q2 2016-3.9%
Q1 2016+3.9%
Q4 2015+14.1%
Q3 2015+4.6%
Q2 2015+0.3%
Q1 2015+18.2%
Q4 2014-0.7%
Q3 2014+0.6%
Q2 2014-3.6%
Q1 2014-6.9%
Q4 2013+3.7%
Q3 2013+2.0%
Q2 2013+4.1%
Q1 2013-0.1%
Q4 2012+5.0%
Q3 2012-0.3%
Q2 2012+4.9%
Q1 2011-5.7%
Q1 2012-3.5%
Q4 2011-8.2%
Q2 2011-8.2%
Q3 2011+1.1%
Q4 2010+1.1%

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