Jul 29, 2015 5:15 PM
Financial Highlights
Second Quarter 2015 Compared to Second Quarter 2014
Six Months ended
Expectations and Other
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In Thousands, except per share data – Unaudited)
Three Months Ended | Six Months Ended | |||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
Net sales | $ | 187,732 | $ | 175,132 | $ | 379,063 | $ | 356,869 | ||||||
Cost of goods sold | 87,550 | 80,988 | 176,234 | 164,863 | ||||||||||
Gross profit | 100,182 | 94,144 | 202,829 | 192,006 | ||||||||||
Credit service charges | 69 | 71 | 142 | 151 | ||||||||||
Gross profit and other revenue | 100,251 | 94,215 | 202,971 | 192,157 | ||||||||||
Expenses: | ||||||||||||||
Selling, general and administrative | 92,744 | 86,266 | 185,048 | 173,940 | ||||||||||
Provision for doubtful accounts | 61 | 85 | 84 | 133 | ||||||||||
Other income, net | (921 | ) | (166 | ) | (947 | ) | (174 | ) | ||||||
Total expenses | 91,884 | 86,185 | 184,185 | 173,899 | ||||||||||
Income before interest and income taxes | 8,367 | 8,030 | 18,786 | 18,258 | ||||||||||
Interest expense, net | 528 | 218 | 1,019 | 490 | ||||||||||
Income before income taxes | 7,839 | 7,812 | 17,767 | 17,768 | ||||||||||
Income tax expense | 3,006 | 2,983 | 6,815 | 6,810 | ||||||||||
Net income | $ | 4,833 | $ | 4,829 | $ | 10,952 | $ | 10,958 | ||||||
Other comprehensive income | ||||||||||||||
Adjustments related to retirement plans; net of tax expense of and | $ | 66 | $ | 80 | $ | 116 | $ | 162 | ||||||
Comprehensive income | $ | 4,899 | $ | 4,909 | $ | 11,068 | $ | 11,120 | ||||||
Basic earnings per share: | ||||||||||||||
Common Stock | $ | 0.21 | $ | 0.21 | $ | 0.49 | $ | 0.49 | ||||||
Class A Common Stock | $ | 0.20 | $ | 0.20 | $ | 0.46 | $ | 0.46 | ||||||
Diluted earnings per share: | ||||||||||||||
Common Stock | $ | 0.21 | $ | 0.21 | $ | 0.48 | $ | 0.48 | ||||||
Class A Common Stock | $ | 0.20 | $ | 0.20 | $ | 0.46 | $ | 0.46 | ||||||
Cash dividends per share: | ||||||||||||||
Common Stock | $ | 0.080 | $ | 0.080 | $ | 0.160 | $ | 0.160 | ||||||
Class A Common Stock | $ | 0.075 | $ | 0.075 | $ | 0.150 | $ | 0.150 | ||||||
CONDENSED CONSOLIDATED BALANCE SHEETS
(In Thousands - Unaudited)
2015 | 2014 | 2014 | ||||||||||
(Unaudited) | (Unaudited) | |||||||||||
ASSETS | ||||||||||||
Current assets | ||||||||||||
Cash and cash equivalents | $ | 66,701 | $ | 65,481 | $ | 87,843 | ||||||
Investments | 6,500 | 7,250 | - | |||||||||
Restricted cash and cash equivalents | 8,002 | 8,017 | 8,017 | |||||||||
Accounts receivable | 6,107 | 7,146 | 6,730 | |||||||||
Inventories | 112,345 | 107,139 | 94,799 | |||||||||
Prepaid expenses | 9,434 | 6,418 | 7,983 | |||||||||
Other current assets | 6,761 | 8,010 | 2,299 | |||||||||
Total current assets | 215,850 | 209,461 | 207,671 | |||||||||
Accounts receivable, long-term | 678 | 731 | 709 | |||||||||
Property and equipment | 231,486 | 225,162 | 203,643 | |||||||||
Deferred income taxes | 17,897 | 17,610 | 13,153 | |||||||||
Other assets | 7,082 | 8,023 | 15,116 | |||||||||
Total assets | $ | 472,993 | $ | 460,987 | $ | 440,292 | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||
Current liabilities | ||||||||||||
Accounts payable | $ | 23,769 | $ | 24,152 | $ | 19,385 | ||||||
Customer deposits | 30,038 | 23,687 | 27,277 | |||||||||
Accrued liabilities | 34,504 | 39,960 | 30,746 | |||||||||
Deferred income taxes | 5,689 | 5,689 | - | |||||||||
Current portion of lease obligations | 2,928 | 2,387 | 1,537 | |||||||||
Total current liabilities | 96,928 | 95,875 | 78,945 | |||||||||
Lease obligations, less current portion | 50,712 | 46,678 | 29,353 | |||||||||
Other liabilities | 26,129 | 26,351 | 26,072 | |||||||||
Total liabilities | 173,769 | 168,904 | 134,370 | |||||||||
Stockholders’ equity | 299,224 | 292,083 | 305,922 | |||||||||
Total liabilities and stockholders’ equity | $ | 472,993 | $ | 460,987 | $ | 440,292 | ||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands – Unaudited)
Six Months Ended | ||||||||||
2015 | 2014 | |||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||||
Net income | $ | 10,952 | $ | 10,958 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||
Depreciation and amortization | 12,503 | 10,960 | ||||||||
Share-based compensation expense | 2,160 | 1,767 | ||||||||
Provision for doubtful accounts | 84 | 133 | ||||||||
Other | 621 | 553 | ||||||||
Changes in operating assets and liabilities: | ||||||||||
Accounts receivable | 1,008 | 1,432 | ||||||||
Inventories | (5,206 | ) | (3,316 | ) | ||||||
Customer deposits | 6,351 | 8,269 | ||||||||
Other assets and liabilities | (3,022 | ) | 328 | |||||||
Accounts payable and accrued liabilities | (7,350 | ) | (8,017 | ) | ||||||
Net cash provided by operating activities | 18,101 | 23,067 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||||
Capital expenditures | (14,521 | ) | (11,699 | ) | ||||||
Maturities of certificates of deposit | 2,250 | - | ||||||||
Restricted cash and cash equivalents | 15 | (1,001 | ) | |||||||
Other | 18 | 406 | ||||||||
Net cash used in investing activities | (12,238 | ) | (12,294 | ) | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||||
Construction allowance receipts | 3,286 | - | ||||||||
Payments on lease obligations | (1,226 | ) | (462 | ) | ||||||
Taxes on vested restricted shares | (1,152 | ) | (2,060 | ) | ||||||
Dividends paid | (3,609 | ) | (3,593 | ) | ||||||
Common stock purchased | (1,942 | ) | - | |||||||
Net cash used in financing activities | (4,643 | ) | (6,115 | ) | ||||||
Increase in cash and cash equivalents during the period | 1,220 | 4,658 | ||||||||
Cash and cash equivalents at beginning of period | 65,481 | 83,185 | ||||||||
Cash and cash equivalents at end of period | $ | 66,701 | $ | 87,843 | ||||||
About Havertys
Havertys (NYSE:HVT) and (NYSE:HVT.A), established in 1885, is a full-service home furnishings retailer with 122 showrooms in 16 states in the Southern and Midwestern regions providing its customers with a wide selection of quality merchandise in middle to upper-middle price ranges. Additional information is available on the company’s website, havertys.com.
News releases include forward-looking statements, which are subject to risks and uncertainties. Factors that might cause actual results to differ materially from future results expressed or implied by such forward-looking statements include, but are not limited to, general economic conditions, the consumer spending environment for large ticket items, competition in the retail furniture industry and other uncertainties detailed from time to time in the company’s reports filed with the
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Contact:Source:Haverty Furniture Companies, Inc. , 404-443-2900Dennis L. Fink EVP & CFOJenny Hill Parker SVP, Finance, Secretary and Treasurer