Havertys Q2 Net More Than Doubles

HavertysATLANTA-With strong gains in sales and average ticket, Havertys' net income rose by 104.6 percent to $4.8 million.

Net sales for the quarter, which ended on June 30, were up 12.9 percent to $171.1 million, including a gain in same-store sales of 11.2 percent. Havertys said its total written business grew 16.6 percent and average ticket increased 7.7 percent. The latter pickup helped the retailer to a gross margin rise of 73 basis points to 53.4 percent.

Clarence Smith, Havertys' chairman, president and CEO, attributed the strong sales numbers to its merchandising and marketing strategies, which helped bolster both average sales ticket and store traffic. Macroeconomic factors also pitched in to help. "Housing sales in our regions, a key driver of business, are growing," Smith said.

Operating expenses, while increasing 9.8 percent in dollars, were down 138 basis points as a percentage of sales to 48.8 percent. "Our initiatives to improve the productivity of our stores and the efficiency of our operations continue delivering positive results," Smith said.

Havertys also reported that, to date, third-quarter sales have risen 9.8 percent over the same period of last year. Smith said, "We believe our financial strength and positioning of the Havertys brand will allow us to outpace our competition as housing and employment improves."

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.

Videos

  • Patti Carpenter Talks Color and its Importance in the Home

    Camera Icon   More Videos

Subscribe to
HFN Omnichannel
Receive the news you need to know about the trends in the industry delivered right to your inbox.

Current Issue

  • HFN cover for September 2017

    HFN's DIGITAL EDITION

    September 2017


    COVER STORY:

    2017 State of the Industry Report
    Cautious Optimism, Mixed Results

    Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.


    ALSO IN THIS ISSUE:

    •  TJX Unveils First U.S. Homesense Store - In a time when retailers are reducing store counts, TJX continues to get physical.
    •   Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
    •  N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.