NYSE$HVT

Haverty Furniture Companies Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Havertys' second quarter earnings decreased compared to the same period last year, with sales declining and gross profit margin remaining relatively stable.

Havertys reported a decrease in sales of 13.4% to $178.6 million and a decrease in EPS to $0.27 compared to $0.70 in the second quarter of 2023. The gross profit margin remained relatively stable at 60.4% compared to 60.5% in the prior year.

  • Diluted earnings per share decreased to $0.27 from $0.70 year-over-year.
  • Consolidated sales decreased by 13.4% to $178.6 million.
  • Comparable-store sales decreased by 13.6%.
  • Gross profit margin was 60.4%, slightly down from 60.5% in the prior year.

Headline financials

Total Revenue

$179M

Previous: $206M-13.4%
EPS

$0.27

Previous: $0.70-61.4%
Gross Profit Margin

60.4%

Previous: 60.5%-0.2%
Capital Expenditures

-$16M

Previous: -$40.5M+60.6%
Free Cash Flow

-$11.5M

Previous: -$28.7M+59.9%
Net Income

$4.44M

Previous: $11.8M-62.4%
Operating Income

$5.09M

Previous: $14.9M-65.7%
Gross Profit

$108M

Previous: $125M-13.5%

Revenue & EPS history

Haverty Furniture · Revenue · Quarterly

$179M

Q2 2024-13.4%vs Q2 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Forward guidance

Havertys expects gross profit margins for 2024 to remain between 60.0% and 60.5%. Fixed and discretionary expenses within SG&A are projected to be in the $282.0 to $284.0 million range. The effective tax rate for 2024 is expected to be 27.5%. Planned capital expenditures for the full year are approximately $33.0 million, with retail square footage expected to increase by about 3.4%.

Tailwinds

  • Gross profit margins are expected to remain stable at 60.0% to 60.5%.
  • Fixed and discretionary expenses within SG&A reduced by $8.0 million from previous guidance.
  • Reduction in variable SG&A expenses by 20 basis points driven by third party credit expense and delivery costs.
  • Strong financial position enables investments during demand downturns.
  • Store growth strategy is on track with plans to open a net of five new stores in 2024 and 2025.

Headwinds

  • Effective tax rate for 2024 increased from previous guidance of 26.5% to 27.5%.
  • Total sales down 13.4%, comp-store sales down 13.6% for the quarter.
  • Total written sales were down 15.2% and written comp-store sales declined 15.8% for the quarter
  • Gross profit margins decreased to 60.4% in 2024 from 60.5% in 2023.
  • SG&A expenses were 57.7% of sales versus 53.3%

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.3%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+2.3%

Avg return

30 days after

56%

36 / 64 earnings

Positive

+15.5%

Q2 2020

Best reaction

-18.9%

Q1 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+7.3%+4.9%+11.4%
Q4 2025+2.1%-5.9%-15.6%
Q3 2025+7.8%+11.1%+17.7%
Q1 2025+8.7%+3.8%+15.4%
Q4 2024+9.1%+8.3%-1.6%
Q3 2024-8.8%-9.9%-2.8%
Q2 2024+3.4%-2.4%-4.2%
Q1 2024-7.4%-4.3%-7.8%
Q4 2023-6.8%-3.3%-9.1%
Q3 2023+6.6%+14.2%+23.6%
Q2 2023-7.9%-5.6%-12.1%
Q1 2023-13.8%-12.8%-12.8%
Q4 2022+1.7%+3.8%-15.5%
Q3 2022+4.1%+16.5%+18.5%
Q2 2022+4.7%+5.2%-3.7%
Q1 2022+8.7%+9.5%+11.0%
Q4 2021-2.6%-4.2%+5.8%
Q3 2021-9.6%-4.4%-1.7%
Q2 2021-5.2%-6.3%-6.0%
Q1 2021+13.2%+13.1%+13.1%
Q4 2020+1.0%+5.7%+14.4%
Q3 2020+7.7%+10.7%+20.1%
Q2 2020+15.5%+23.1%+38.7%
Q1 2020+4.5%+8.8%+7.5%
Q4 2019-15.0%-14.2%-38.9%
Q3 2019-14.5%-12.2%-5.2%
Q2 2019-1.9%-3.2%+5.5%
Q1 2019-18.9%-19.3%-25.8%
Q4 2018+5.9%+6.7%+4.5%
Q3 2018-0.2%+4.2%+6.8%
Q2 2018+3.8%+5.8%+10.3%
Q1 2018+9.1%+7.2%+10.2%
Q4 2017-5.1%+0.0%-11.2%
Q3 2017+4.8%+2.1%+0.6%
Q2 2017+6.8%+3.9%+0.7%
Q1 2017+3.9%+3.0%-2.8%
Q4 2016+8.6%+2.9%+4.0%
Q3 2016+3.6%+8.3%+19.3%
Q2 2016+8.9%+10.9%+8.5%
Q1 2016-3.6%
Q4 2015-2.4%
Q3 2015+3.0%
Q2 2015-0.1%
Q1 2015-1.5%
Q4 2014-6.3%
Q3 2014-4.4%
Q2 2014+0.1%
Q1 2014-3.3%
Q4 2013+1.7%
Q3 2013-3.2%
Q2 2013+1.4%
Q1 2013+1.6%
Q4 2012+0.9%
Q3 2012-1.7%
Q2 2012-0.6%
Q1 2011+0.2%
Q1 2012+1.5%
Q4 2011+1.7%
Q3 2010+3.1%
Q3 2011+3.1%
Q2 2011-6.3%
Q4 2010-3.7%
Q2 2010-1.0%
Q1 2010-2.6%

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