Core Viewpoint - HomesToLife Ltd reported a significant decline in financial performance for fiscal year 2024, with a net revenue decrease of 18% compared to the previous year, primarily due to industry-specific challenges and increased operating expenses [3][4][6]. Financial Performance Summary - For fiscal year 2024, HomesToLife had net revenue of 4,173,028,downfrom5,072,320 in fiscal 2023 [3]. - The gross profit margin for fiscal 2024 was 65.8%, a decline from 71.7% in fiscal 2023, attributed to a shift in sales mix and competitive pricing strategies [5]. - Total operating expenses increased by 1,109,948,or321,788,938 for fiscal 2024, compared to income from operations of 210,459infiscal2023[7].−HomesToLife′snetlossforfiscal2024was1,666,195, or (0.11)pershare,comparedtoanetincomeof237,499, or 0.02pershare,infiscal2023[8][18].CashFlowandLiabilities−Cashandcashequivalentsincreasedto3,442,259 as of December 31, 2024, from 1,366,231in2023[8].−Netcashusedinoperatingactivitieswas1,021,680 in fiscal 2024, contrasting with net cash provided by operating activities of 894,784infiscal2023[9].−Totallong−termliabilitiesroseto2,274,936 as of December 31, 2024, compared to 2,224,047in2023[9].StrategicInitiatives−Inresponsetofiscal2024losses,HomesToLifeinitiatedacomprehensiverestructuringplanonApril1,2025,whichincludesclosingunderperformingstoresandimplementingstrictexpensecontrols[10].FutureOutlook−Thecompanyexpectstotalrevenuefor2025tobebetween16 million and 18million,withitsnewsubsidiary,HTLFarEast,projectedtocontribute12-14 million in revenue [2].
