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Mar 31, 2023

Ethan Allen Q3 2023 Earnings Report

Reported strong operating results and increased regular quarterly cash dividend by 13%.

Key Takeaways

Ethan Allen reported consolidated net sales of $186.3 million, a gross margin of 59.9%, an operating margin of 15.5%, and a net income of $22.4 million for Q3 2023. The adjusted diluted earnings per share was $0.86. The company had $156.2 million in cash and investments with no debt. The board approved a 13% increase to the regular quarterly cash dividend to $0.36 per share.

Consolidated net sales decreased by 5.7% to $186.3 million.

Retail segment written orders increased 3.6% compared with the pre-pandemic third quarter of fiscal 2019.

Consolidated gross margin decreased to 59.9% from 60.4% a year ago.

The Board approved an increase to the regular quarterly cash dividend to $0.36 per share, a 13% increase.

Total Revenue
$186M
Previous year: $198M
-5.7%
EPS
$0.86
Previous year: $0.93
-7.5%
Gross Margin
59.9%
Previous year: 60.4%
-0.8%
Gross Profit
$112M
Previous year: $119M
-6.6%
Cash and Equivalents
$156M
Previous year: $95M
+64.4%
Free Cash Flow
$31.2M
Previous year: $12M
+160.1%
Total Assets
$741M
Previous year: $715M
+3.7%

Ethan Allen

Ethan Allen

Forward Guidance

Ethan Allen is confident in their investments but remains cognizant of the slower economic environment, maintaining a cautiously optimistic outlook.