Anthony Lebiedzinski

Dave Storms

David Joseph Storms

David Storms

- Hooker Furnishings reported **Q2 2026 consolidated net sales of $82.1 million**, a **13.6% decrease** year-over-year, leading to a **net loss of $3.3 million**, or **$0.31 per share**.  **[1077688_2138407_0]** 
- The **Home Meridian segment's net sales declined 44.5%** in Q2 2026 due to tariff-related buying hesitancy, macroeconomic pressures, and the loss of a major customer.  **[1077688_2138407_0]** **[1077688_2138407_3]** 
- The company is executing a multi-phase cost reduction plan targeting approximately **$25 million (25%) in fixed cost reductions**, with **$3.7 million** achieved in the first half of fiscal 2026, aiming for full realization by fiscal 2027.  **[1077688_2138407_3]** 
- Hooker branded achieved **breakeven operating results** in Q2 2026 with a **1.3% sales increase**, and domestic upholstery significantly **reduced its operating loss by 68%**.  **[1077688_2138407_0]** **[1077688_2138407_4]** 
- A **20% tariff rate** on imports from Vietnam became effective August 1, 2025, with each segment adopting different mitigation approaches.  **[1077688_2138407_2]**

Hooker Furnishings Reports Q2 2026 Results Amidst Restructuring and Tariff Impacts

- Hooker Furnishings reported **consolidated net sales of $82.1 million** for Q2 2026, a **13.6%** decrease year-over-year, resulting in a **net loss of $3.3 million**, or **$0.31 per share**, primarily driven by a **44.5%** sales decline at Home Meridian.  **[1077688_2138474_0]** 
- The company is implementing a multi-phase cost reduction plan to eliminate approximately **$25 million** (or **25%**) of fixed costs, with annual savings expected to be largely in place by the end of fiscal 2026 Q3, beginning in fiscal 2027.  **[1077688_2138474_1]** **[1077688_2138474_3]**  Restructuring costs of **$2 million** were incurred in Q2 2026.  **[1077688_2138474_0]** 
- Home Meridian's sales were significantly impacted by tariff-related buying hesitancy and macroeconomic pressures, compounded by a new **20%** tariff on Vietnam imports effective August 1, 2025.  **[1077688_2138474_0]** **[1077688_2138474_2]**  Despite these headwinds, the company is focused on scaling its cost structure, launching the Margaritaville license collection in October, and noted a **24%** year-over-year increase in July orders for Hooker branded and domestic upholstery.  **[1077688_2138474_1]** **[1077688_2138474_5]**

- Hooker Furnishings reported a **consolidated net loss of $3.3 million**, or **$0.31 per share**, on **$82.1 million** in net sales for Q2 2026, representing a **13.6%** decrease from the prior year.  **[1077688_2138441_0]** 
- The decline in consolidated net sales was primarily driven by the **Home Meridian segment**, which experienced a **44.5%** decrease in net sales due to tariff-related buying hesitancy, macroeconomic pressures, and the loss of a major customer.  **[1077688_2138441_0]** 
- Despite overall challenges, the **Hooker branded segment reached breakeven** and **domestic upholstery significantly reduced its operating loss** in Q2 2026, reflecting progress in cost reduction initiatives.  **[1077688_2138441_0]** **[1077688_2138441_1]** 
- The company is implementing a multi-phase plan to reduce fixed costs by approximately **$25 million** (or **25%**) from fiscal 2025 levels, with the new expense structure expected to be largely in place by the end of fiscal 2026 Q3.  **[1077688_2138441_1]** **[1077688_2138441_3]** 
- Hooker Furnishings is also adapting to a new **20% tariff rate on imports from Vietnam**, effective **August 1, 2025**, and is preparing for the launch of its **Margaritaville license collection** at the October High Point Market.  **[1077688_2138441_2]** **[1077688_2138441_5]**

Hooker Furnishings Reports Q2 2026 Net Loss Amidst Sales Decline and Restructuring Efforts

- Hooker Furnishings reported **Q2 fiscal 2026 net sales of $82.1 million**, a **13.6% year-over-year decrease**, resulting in a **net loss of $3.3 million** and **diluted EPS of ($0.31)**.  **[1077688_0001171843-25-005820_exh_991.htm:0]** **[1077688_0001171843-25-005820_exh_991.htm:8]** 
- The company is executing a multi-phase cost reduction strategy targeting **$25 million in annualized savings by fiscal year 2027**, having achieved **$3.7 million** in expense reductions in the first half of fiscal 2026.  **[1077688_0001171843-25-005820_exh_991.htm:0]** **[1077688_0001171843-25-005820_exh_991.htm:1]** 
- The **Home Meridian segment's net sales declined 44.5% year-over-year** in Q2, significantly impacting consolidated results, amidst weak industry demand and a new **20% tariff on imports from Vietnam**.  **[1077688_0001171843-25-005820_exh_991.htm:0]** **[1077688_0001171843-25-005820_exh_991.htm:2]** **[1077688_0001171843-25-005820_exh_991.htm:3]** 
- Hooker Furnishings repaid **$16.5 million of debt year-to-date** while maintaining **$57.7 million in borrowing capacity**.  **[1077688_0001171843-25-005820_exh_991.htm:0]** **[1077688_0001171843-25-005820_exh_991.htm:3]**

Hooker Furnishings Reports Q2 Fiscal 2026 Results, Focuses on Profitability and Cost Reduction

- Hooker Furnishings reported a **net loss of $3.3 million** for its fiscal 2026 second quarter ended August 3, 2025, on **net sales of $82.1 million**, representing a **13.6% decrease** year-over-year.  **[1077688_58cebc0d8a024e88a7aa751c5e367b51_0]** **[1077688_58cebc0d8a024e88a7aa751c5e367b51_16]** 
- The company is executing a multi-phase cost reduction strategy targeting **$25 million in annualized savings by fiscal year 2027**, having achieved **$3.7 million in expense reductions in the first half of fiscal 2026**.  **[1077688_58cebc0d8a024e88a7aa751c5e367b51_0]** **[1077688_58cebc0d8a024e88a7aa751c5e367b51_1]** 
- The Home Meridian (HMI) segment's net sales declined **44.5%** year-over-year in Q2 FY26, significantly impacting consolidated results, while the Hooker Branded segment achieved **breakeven operating results** with sales up **1.3%**.  **[1077688_58cebc0d8a024e88a7aa751c5e367b51_0]** **[1077688_58cebc0d8a024e88a7aa751c5e367b51_5]** 
- Hooker Furnishings repaid **$16.5 million of debt year-to-date** and anticipates its new expense structure, which reduces fixed costs by approximately 25%, to be largely in place by the end of the third quarter.  **[1077688_58cebc0d8a024e88a7aa751c5e367b51_0]** **[1077688_58cebc0d8a024e88a7aa751c5e367b51_3]** **[1077688_58cebc0d8a024e88a7aa751c5e367b51_7]**

HOOKER FURNISHINGS (HOFT)