Bassett Reports Fiscal Fourth Quarter Results

Core Insights - Bassett Furniture Industries, Inc. reported a consolidated sales decline of 11% in Q4 2024 compared to Q4 2023, with total sales of $84.3 million [1][5] - The company returned to profitability in Q4 2024, achieving diluted earnings per share of $0.38, compared to a loss of $0.47 in the same quarter of the previous year [3][5] - Gross margin improved to 56.6%, driven primarily by better margins in the wholesale segment [5][6] Financial Performance - Consolidated sales for Q4 2024 were $84.3 million, down from $94.7 million in Q4 2023, reflecting a decrease of $10.4 million or 11% [1][16] - Operating income for Q4 2024 was $0.9 million, which included a $1.0 million charge for cumulative translation losses and a $0.4 million restructuring charge [1][5] - The wholesale segment saw sales of $52.3 million, down 13.7% from $60.6 million in Q4 2023, while retail sales were $53.1 million, down 8.3% from $57.9 million [1][16] Strategic Initiatives - The company undertook a restructuring plan aimed at right-sizing the business, which contributed to the return to profitability [3] - Bassett is focusing on operating efficiency, cost structure optimization, and innovation in product lines and marketing strategies to enhance customer value [3][5] - The company is positioning itself for future growth, anticipating a turnaround in the housing industry [3] Segment Information - Wholesale sales to external customers were $30.3 million in Q4 2024, down from $35.0 million in Q4 2023 [16] - Retail sales for the same period were $53.1 million, compared to $57.9 million in the previous year [16] - Corporate and Other segment, which includes Noa Home Inc., reported sales of $1.0 million, down from $1.8 million [1][16] Cash Flow and Balance Sheet - The company generated $6.4 million in operating cash flow during the quarter [5] - Total assets decreased to $341.2 million as of November 30, 2024, down from $370.4 million a year earlier [11][13] - Cash and cash equivalents at the end of the period were $39.6 million, compared to $52.4 million at the end of the previous year [11][14]