Haverty Furniture(HVT) - 2024 Q3 - Quarterly Report

Sales Performance - Total sales for Q3 2024 decreased by $44.4 million, or 20.2%, compared to Q3 2023, with comp-store sales down 20.5% or$ 44.9 million [45]. - For the nine months ended September 30, 2024, total sales decreased by $112.8 million, or 17.3%, with comp-store sales down 17.7% or$ 114.0 million compared to the same period in 2023 [46]. Profitability - Gross profit margin for Q3 2024 was 60.2%, a decrease of 60 basis points from 60.8% in Q3 2023 [49]. - The company expects annual gross profit margins for 2024 to be between 60.0% and 60.5% [51]. Expenses - SG&A costs as a percentage of sales for Q3 2024 were 57.4%, up from 51.1% in Q3 2023, largely due to decreased sales [52]. - The company anticipates variable SG&A expenses for the full year of 2024 to be between 19.6% and 19.9% [58]. Cash and Capital Expenditures - Cash and cash equivalents at September 30, 2024, totaled $121.2 million, with an additional$ 6.2 million in restricted cash equivalents [59]. - Total capital expenditures for the full year of 2024 are estimated to be $33.0 million, depending on the timing of spending for capital projects [66]. Store Expansion - The company plans to open five net new locations, ending 2024 with a total of 129 stores, increasing net selling space by approximately 3.4% over 2023 [66]. Cash Flow - Operating cash flow for the first nine months of 2024 was$ 42.0 million, down from $79.4 million during the same period in 2023 [64]. Market Risk - The company's exposure to market risk has not changed materially since December 31, 2023 [68].