Bassett Furniture Industries Announces Q3 2024 Financial Results

Bassett Furniture Industries Reports Mixed Financial Results for Q3 2024

Bassett Furniture Industries, Inc. has released its unaudited financial results for the third quarter of 2024, showing mixed performance across various segments.

Key Financial Highlights:

• Total Current Liabilities: Bassett reported a decrease in total current liabilities from $77,890,000 in 2023 to $73,117,000 in 2024.
• Long-term Liabilities: Increased from $97,709,000 in 2023 to $109,093,000 in 2024, largely due to a rise in the long-term portion of operating lease obligations.
• Stockholders' Equity: Grew from $165,036,000 in 2023 to $183,441,000 in 2024, driven by increased retained earnings.

Cash Flow and Investment Activities:

• Operating Activities: The company experienced a net cash outflow of $2,323,000 compared to an inflow of $10,249,000 in the same period last year. This was influenced by net income losses and changes in working capital.
• Investing Activities: Bassett used $5,629,000 in investing activities, primarily in purchasing property and equipment.
• Financing Activities: The company faced a net cash outflow of $6,132,000, affected by cash dividends and stock repurchases.

Sales and Revenue:

• Wholesale Sales: Declined from $56,660,000 in 2023 to $47,828,000 in 2024.
• Retail Sales: Dropped from $52,264,000 to $47,256,000.
• Consolidated Net Sales: Fell from $295,434,000 in 2023 to $245,583,000 in 2024.

Profitability:

• Gross Profit: As reported, gross profit decreased from $45,044,000 to $40,093,000, with an adjusted gross profit margin of 53.8% in 2024, up from 52.7% in 2023.

Challenges and Outlook:

The company faced challenges such as asset impairment charges and losses from abandoned warehouse contracts, impacting overall profitability. Despite these hurdles, Bassett Furniture remains committed to strategic investments and cost management to enhance future performance.

Overall, Bassett Furniture Industries is navigating a complex economic environment, focusing on strengthening its financial position and exploring growth opportunities in the furniture market.