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Ethan Allen Reports Fiscal 2025 Second Quarter Results

Furniture World News Desk on 1/29/2025


Ethan Allen Interiors Inc. (NYSE: ETD) today announced its financial results for the fiscal 2025 second quarter, which ended on December 31, 2024.

Farooq Kathwari, Ethan Allen’s Chairman, President, and CEO, stated, “We are pleased with our performance that saw incremental consumer interest return back to the home amidst a challenging political and economic environment. We are positioned well as a vertically integrated enterprise with 172 retail design centers in North America and more internationally. Our ability to manufacture approximately 75% of our furniture in our own North American facilities is a major advantage. We continue to strengthen various areas of our enterprise, including our talent, product offerings, marketing, retail network, manufacturing, logistics, technology, and social responsibility.”

Fiscal 2025 Second Quarter Financial Highlights (Compared to Fiscal 2024 Q2)

  • Consolidated net sales: $157.3 million (vs. $167.3 million)
  • Retail net sales: $134.3 million (vs. $139.2 million)
  • Wholesale net sales: $86.8 million (vs. $90.6 million)
  • Gross margin: 60.3% (vs. 60.2%)
  • Operating income: $18.2 million
  • Operating margin: 11.5% (vs. 12.8%)
  • Diluted EPS: $0.59 (vs. $0.68)
  • Cash flow from operations: $11.6 million (vs. $13.6 million)
  • Total cash and investments: $184.2 million, up $16.4 million from a year ago
  • Dividends paid: $10.0 million ($0.39 per share, an 8.3% increase year-over-year)
  • No outstanding debt

Business and Operational Highlights

  • Written orders: Retail segment increased 15.8%, and wholesale segment rose 14.3%.
  • Inventory levels: $142.0 million as of December 31, 2024, reflecting stable supply chain management.
  • Retail network: Operated 172 design centers in North America, including 141 company-operated locations and 31 independently owned stores.
  • Employee headcount: 3,318 total employees, a 6.9% decrease from the prior year.
  • North Carolina distribution center: Resumed operations following flooding from Hurricane Helene in September 2024.
  • International Convention: Hosted in December 2024, focusing on manufacturing, logistics, technology, marketing, and retail strategies under the theme "Focused on the Future."

Recognitions and Industry Engagement

  • Sustainable Furnishings Council & National Wildlife Federation: Recognized Ethan Allen for sustainable wood sourcing, awarding the company the "Most Improved" designation for 2024.
  • Silao, Mexico Upholstery Operations: Received Great Place to Work® certification for the seventh consecutive year and was recognized as "Empresa Socialmente Responsable" (Environmentally and Socially Responsible).

Dividend Announcement

On January 28, 2025, the Board of Directors declared a regular quarterly cash dividend of $0.39 per share, payable on February 26, 2025, to shareholders of record as of February 11, 2025. 

 


 

About Ethan Allen
Ethan Allen (NYSE:ETD), named America’s #1 Premium Furniture Retailer by Newsweek, is a leading interior design destination combining state-of-the-art technology with personal service. Ethan Allen design centers, which represent a mix of Company-operated and independent licensee locations, offer complimentary interior design service and sell a full range of home furnishings, including custom furniture and artisan-crafted accents for every room in the home. Vertically integrated from product design through logistics, the Company manufactures about 75% of its custom-crafted furniture in its own North American manufacturing facilities and has been recognized for product quality and craftsmanship since 1932. For more information, visit www.ethanallen.com