Loading...
•
May 02, 2021
Hooker Furnishings Q1 2022 Earnings Report
Hooker Furnishings exceeded pre-pandemic growth pace with sales and profitability gains in the first quarter.
Key Takeaways
Hooker Furniture Corporation reported record-high sales and earnings for its fiscal 2022 first quarter, with net sales of $162.9 million and net income of $9.4 million, or $0.78 per diluted share. The company surpassed its goal to return to the growth trajectory it was on prior to the global pandemic, with sales up 20% compared to the first quarter two years ago.
Consolidated net sales increased by 56% compared to the year-ago period, reaching $162.9 million.
Net income for the first quarter was $9.4 million, or $0.78 per diluted share, representing record-high earnings for the company’s fiscal first quarter.
The Hooker Branded Segment led the way with an 89% sales increase, while the Home Meridian and Domestic Upholstery segments both reported 46% sales increases.
Consolidated operating income for the quarter was $12.2 million, a significant improvement compared to the prior year period's operating loss.
Forward Guidance
Hooker Furniture is cautiously optimistic given strong orders and backlogs, but acknowledges industry-wide supply chain, logistics, and raw materials shortages and inflation. They believe they have mitigated these dynamics as much as possible through surcharges and price increases, yet these supply-side factors are unpredictable and often involve unexpected changes occurring almost daily.
Positive Outlook
- Ongoing strong housing market.
- Favorable demographics with the Millennial generation engaging in household formation and home furnishing purchases.
- Consolidated orders and backlogs are more than double historical norms.
- Expect demand for home furnishings will settle into a higher level of demand than pre-pandemic.
- Company is strongly positioned to win in this environment.
Challenges Ahead
- Industry-wide supply chain shortages.
- Industry-wide logistics shortages.
- Industry-wide raw materials shortages.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...