Hooker Furnishings, one of the largest publicly traded furniture companies in the US, has reported a decline in third quarter sales.
According to its latest trading update for the 13-weeks ended 2 November 2025, total sales fell to $70.7m from $82.6m in 2024.
Within its segments, Hooker Branded sales increased 1.1%, driven by higher average selling prices despite lower unit volume. Domestic Upholstery net sales rose 3%, in the period, with performance varied across divisions. Shenandoah and Sam Moore posted strong quarterly growth, while Sunset West remained flat and Bradington-Young declined slightly.
Net losses amounted to $21.1m, widening from its loss of $4.1m against the prior comparative period.
Jeremy Hoff, Chief Executive Officer, commented: “Over the past two years, we’ve executed bold, disciplined actions to reposition Hooker Furnishings as a focused, higher-margin, design-led company by exiting low-margin, tariff-sensitive categories and doubling down on our strongest brands.
“Amid one of the most persistent industry downturns, we’ve implemented a multi-phase cost-reduction program that achieved approximately $25–$26.5 million in annualized savings, putting us on a track toward profitability even as industry challenges continue.
“With our strengthened balance sheet and $63.8 million available borrowing capacity at quarter-end, we’re enhancing shareholder returns through a new share repurchase authorization and a recalibrated dividend that preserves near-term flexibility while driving long-term shareholder value. This decision also considers direct feedback from shareholders on the dividend and our broader capital allocation approach.
“We delivered modest sales and margin improvements this quarter in Hooker Branded and Domestic Upholstery and are encouraged by commitments to our new Margaritaville licensed collection at the recent Fall High Point Market. Margaritaville represents a significant organic growth opportunity, supported by the immersive 14,000-square-foot showroom experience we debuted at Market and the 55 committed retail galleries across the U.S., which reflect retailer and dealer commitments to build dedicated Margaritaville spaces in their stores.
The excitement for this launch and the initial purchase commitments we have received are beyond historic levels for any Hooker product line. We believe this will drive meaningful incremental revenue across the business, especially moving into the second half of next year when we are fully in market without cannibalizing existing placements.”
Looking ahead, Hoff added: “Incoming orders for branded segments have increased year-over-year for two consecutive quarters. While macroeconomic headwinds, including elevated housing prices, inflation, low consumer confidence and ongoing tariffs, remain largely unchanged, these challenges were most acute in our higher-volume, lower-margin discontinued businesses.
“With a more efficient cost structure and sharper portfolio, we believe we are better positioned to improve profitability even in a prolonged downturn. The advantage going forward is focus, and our team is now fully aligned around our core businesses, which we believe will allow us to drive organic growth and build sustainable profitability.”
