"We are executing a restructuring strategy ... designed to grow our business and to get the most out of our revenue and our working capital to drive profitability."
— Rob Spilman, Jr.
03Detailed Report
BSET
Bassett Furniture Industries Incorporated
Period
Q2 2024
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 13, 2026
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Executive Summary
Bassett Furniture Industries (BSET) reported a challenging second quarter for fiscal 2024 with a significant decline in revenue. The company saw total revenues decrease by 17% year-over-year to $83.4 million, primarily due to macroeconomic pressures affecting consumer spending. Notably, both wholesale and retail segments faced declines, with retail operations significantly impacted by elevated fixed costs and changing consumer preferences. Bassett's management has initiated a strategic restructuring plan aimed at optimizing their operational footprint and inventory management to enhance long-term profitability.
Despite the decline in revenues, consolidated gross margins improved to 55.7%, reflecting proactive pricing strategies and inventory valuation adjustments. Management expressed confidence in their restructuring actions designed to enable future growth and stabilization within the home furnishings market.
Key Performance Indicators
Revenue
Decreasing
83.41M
QoQ: -3.63% | YoY: -17.02%
Gross Profit
Decreasing
43.76M
52.46% margin
QoQ: -8.58% | YoY: -17.17%
Operating Income
Decreasing
-2.95M
QoQ: -25.03% | YoY: -749.12%
Net Income
Decreasing
-7.20M
QoQ: -503.60% | YoY: -446.87%
EPS
Decreasing
-0.82
QoQ: -485.71% | YoY: -441.67%
Revenue Trend
Margin Analysis
Financial Highlights
1. Revenue Performance: Q2 2024 revenue was $83.41 million, down 17% from Q2 2023 ($100.5 million).
2. Profitability: Operating loss reached $8.5 million compared to an operating income of $2.5 million in the same quarter last year. Net loss for Q2 2024 totaled $7.2 million, translating to an EPS of -$0.82.
3. Margins: Gross margin stood at 55.7%, supported by improved pricing strategies despite extraordinary charges related to inventory reserves.
4. Cash Flow: $5.8 million in operating cash flow was generated, supporting capital expenditures and dividend payments.
5. Balance Sheet Strength: Ending Q2 with $60.5 million in cash and short-term investments, maintaining a current ratio of 2.02, demonstrating solid short-term liquidity.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
83.41M
-17.02%
-3.63%
Gross Profit
43.76M
-17.17%
-8.58%
Operating Income
-2.95M
-749.12%
-25.03%
Net Income
-7.20M
-446.87%
-503.60%
EPS
-0.82
-441.67%
-485.71%
Key Financial Ratios
Gross Profit Margin
Good
52.50%
Gross profit margin is healthy and competitive within industry standards
Operating Profit Margin
Weak
-0.04%
Operating margin is below industry norms, profitability concerns
Net Profit Margin
Weak
-0.09%
Net profit margin is below industry norms, profitability concerns
Return on Assets
Weak
-0.02%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
-0.04%
Return on equity suggests inefficient capital allocation
Current Ratio
Healthy
2.02
Current ratio shows adequate liquidity to meet short-term obligations