Havertys Net Jumps 42.8 percent in Q4
Posted on February 25, 2014 by
ATLANTA-With its turnaround in full throttle, Havertys ended its fiscal year with increases of 42.8 percent and 116.4 percent in its fourth-quarter and fiscal-year net income, respectively.
Net income in the quarter totaled $9.7 million, bringing the bottom line for the year to $32.3 million. Clarence Smith, Havertys' chairman, president and CEO, called the results "a continuation of the turnaround that we truly began in 2011. Many aspects of our business have been fine-tuned to enhance our customer's perception of Havertys and her purchasing experience."
Net sales in the quarter, which ended on Dec. 31, rose 7.6 percent to $196.2 million, bringing the total for the year to $746.1 million, up 11.3 percent. Same-store sales in the quarter rose 9.5 percent and for the year same-store sales were up 11 percent.
Boosted by improvements in average ticket, gross margin in the quarter increased 123 basis points to 54 percent. Selling, general and administrative expenses rose 5.1 percent in dollars but were down 112 basis points as a percentage of sales, to 46.1 percent.
Looking into 2014, Havertys said both total written business and comparable written business has made gains thus far. "We plan to continue to highlight our fashionable quality merchandise in 2014 and use promotional pricing judiciously," the company said.