Bassett Reports Fiscal First Quarter Results
Bassett Furniture Industries (NASDAQ: BSET) reported its Q1 FY25 results, showing improved profitability despite lower revenues. Sales decreased 5.1% to $82.2 million compared to the 14-week Q1 FY24, but when normalized for the extra week, sales increased 2.2%.
The company achieved operating income of $2.5 million (3.0% of sales) compared to a loss of $(2.4) million in the prior year. Gross margin improved to 57.0%, up 170 basis points, driven by better wholesale margins. Selling, general and administrative expenses decreased to 54.0% of sales, 400 basis points lower than the prior year, reflecting benefits from the 2024 restructuring plan.
Diluted earnings per share reached $0.21, compared to a loss of $(0.14) in Q1 FY24. The company maintains focus on cost efficiency and product innovation to address tepid demand in the home furnishings market.
Bassett Furniture Industries (NASDAQ: BSET) ha riportato i risultati del primo trimestre dell'anno fiscale 25, mostrando una redditività migliorata nonostante un calo dei ricavi. Le vendite sono diminuite del 5,1% a 82,2 milioni di dollari rispetto al primo trimestre di 14 settimane dell'anno fiscale 24, ma quando normalizzate per la settimana extra, le vendite sono aumentate del 2,2%.
L'azienda ha raggiunto un reddito operativo di 2,5 milioni di dollari (3,0% delle vendite) rispetto a una perdita di $(2,4) milioni dell'anno precedente. Il margine lordo è migliorato al 57,0%, in aumento di 170 punti base, grazie a migliori margini all'ingrosso. Le spese di vendita, generali e amministrative sono diminuite al 54,0% delle vendite, 400 punti base in meno rispetto all'anno precedente, riflettendo i benefici del piano di ristrutturazione del 2024.
Gli utili per azione diluiti hanno raggiunto 0,21 dollari, rispetto a una perdita di $(0,14) nel primo trimestre dell'anno fiscale 24. L'azienda mantiene l'attenzione sull'efficienza dei costi e sull'innovazione dei prodotti per affrontare la domanda tiepida nel mercato dell'arredamento per la casa.
Bassett Furniture Industries (NASDAQ: BSET) reportó sus resultados del primer trimestre del año fiscal 25, mostrando una rentabilidad mejorada a pesar de la disminución de ingresos. Las ventas disminuyeron un 5.1% a 82.2 millones de dólares en comparación con el primer trimestre de 14 semanas del año fiscal 24, pero cuando se normalizan por la semana adicional, las ventas aumentaron un 2.2%.
La compañía logró un ingreso operativo de 2.5 millones de dólares (3.0% de las ventas) en comparación con una pérdida de $(2.4) millones en el año anterior. El margen bruto mejoró al 57.0%, un aumento de 170 puntos básicos, impulsado por mejores márgenes al por mayor. Los gastos de venta, generales y administrativos disminuyeron al 54.0% de las ventas, 400 puntos básicos menos que el año anterior, reflejando los beneficios del plan de reestructuración de 2024.
Los ganancias por acción diluidas alcanzaron 0.21 dólares, en comparación con una pérdida de $(0.14) en el primer trimestre del año fiscal 24. La compañía se mantiene enfocada en la eficiencia de costos y la innovación de productos para abordar la demanda tibia en el mercado de muebles para el hogar.
배싯 가구 산업(Bassett Furniture Industries) (NASDAQ: BSET)는 25회계연도 1분기 실적을 발표하며 수익성이 개선되었음을 보여주었으나 매출은 감소했습니다. 매출은 5.1% 감소하여 8220만 달러에 달했으며, 이는 14주 동안의 24회계연도 1분기와 비교한 수치입니다. 그러나 추가 주를 고려할 때 매출은 2.2% 증가했습니다.
회사는 250만 달러의 운영 수익을 달성하였으며 (매출의 3.0%), 이는 전년도 $(240만) 달러의 손실과 비교됩니다. 총 마진은 57.0%로 개선되어 170 베이시스 포인트 상승하였으며, 이는 도매 마진 개선에 기인합니다. 판매, 일반 및 관리비는 매출의 54.0%로 감소하였으며, 이는 전년도보다 400 베이시스 포인트 낮아져 2024년 구조 조정 계획의 혜택을 반영합니다.
희석 주당 순이익은 0.21 달러에 도달했으며, 이는 24회계연도 1분기의 $(0.14) 손실과 비교됩니다. 회사는 가정용 가구 시장의 미온적인 수요에 대응하기 위해 비용 효율성과 제품 혁신에 집중하고 있습니다.
Bassett Furniture Industries (NASDAQ: BSET) a publié ses résultats du premier trimestre de l'exercice 25, montrant une rentabilité améliorée malgré une baisse des revenus. Les ventes ont diminué de 5,1% pour atteindre 82,2 millions de dollars par rapport au premier trimestre de 14 semaines de l'exercice 24, mais une fois normalisées pour la semaine supplémentaire, les ventes ont augmenté de 2,2 %.
L'entreprise a réalisé un bénéfice d'exploitation de 2,5 millions de dollars (3,0 % des ventes) par rapport à une perte de $(2,4) millions l'année précédente. La marge brute s'est améliorée à 57,0%, en hausse de 170 points de base, grâce à de meilleures marges de gros. Les frais de vente, généraux et administratifs ont diminué à 54,0 % des ventes, soit 400 points de base de moins que l'année précédente, reflétant les avantages du plan de restructuration de 2024.
Le bénéfice par action dilué a atteint 0,21 dollar, contre une perte de $(0,14) au premier trimestre de l'exercice 24. L'entreprise reste concentrée sur l'efficacité des coûts et l'innovation des produits pour faire face à la demande tiède sur le marché des meubles pour la maison.
Bassett Furniture Industries (NASDAQ: BSET) hat die Ergebnisse des ersten Quartals des Geschäftsjahres 25 veröffentlicht, die eine verbesserte Rentabilität trotz sinkender Einnahmen zeigen. Der Umsatz sank um 5,1% auf 82,2 Millionen Dollar im Vergleich zum 14-wöchigen ersten Quartal des Geschäftsjahres 24, aber bei Normalisierung um die zusätzliche Woche stieg der Umsatz um 2,2%.
Das Unternehmen erzielte einen operativen Gewinn von 2,5 Millionen Dollar (3,0% des Umsatzes) im Vergleich zu einem Verlust von $(2,4) Millionen im Vorjahr. Die Bruttomarge verbesserte sich auf 57,0%, was einem Anstieg von 170 Basispunkten entspricht und durch bessere Großhandelsmargen bedingt ist. Die Vertriebs-, Verwaltungs- und Gemeinkosten sanken auf 54,0% des Umsatzes, 400 Basispunkte niedriger als im Vorjahr, was die Vorteile des Umstrukturierungsplans von 2024 widerspiegelt.
Der verwässerte Gewinn pro Aktie erreichte 0,21 Dollar, verglichen mit einem Verlust von $(0,14) im ersten Quartal des Geschäftsjahres 24. Das Unternehmen konzentriert sich weiterhin auf Kosteneffizienz und Produktinnovation, um der schwachen Nachfrage auf dem Markt für Wohnmöbel zu begegnen.
- Turned $2.4M operating loss into $2.5M operating profit
- Gross margin improved 170 basis points to 57.0%
- SG&A expenses reduced by 400 basis points to 54.0% of sales
- Normalized sales increased 2.2% when adjusted for extra week
- EPS improved from $(0.14) loss to $0.21 profit
- Reported sales decreased 5.1% year-over-year
- Other losses increased to $459,000 from $104,000 year-over-year
- Interest income declined from $756,000 to $559,000
Insights
Bassett Furniture's Q1 results represent a significant turnaround with diluted EPS of
The most impressive aspect is the substantial margin expansion. Operating income reached
By segment, wholesale operations excelled with operating margins expanding to
This quarter validates management's strategic focus on operational efficiency while maintaining targeted growth initiatives in product innovation and e-commerce. The company appears well-positioned to navigate continued industry softness while emerging stronger when consumer spending on home furnishings eventually rebounds.
BASSETT, Va., April 02, 2025 (GLOBE NEWSWIRE) -- Bassett Furniture Industries, Inc. (Nasdaq: BSET) reported today its results of operations for its first quarter ended March 1, 2025. The first quarter for the Company’s Fiscal Year 25 had 13 weeks as compared to 14 weeks in Fiscal Year 24.
Q1 Consolidated Business Highlights: [FY 25 vs. FY 24, unless otherwise specified]
- Revenues decreased
5.1% from the prior year quarter, which contained an additional week. Normalizing the first fiscal quarter of 2024 to adjust for the additional week, sales revenue for the first quarter of fiscal 2025 increased2.2% . - Operating income was
$2.5 million or3.0% of sales as compared to a loss of$(2.4) million for the prior year quarter. - Improved wholesale margins in the quarter drove Company gross margin to
57.0% , a 170 basis point increase over the prior year. - Selling, general and administrative expenses came in at
54.0% of sales which was 400 basis points lower than the prior year. This was despite a5.1% sales decrease as the Company continues to realize the benefits from its 2024 restructuring plan. - Diluted earnings per share of
$0.21 vs. a loss of$(0.14) .
Fiscal 2025 First Quarter Overview
(Dollars in millions)
| Sales | Operating Income (Loss) | |||||||||||||||||||||
| 1st Qtr | Dollar | % | 1st Qtr | % of | 1st Qtr | % of | ||||||||||||||||
| 2025 | 2024 | Change | Change | 2025 | Sales | 2024 | Sales | |||||||||||||||
| Consolidated (1) | $ | 82.2 | $ | 86.6 | $ | (4.4 | ) | -5.1 | % | $ | 2.6 | 3.0 | % | $ | (2.4 | ) | -2.8 | % | ||||
| Wholesale | $ | 52.9 | $ | 54.7 | $ | (1.8 | ) | -3.3 | % | $ | 8.7 | 16.4 | % | $ | 6.8 | 12.4 | % | |||||
| Retail | $ | 53.3 | $ | 53.8 | $ | (0.5 | ) | -0.9 | % | $ | - | 0.0 | % | $ | (1.6 | ) | -3.0 | % | ||||
| Corporate & Other (2) | $ | - | $ | 1.9 | $ | (1.9 | ) | -100.0 | % | $ | (6.2 | ) | N/A | $ | (7.6 | ) | N/A | |||||
| (1) Our consolidated results for the quarter include certain intercompany eliminations. See Table 4, "Segment Information" below for an illustration of the effects of these items on our consolidated sales and operating income. | ||||||||||||||||||||||
| (2) Corporate and Other includes the operations of Noa Home Inc. (fiscal 2024 only) along with the shared Corporate costs that are benefiting both the Wholesale and Retail segments. | ||||||||||||||||||||||
“We’re pleased that with consolidated margin improvements in the first quarter, Bassett delivered diluted earnings per share of
Conference Call and Webcast
The Company will hold a conference call to discuss its quarterly results on April 3, 2025, at 9:00 am ET. The public is invited to listen to the conference call by webcast, accessible through the Company’s investor relations website, https://investors.bassettfurniture.com/. Participants can also listen to the conference call via https://edge.media-server.com/mmc/p/b3vchwmf. A replay and transcript of the conference call will be available on demand on the investor relations site.
About Bassett Furniture Industries, Inc.
Bassett Furniture Industries, Inc. (NASDAQ: BSET) is a leading provider of high-quality home furnishings with a wide range of distribution types. Bassett sales approximately
Forward-Looking Statements
Certain of the statements in this release, particularly those preceded by, followed by or including the words “believes,” “plans,” “expects,” “anticipates,” “intends,” “should,” “estimates,” or similar expressions, or those relating to or anticipating financial results or changes in operations for periods beyond the end of the first fiscal quarter of 2025, constitute “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended. For those statements, Bassett claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. In many cases, Bassett cannot predict what factors would cause actual results to differ materially from those indicated in the forward-looking statements. Expectations included in the forward-looking statements are based on preliminary information, as well as certain assumptions which management believes to be reasonable at this time. The following important factors affect Bassett and could cause actual results to differ materially from those indicated in the forward looking statements: the effects of national and global economic or other conditions and future events on the retail demand for home furnishings and the ability of Bassett’s customers and consumers to obtain credit; the success of marketing, logistics, retail and other initiatives; and the economic, competitive, governmental and other factors identified in Bassett’s filings with the Securities and Exchange Commission. Any forward-looking statement that Bassett makes speaks only as of the date of such statement, and Bassett undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Comparisons of results for current and any prior periods are not intended to express any future trends or indication of future performance, unless expressed as such, and should only be viewed as historical data.
| Table 1 | |||||||||||
| BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES | |||||||||||
| Condensed Consolidated Statements of Operations - unaudited | |||||||||||
| (In thousands, except for per share data) | |||||||||||
| Quarter Ended* | |||||||||||
| March 1, 2025 | March 2, 2024 | ||||||||||
| Percent of | Percent of | ||||||||||
| Amount | Net Sales | Amount | Net Sales | ||||||||
| Net sales of furniture and accessories | $ | 82,162 | 100.0 | % | $ | 86,554 | 100.0 | % | |||
| Cost of furniture and accessories sold | 35,332 | 43.0 | % | 38,687 | 44.7 | % | |||||
| Gross profit | 46,830 | 57.0 | % | 47,867 | 55.3 | % | |||||
| Selling, general and administrative expenses | 44,375 | 54.0 | % | 50,224 | 58.0 | % | |||||
| Income (loss) from operations | 2,455 | 3.0 | % | (2,357 | ) | -2.7 | % | ||||
| Interest income | 559 | 0.7 | % | 756 | 0.9 | % | |||||
| Other loss, net | (459 | ) | -0.6 | % | (104 | ) | -0.1 | % | |||
| Income (loss) before income taxes | 2,555 | 3.1 | % | (1,705 | ) | -2.0 | % | ||||
| Income tax expense (benefit) | 701 | 0.9 | % | (512 | ) | -0.6 | % | ||||
| Net income (loss) | 1,854 | 2.3 | % | (1,193 | ) | -1.4 | % | ||||
| Basic and diluted earnings (loss) per share | $ | 0.21 | $ | (0.14 | ) | ||||||
| *13 weeks in fiscal 2025 versus 14 weeks in fiscal 2024. | |||||||||||
| Table 2 | ||||||
| BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES | ||||||
| Condensed Consolidated Balance Sheets | ||||||
| (In thousands) | ||||||
| (Unaudited) | ||||||
| Assets | March 1, 2025 | November 30, 2024 | ||||
| Current assets | ||||||
| Cash and cash equivalents | $ | 36,062 | $ | 39,551 | ||
| Short-term investments | 20,360 | 20,360 | ||||
| Accounts receivable, net | 14,218 | 13,181 | ||||
| Inventories, net | 58,103 | 54,965 | ||||
| Recoverable income taxes | 4,240 | 4,240 | ||||
| Other current assets | 9,857 | 9,242 | ||||
| Total current assets | 142,840 | 141,539 | ||||
| Property and equipment, net | 75,408 | 77,047 | ||||
| Other long-term assets | ||||||
| Deferred income taxes, net | 6,280 | 6,867 | ||||
| Goodwill and other intangible assets | 14,170 | 14,185 | ||||
| Right of use assets under operating leases | 89,413 | 93,624 | ||||
| Other | 7,675 | 7,908 | ||||
| Total long-term assets | 117,538 | 122,584 | ||||
| Total assets | $ | 335,786 | $ | 341,170 | ||
| Liabilities and Stockholders’ Equity | ||||||
| Current liabilities | ||||||
| Accounts payable | $ | 14,682 | $ | 13,303 | ||
| Accrued compensation and benefits | 6,721 | 6,898 | ||||
| Customer deposits | 25,352 | 25,742 | ||||
| Current portion of operating lease obligations | 18,141 | 18,050 | ||||
| Other accrued expenses | 8,841 | 9,410 | ||||
| Total current liabilities | 73,737 | 73,403 | ||||
| Long-term liabilities | ||||||
| Post employment benefit obligations | 10,958 | 10,882 | ||||
| Long-term portion of operating lease obligations | 83,371 | 88,395 | ||||
| Other long-term liabilities | 922 | 1,163 | ||||
| Total long-term liabilities | 95,251 | 100,440 | ||||
| Stockholders’ equity | ||||||
| Common stock | 43,462 | 43,681 | ||||
| Retained earnings | 122,555 | 122,847 | ||||
| Additional paid-in-capital | - | 6 | ||||
| Accumulated other comprehensive income | 781 | 793 | ||||
| Total stockholders' equity | 166,798 | 167,327 | ||||
| Total liabilities and stockholders’ equity | $ | 335,786 | $ | 341,170 | ||
| Table 3 | ||||||||
| BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES | ||||||||
| Consolidated Statements of Cash Flows - unaudited | ||||||||
| (In thousands) | ||||||||
| Three Months Ended* | ||||||||
| March 1, 2025 | March 2, 2024 | |||||||
| Operating activities: | ||||||||
| Net income (loss) | $ | 1,854 | $ | (1,193 | ) | |||
| Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||||||||
| Depreciation and amortization | 2,246 | 2,664 | ||||||
| Deferred income taxes | 587 | (922 | ) | |||||
| Other, net | 454 | 302 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | (1,037 | ) | (206 | ) | ||||
| Inventories | (3,138 | ) | 25 | |||||
| Other current and long-term assets | (615 | ) | (3,167 | ) | ||||
| Right of use assets under operating leases | 4,211 | 4,375 | ||||||
| Customer deposits | (390 | ) | (24 | ) | ||||
| Accounts payable and other liabilities | 709 | (3,374 | ) | |||||
| Obligations under operating leases | (4,933 | ) | (6,219 | ) | ||||
| Net cash used in operating activities | (52 | ) | (7,739 | ) | ||||
| Investing activities: | ||||||||
| Purchases of property and equipment | (871 | ) | (2,076 | ) | ||||
| Other | (11 | ) | (270 | ) | ||||
| Net cash used in investing activities | (882 | ) | (2,346 | ) | ||||
| Financing activities: | ||||||||
| Cash dividends | (1,734 | ) | (1,573 | ) | ||||
| Other issuance of common stock | 80 | 86 | ||||||
| Repurchases of common stock | (721 | ) | - | |||||
| Taxes paid related to net share settlement of equity awards | (136 | ) | (161 | ) | ||||
| Repayments of finance lease obligations | (44 | ) | (74 | ) | ||||
| Net cash used in financing activities | (2,555 | ) | (1,722 | ) | ||||
| Effect of exchange rate changes on cash and cash equivalents | - | 9 | ||||||
| Change in cash and cash equivalents | (3,489 | ) | (11,798 | ) | ||||
| Cash and cash equivalents - beginning of period | 39,551 | 52,407 | ||||||
| Cash and cash equivalents - end of period | $ | 36,062 | $ | 40,609 | ||||
| *13 weeks in fiscal 2025 versus 14 weeks in fiscal 2024. | ||||||||
| Table 4 | ||||||
| BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES | ||||||
| Segment Information - unaudited | ||||||
| (In thousands) | ||||||
| Quarter Ended* | ||||||
| March 1, 2025 | March 2, 2024 | |||||
| Sales Revenue | ||||||
| Wholesale sales of furniture and accessories | ||||||
| Less: Sales to retail segment | (24,059) | (23,762) | ||||
| Wholesale sales to external customers | 28,868 | 30,938 | ||||
| Retail sales of furniture and accessories | 53,294 | 53,754 | ||||
| Corporate & Other - Noa Home (1) | - | 1,862 | ||||
| Consolidated net sales of furniture and accessories | ||||||
| Income (Loss) before Income Taxes | ||||||
| Income (Loss) from Operations | ||||||
| Wholesale | ||||||
| Retail | (48) | (1,612) | ||||
| Net expenses - Corporate and other (1) | (6,226) | (7,595) | ||||
| Inter-company elimination | 44 | 90 | ||||
| Consolidated income (loss) from operations | 2,455 | (2,357) | ||||
| Interest income | 559 | 756 | ||||
| Other loss, net | (459) | (104) | ||||
| Consolidated income (loss) before income taxes | ||||||
| *13 weeks in fiscal 2025 versus 14 weeks in fiscal 2024. | ||||||
| (1) Corporate and Other includes the operations of Noa Home Inc. (fiscal 2024 only) along with the shared Corporate costs that are benefiting both the Wholesale and Retail segments. | ||||||
Contacts:
J. Michael Daniel
Senior Vice President and
Chief Financial Officer
(276) 629-6260 – Investors
mdaniel@bassettfurniture.com
Peter D. Morrison
Vice President of Communications
(276) 629-6450 – Media
FAQ
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