Sales Performance - Fourth quarter 2023 consolidated sales decreased 24.9% to $210.7 million, with comparable store sales down 25.5%[4] - Net income for the twelve months ended December 31, 2023, was $56,319,000, a decrease of 37% compared to $89,358,000 in 2022[13] - EBITDA for FY 2023 was $85,806,000, down 36.4% from $134,809,000 in FY 2022[15] Profitability - Gross profit margin increased to 62.4% in Q4 2023 from 57.0% in Q4 2022, reflecting a 540 basis point improvement[10] - Pre-tax income for Q4 2023 was $18.5 million, down from $32.5 million in Q4 2022, representing a decline of 43.8%[4] - The company expects gross profit margins for 2024 to be between 59.5% and 60.0%[10] Cash Flow and Investments - Operating cash flow for FY 2023 was $97.2 million, significantly higher than $51.0 million in FY 2022[6] - Net cash provided by operating activities increased to $97,203,000 in 2023 from $51,015,000 in 2022, representing an increase of 90.5%[13] - Capital expenditures for FY 2023 were $53,115,000, significantly higher than $28,411,000 in FY 2022, indicating a focus on investment[13] - Planned capital expenditures for 2024 are approximately $32.0 million, with an expected retail square footage increase of 2.8%[10] Shareholder Returns - The company returned $42.1 million to shareholders in 2023, including $6.9 million in share repurchases and $35.2 million in dividends[3] - Dividends paid in FY 2023 totaled $35,240,000, compared to $33,948,000 in FY 2022, reflecting a commitment to returning value to shareholders[13] Expenses and Taxation - Fixed and discretionary SG&A expenses for 2024 are anticipated to be in the range of $295.0 to $297.0 million[10] - The effective tax rate for 2024 is expected to be 26.5%, excluding potential tax credits and new tax legislation[10] Inventory Management - Changes in inventories showed an increase of $24,378,000 in 2023, contrasting with a decrease of $6,303,000 in 2022, indicating a shift in inventory management[13] Future Outlook - The company plans to continue its growth strategies, including potential expansions and capital expenditures for 2024[22] - Forward-looking statements indicate expectations for future performance, subject to various risks and uncertainties, including economic conditions and consumer spending trends[23] - The company emphasizes the importance of comparable store sales as a key performance indicator for existing stores and online sales[16]
Haverty Furniture(HVT_A) - 2023 Q4 - Annual Results