US' Ethan Allen reports Q2 FY25 net sales of $157.3 mn, down 6% YoY

The gross profit of the company stood at $94.8 million, compared to $100.6 million in Q2 FY24, with the gross margin slightly improving to 60.3 per cent from 60.2 per cent in the same period of previous fiscal. GAAP operating income of the company declined to $18.2 million from $21.7 million, with an operating margin of 11.5 per cent, down from 13.0 per cent, with an adjusted operating margin of 11.5 per cent versus 12.8 per cent, Ethan Allen said in a press release.

GAAP net income for Q2 was $15.0 million, down from $17.4 million last fiscal, while adjusted net income stood at $15.0 million compared to $17.2 million. GAAP diluted earnings per share (EPS) was $0.59, down from $0.68 in Q2 FY24, while adjusted diluted EPS was $0.59, compared to $0.67 in the prior-fiscal period.

The retail segment orders increased by 15.8 per cent and wholesale segment orders rose by 14.3 per cent. The company’s consolidated gross margin was 60.3 per cent, slightly up from 60.2 per cent last fiscal.

The company operated 172 retail design centres in North America, including 141 company-operated locations and 31 independently owned centres.

Six-months (6M) financial

For the six-month period ended December 31, 2024, Ethan Allen reported net sales of $311.6 million, down from $331.2 million in the same period last fiscal. The gross profit of the company decreased to $188.7 million from $200.8 million in the six months of FY24, maintaining a stable gross margin of 60.6 per cent.

GAAP operating income fell to $35.7 million from $40.0 million, while adjusted operating income declined to $36.0 million from $41.3 million. Meanwhile, GAAP operating margin was 11.5 per cent, down from 12.1 per cent, while the adjusted operating margin stood at 11.5 per cent, compared to 12.5 per cent in the same period last fiscal.

GAAP net income for the six-month period was $29.7 million, down from $32.4 million, while adjusted net income declined to $29.9 million from $33.3 million. GAAP diluted EPS for the six-month period was $1.16, down from $1.26, while adjusted diluted EPS stood at $1.17, compared to $1.30 in the prior fiscal, added the release.

ALCHEMPro News Desk (SG)