Ethan Allen Provides Business Updates
Ethan Allen Interiors Inc. (“Ethan Allen” or the “Company”) provided several updates on its business and announced its earnings release date for the fiscal 2021 fourth quarter and full fiscal year.
Farooq Kathwari, Ethan Allen’s Chairman, President and CEO commented, “In a difficult year marked by the COVID-19 pandemic, macroeconomic uncertainty and supply chain disruption, we delivered strong results. Demonstrating the strength of our brand in the marketplace combined with heightened demand for our product offerings and design services, we grew our retail segment written orders by 105.0%, leading to a record high order backlog at quarter-end.”
Preliminary Financial Results
The Company expects to report the following financial results for its fourth quarter ended June 30, 2021:
(comparisons are to the prior fiscal year fourth quarter)
– Consolidated net sales of $178.3 million increased 94.7%
– Retail segment written orders increased 105.0%
– Wholesale net sales of $106.4 million increased 106.2%; Retail net sales of $150.7 million rose 113.0%
– Wholesale segment orders increased 82.3%; Excluding GSA and other government orders, wholesale segment orders increased 87.0%
– Adjusted diluted EPS in the range of $0.72 to $0.74
– Strong cash flow generation; Cash on hand of $104.6 million and no debt outstanding
– Paid a special cash dividend and regular quarterly dividend totaling $31.7 million during the quarter
Mr. Kathwari continued, “The start of our fiscal 2021 year was during the unprecedented crisis due to COVID-19 and our foremost focus was and has continued to be operating safely for our associates and clients. During fiscal 2021, we progressed strongly and in the fourth quarter of fiscal 2021, we delivered consolidated adjusted diluted EPS in the range of $0.72 to $0.74. This compared to the prior year adjusted EPS of ($0.15) due to pandemic-related closures. For the full fiscal 2021 year, consolidated net sales were $685.2 million, up 16.2%, and we ended the year with a strong balance sheet, including $104.6 million in cash and no debt. Additionally, we strengthened our business by growing operating margin through disciplined cost and expense controls. Retail written orders, which increased 105.0% over the prior year and 40.2% to the fiscal 2019 fourth quarter, reflect the strength of our offerings and interior design professionals increasingly combining technology with their personal service and continued consumer interest in the home.”
“As we head into the fiscal 2022 year, we are pleased with the resilience of our North American manufacturing, which has been steadily increasing production to service our high order backlogs. While we continue to work through raw material shortages and managing the increased cost of shipping, we believe we have a great opportunity to continue our growth in sales and profitability due to our strong retail network, the personal service of our interior design professionals increasingly combined with technology, our unique vertical integration whereby 75% of products are made in our North American manufacturing workshops, and our strong logistics network of national distribution centers and retail home delivery centers delivering product with white glove service to our clients’ homes,” concluded Mr. Kathwari.
The Company also announced today that it will release its financial and operating results for the fiscal 2021 fourth quarter ended June 30, 2021, after the market closes on Monday, August 9, 2021.
Following the release, the Company will host an analyst conference call at 5:00 PM (Eastern Time) to discuss its results. The analyst conference call will be webcast live from the Company’s Investor Relations website at https://ir.ethanallen.com.
To access the conference call, dial 877-705-2976 (or 201-689-8798 for international participants), and enter Meeting Number 13721721. For those unable to listen live, an archived recording of the call will be made available on the Company’s website for at least 60 days.
About Ethan Allen
Ethan Allen Interiors Inc. (NYSE: ETH) is a leading interior design company, manufacturer and retailer in the home furnishings marketplace. The Company provides complimentary interior design service to its clients and sells a full range of furniture products and decorative home accents through a retail network of approximately 300 design centers in the United States and abroad as well as online at ethanallen.com. Ethan Allen owns and operates nine manufacturing facilities, including six manufacturing plants in the United States, two manufacturing plants in Mexico and one manufacturing plant in Honduras. Approximately 75% of its products are manufactured or assembled in these North American facilities. For more information on Ethan Allen’s products and services, visit www.ethanallen.com.
Matt McNulty – Vice President Finance – firstname.lastname@example.org
Source: Ethan Allen Interiors, Inc.