Hooker Furnishings (HOFT) Q1 2026 Earnings Call June 12, 2025 09:00 AM ET Company Participants Earl Armstrong - CFOJeremy Hoff - CEODave Storms - Director of Equity Research Conference Call Participants Anthony Lebiedzinski - Senior Equity Research Analyst Operator Good day, and welcome to the Hooker Furnishings Corp. First Quarter twenty twenty six Earnings Webcast. At this time, all participants are in a listen only mode. After the speakers' presentation, there will be a question and answer session. Instr ...

Financial Data and Key Metrics Changes - Consolidated net sales for the first quarter were $85.3 million, a decrease of $8.3 million or 8.8% compared to the same period last year [3] - Operating loss was reduced by $1.6 million or 31% to $3.6 million, reflecting cost reduction initiatives [3] - Net loss was $3.1 million or $0.29 per diluted share, an improvement from the prior year's net loss of $4.1 million or $0.39 per diluted share [4] Business Line Data and Key Metrics Changes - Hooker Branded achieved breakeven for the quarter, with net sales increasing slightly due to higher unit volume [4] - Domestic Upholstery segment saw a net sales decrease of about $1 million or 3.7%, but gross profit increased by $575,000 due to reduced material and labor costs [20] - Home Meridian's net sales decreased by $7.6 million or about 29%, primarily due to a significant reduction in unit volume and loss of a major customer [19] Market Data and Key Metrics Changes - The overall decrease in consolidated sales was driven primarily by a double-digit sales decrease at HMI, which is positioned in the mid-price segment affected by import tariffs [4] - Existing home sales remain well below pre-pandemic levels, impacting furniture demand [10] - Furniture retail sales showed modest improvement, with April sales increasing 5.6% year over year [24] Company Strategy and Development Direction - The company is executing a phased cost reduction strategy aimed at achieving approximately $25 million in annualized savings by next fiscal year [12] - A new warehouse facility in Vietnam was opened to enhance supply chain efficiency and reduce lead times [5] - The company is focused on product innovation, cost optimization, and operational excellence to capitalize on emerging opportunities [25] Management Comments on Operating Environment and Future Outlook - The home furnishings industry is navigating a challenging environment due to persistent softness in the housing market and declining consumer sentiment [10] - Management believes they have successfully mitigated the impact of a 10% tariff through price increases and participation by source factories [11] - The company is optimistic about fiscal May orders, which were the highest since February [26] Other Important Information - Cash and cash equivalents stood at $18 million, an increase from year-end, primarily due to accounts receivable collections [21] - The company maintained financial flexibility with about $40 million in available borrowing capacity under its revolving credit facility [22] - The company announced a regular quarterly dividend, reflecting ongoing confidence in its outlook [22] Q&A Session Summary Question: Can you comment on the cadence of shipments from February through April? - Management noted that the cadence changed drastically due to tariffs, particularly affecting the HMI customer [30] Question: Can you quantify the impact of discounting on gross margins at Hooker Branded? - Management did not have specific quantification available [31] Question: What is driving the higher orders at the Hooker legacy brands in May? - The increase is attributed to a broadened merchandising strategy with Collected Living, which is starting to show positive effects [33] Question: Any comments on HMI's performance in May and early June? - There is still significant uncertainty due to tariffs, which is affecting performance [34] Question: How did Memorial Day sales go for retail partners? - Overall sentiment was relatively positive for most retailers during Memorial Day [36] Question: What is the cadence for cost savings initiatives for the rest of the year? - Management expects a positive impact from Phase one and anticipates significant savings from Phase two in Q4 [42] Question: What are the capital allocation priorities after dividends and debt? - Strengthening the balance sheet is the top priority, with dividends being a high priority as well [43] Question: Will the strong momentum from May carry over into the rest of the year? - Management believes the first half will be stronger than the second half, but is cautious about predicting sustained momentum [44]

EXHIBIT 99.1 Operating Results Improvements Continue at Hooker Furnishings in Q1 Driven by Stable Legacy Sales and Ongoing Cost Savings Initiatives MARTINSVILLE, Va., June 12, 2025 (GLOBE NEWSWIRE) -- Hooker Furnishings Corporation (NASDAQ- GS: HOFT) (the "Company" or "HFC"), a global leader in the design, production, and marketing of home furnishings for 101 years, today reported its operating results for its fiscal 2026 first quarter ended May 4, 2025. Key Results for the Fiscal 2026 First Quarter: Manage ...

Driven by Stable Legacy Sales and Ongoing Cost Savings InitiativesMARTINSVILLE, Va., June 12, 2025 (GLOBE NEWSWIRE) -- Hooker Furnishings Corporation (NASDAQ-GS: HOFT) (the “Company” or “HFC”), a global leader in the design, production, and marketing of home furnishings for 101 years, today reported its operating results for its fiscal 2026 first quarter ended May 4, 2025. Key Results for the Fiscal 2026 First Quarter: The Company lowered its operating loss by $1.6 million, or 31%, from the prior year first ...

Back in March of this year, I made the difficult decision to downgrade Hooker Furnishings Corporation (NASDAQ: HOFT ) from a Hold to a Sell. I never enjoy downgrading companies. In an ideal world, every firmCrude Value Insights offers you an investing service and community focused on oil and natural gas. We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential.Subscribers get to use a 50+ stock model account, in-depth cash flow analyses of E&P firms ...

The market expects Hooker Furniture (HOFT) to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended April 2025. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report. On the other hand, if they mi ...

MARTINSVILLE, Va., May 29, 2025 (GLOBE NEWSWIRE) -- Hooker Furnishings Corporation (Nasdaq-GS: HOFT) will present its fiscal 2026 first quarter financial results via teleconference and live internet web cast on Thursday morning, June 12, 2025 at 9:00 AM Eastern Time. A live webcast of the call will be available on the Investor Relations page of the Company’s website at https://investors.hookerfurnishings.com/events and archived for replay. To access the call by phone, participants should go to this link (re ...

Customer Concentration - The company’s top five customers accounted for approximately 24% of consolidated sales in fiscal 2025, with no single customer exceeding 7%[27] - Less than 2% of the company’s sales in fiscal 2025 were to international customers, defined as sales outside of the United States and Canada[27] Supply Chain and Sourcing - The company’s five largest domestic upholstery suppliers accounted for 31% of raw materials purchases for domestic upholstered furniture manufacturing operations in fiscal 2025[26] - The company has observed price increases in imported raw materials, including fabrics, steel, and hides, following the implementation of initial reciprocal tariffs in April 2025[26] - The company’s reliance on offshore sourcing exposes it to risks related to fluctuations in the prices of purchased finished goods and customs issues[13] - Payment for imported products is generally due 10 to 14 days after quality audit inspections are complete[32] Inventory and Backlog - As of February 2, 2025, the consolidated order backlog was $71.824 million, a 27% decrease from the prior year-end, primarily due to a $15 million reduction in the Home Meridian backlog and a $3.4 million reduction in the Hooker Branded backlog[37] - The Home Meridian segment's backlog is considered a helpful indicator of sales for the upcoming 90-day period, while the Hooker Branded and Domestic Upholstery segments' backlogs are viewed as indicators for the upcoming 30-day period[35] - The Domestic Upholstery backlog did not include Sunset West, which was acquired at the beginning of fiscal 2023 and had approximately $1.6 million in backlog at fiscal 2020 year-end[38] - The company recorded a significant backlog increase during the COVID-19 crisis, reaching historical levels at the end of fiscal 2021 and 2022 due to supply chain challenges[36] Workforce and Employee Well-being - The company had 1,034 full-time employees as of February 2, 2025, with 895 located in the United States and 139 in Asia[42] - The company is committed to providing competitive compensation and comprehensive health benefits to ensure the well-being of its employees[45] Sustainability Initiatives - The company has implemented several sustainability initiatives, including purchasing renewable energy for multiple facilities and achieving 100% renewable energy operation for Sunset West and HF Custom[44] - The company has established partnerships with organizations like the Arbor Day Foundation and the Sustainable Furnishings Council to promote environmental responsibility and sustainability[44] Compliance and Ethics - The company maintains a Code of Business Conduct and Ethics, requiring all employees to comply with anti-corruption and anti-bribery training annually[46] - The company is subject to various federal, state, and local laws and regulations, but compliance has not materially affected its financial position in the past[48] Operational Changes - The company reduced the physical footprint of its Georgia warehouse by 400,000 square feet during fiscal 2024 and announced a planned exit from this warehouse in March 2025[29] - The company’s exit from the Accentrics Home business unit was driven by the need to reduce inventory for e-commerce shipping requirements[29] - The company does not use derivative financial instruments to manage exchange rate risks but may consider doing so in the future[25] - The company’s domestic upholstery segment products are made to order and carry significant amounts of raw materials for production[30]

Hooker Furnishings Corporation (HOFT) Q4 2025 Earnings Conference Call April 17, 2025 09:00 AM ET Company Participants Operator - Conference Call ModeratorJeremy Hoff - Chief Executive OfficerEarl Armstrong - Senior Vice President & Chief Financial OfficerUnknown Speaker - Unidentified/Unassigned Conference Call Participants Dave Storms - Analyst, StonegateAnthony Lebedinsky - Analyst, Sudodi & Co Operator Good day and welcome to the Hooker Furnishings Corporation fourth quarter 2025 earnings webcast call. ...

Financial Data and Key Metrics Changes - Consolidated net sales for Q4 2025 increased by $7.7 million, approximately 8% gain over the previous year's Q4, driven by an additional week in the current period [5] - For fiscal 2025, consolidated net sales were $397.5 million, a decrease of $35.8 million or 0.3% compared to the previous fiscal year [7] - Consolidated operating loss was $18.1 million for the year, primarily due to lower sales volumes and $10.8 million in charges [8] Business Line Data and Key Metrics Changes - Hooker branded sales increased by 2% and Home Meridian sales increased by 13% based on average net sales per shipping day [6] - Hooker branded Q4 net sales rose by $3.8 million or 10% from the prior quarter, driven by a 14% increase in unit volume [17] - Home Meridian Q4 net sales increased by $6.3 million or 0.7% year over year, driven by strong hospitality sales [19] - Domestic upholstery Q4 net sales decreased by $2 million or about 7% year over year due to soft demand [20] Market Data and Key Metrics Changes - All three reportable segments experienced sales decreases driven by weak demand and a depressed housing market [8] - Year-end backlog fell 22%, driven mostly by a significantly improved in-stock position [18] - Cash and cash equivalents stood at $6.3 million, a decrease of $36.9 million from the previous year-end [22] Company Strategy and Development Direction - The company is focused on gaining market share and creating a pathway for profitability despite the ongoing furniture retail downturn [12] - Cost reduction initiatives are being accelerated, including the planned exit of the Savannah warehouse, expected to save $4 to $5.7 million annually beginning in fiscal 2027 [15][10] - The company is also opening a new leased facility in Vietnam to improve product flow and support margin expansion [15] Management's Comments on Operating Environment and Future Outlook - Management noted significant macroeconomic headwinds, including the weakest housing market in 50 years and lower consumer confidence [14] - Despite challenges, the company believes it is positioned to continue gaining market share through merchandising efforts and speed to market initiatives [28] - Management is evaluating strategies to mitigate the current economic environment, including potential additional tariffs [26] Other Important Information - The company expects to record net charges of between $3 million to $4 million in fiscal 2026 related to the Savannah warehouse exit [10] - The completion of cost reduction plans is expected by the second half of fiscal 2026, with total savings projected between $18 and $20 million [11] Q&A Session Summary Question: Insights on Hooker Branded's sales improvements - Management noted that the October market had a significant positive impact, particularly on Hooker case goods, with two new collections performing well [32] Question: Opportunities in domestic upholstery due to tariffs - Management sees a tremendous opportunity in domestic upholstery and has capacity to grow in this area [35] Question: Future gross margins for Home Meridian - Management indicated that there is a strong focus on growing Pulaski and Samuel Lawrence furniture, which is contributing to margin expansion [39] Question: Backlog comparison to pre-pandemic levels - Management did not provide specific figures but emphasized a focus on the right products and avoiding low-margin items [40] Question: Strategic inventory build and nimbleness - Management had already strategically increased inventory, which positioned the company well for current market conditions [46] Question: Market share growth sustainability - Management believes they can improve market share growth beyond the current 3 to 15 basis points pace [49]