Ethan Allen(US:ETD) Globenewswire·2026-01-28 21:05Core Insights - Ethan Allen Interiors Inc. reported its fiscal 2026 second quarter results, highlighting strong margins and a robust balance sheet despite challenges such as the U.S. government shutdown [2][3] Financial Performance - Consolidated net sales for the second quarter were $149.9 million, down from $157.3 million in the prior year, reflecting a 4.7% decrease [3][4] - Gross margin improved to 60.9%, compared to 60.3% in the prior year [3][4] - Adjusted operating income was $13.5 million, with an adjusted operating margin of 9.0%, down from 11.5% in the prior year [3][4] - Diluted EPS was reported at $0.46, with adjusted diluted EPS at $0.44, both lower than the previous year's $0.59 [3][4] Operational Highlights - Retail net sales remained stable at $134.3 million, while wholesale net sales decreased to $79.1 million from $86.8 million [3][4] - Written orders in the retail segment decreased by 17.9%, and wholesale segment written orders fell by 19.3% [3][4] - The company ended the quarter with total cash and investments of $179.3 million and no outstanding debt [3][5] Strategic Initiatives - The company is focusing on strengthening its vertically integrated enterprise, including talent, product offerings, marketing, technology, and logistics [2] - Recent product introductions are resonating with clients, and the company operates 172 retail design centers across North America [2][3] Dividends and Shareholder Returns - The company paid total cash dividends of $10.0 million or $0.39 per share in November 2025 and declared another $0.39 per share dividend payable on February 25, 2026 [3][10] Sustainability and Recognition - Ethan Allen received a "High Score" on the 2025 Wood Furniture Scorecard for its commitment to sustainable wood use [9] - The upholstery operation in Silao, Mexico, was certified as a Great Place to Work® for the eighth consecutive year [9]