Here are a couple of brief analogies for Hooker Furnishings (HOFT):

• The Whirlpool (KitchenAid, Maytag) of residential furniture.
• A more diversified La-Z-Boy (LZB).

• Residential Casegoods and Upholstery: A broad range of furniture for various rooms in a home, including bedroom, dining, living room, home office, accent pieces, and upholstered seating.
• Outdoor Furniture: Durable and stylish furniture collections specifically designed for outdoor living spaces.
• Contract Furniture: Specialized furniture solutions tailored for commercial environments, primarily senior living and healthcare facilities.

Hooker Furnishings (symbol: HOFT) primarily sells its products to other companies (B2B).

According to its latest annual filings (10-K), Hooker Furnishings' largest customer accounted for approximately 11.2% of its consolidated net sales for the fiscal year ended January 28, 2024. While this customer is significant, Hooker Furnishings does not publicly disclose the name of this specific customer or other major customers in its regulatory filings.

Hooker Furnishings distributes its wide range of home furnishings, including casegoods, upholstered furniture, outdoor furniture, and hospitality furnishings, through a diverse network of business customers. These customer categories include:

• Independent furniture stores: Local and regional retail outlets specializing in furniture.
• National and regional furniture chains: Larger retail organizations with multiple store locations.
• Buying groups: Associations of independent retailers that pool their purchasing power to get better terms from manufacturers.
• Department stores: Large retail establishments that sell a wide variety of consumer goods, including home furnishings.
• Designers: Interior designers and decorators who specify furniture for their projects, often purchasing through trade programs or directly.
• E-commerce retailers: Online-only furniture retailers or general merchandise e-commerce platforms.

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Jeremy Hoff, Chief Executive Officer and Director

Jeremy Hoff became the Chief Executive Officer of Hooker Furnishings in February 2021, marking him as only the fourth CEO in the company's nearly 100-year history and the first non-family member to hold the position. He joined Hooker Furniture in 2017 as President of Hooker Upholstery. Prior to his time at Hooker Furnishings, he served as President of Theodore Alexander USA from 2015 to 2017 and as Senior Vice President with A.R.T. Furniture. Hoff's career in the furniture industry began with Louis Shanks in Austin, Texas. He also previously held roles within Hooker as President of Hooker Legacy Brands (2020-2021) and President of the Hooker Branded segment (2018-2020).

C. Earl Armstrong, Chief Financial Officer

C. Earl Armstrong is set to become the Chief Financial Officer of Hooker Furnishings, effective February 2, 2025, succeeding Paul A. Huckfeldt upon his retirement. Armstrong joined Hooker in 2009 as the Manager of Financial Reporting. His tenure at the company includes various senior financial roles such as Director of Accounting (2013-2016), Corporate Controller (2017-2019), and Corporate Controller and Secretary (2019-April 2024). Additionally, he served as the Chief Financial Officer of Hooker's Home Meridian segment starting in February 2021. Armstrong holds undergraduate and graduate degrees in Accounting from the University of North Carolina at Greensboro and is a Certified Public Accountant. He has over two decades of accounting experience, including with two other publicly traded home furnishings companies, and began his career at PricewaterhouseCoopers LLP.

Paul B. Toms Jr., Chairman of the Board

Paul B. Toms Jr., a grandson of the company's founder, served as the Chief Executive Officer of Hooker Furnishings for 20 years, from 2000 until his retirement in February 2021, and now serves as Chairman of the Board in a non-executive capacity. He joined Hooker in 1983 and progressively advanced through various leadership positions, including President and Chief Operating Officer, Executive Vice President of Marketing, Senior Vice President of Sales & Marketing, and Vice President of Sales. During his tenure as CEO, Toms led the company through a significant shift in its business model, moving towards importing residential case goods and upholstery, and manufacturing residential upholstery. He diversified the company through strategic acquisitions, notably the 2016 acquisition of Home Meridian International, which more than doubled the company's size.

Anne Smith, Chief Administrative Officer and President-Domestic Upholstery

Anne Smith holds the positions of Chief Administrative Officer and President-Domestic Upholstery at Hooker Furnishings. In this capacity, she is responsible for human resources. Smith has an extensive background in human resources.

Tod R. Phelps, Chief Information Officer and Senior Vice President-Operations

Tod R. Phelps is the Chief Information Officer and Senior Vice President of Operations at Hooker Furnishings. He was appointed Chief Information Officer in 2017 and subsequently took on the additional role of Senior Vice President of Operations. Before joining Hooker, Phelps served as the Chief Technology Officer for Heritage Home Group, LLC from 2014 to 2017.

The key risks to Hooker Furnishings' business (HOFT) are primarily driven by macroeconomic factors, supply chain vulnerabilities, and intense market competition.

1. Economic Downturns and Weak Consumer Demand: The demand for home furnishings is highly cyclical and extremely sensitive to broader economic conditions, consumer confidence, and the health of the housing market. Hooker Furnishings has experienced significant declines in sales and profitability due to factors such as fluctuating interest rates, elevated home prices, low existing home sales, and persistent inflation, all of which weigh heavily on consumer discretionary spending for home goods. This ongoing macroeconomic headwind has led to operating losses and decreased consolidated net sales for the company.
2. Reliance on Offshore Sourcing and Supply Chain Disruptions: Hooker Furnishings heavily relies on offshore sourcing, particularly from Vietnam, for a substantial portion of its products. This dependency exposes the company to several risks, including potential tariff increases, significant fluctuations in transportation costs (such as ocean freight and domestic trucking), customs issues, and broader supply chain disruptions. Geopolitical uncertainties and changes in the value of the U.S. Dollar can also adversely affect the cost of imported goods and the company's profitability.
3. Intense Industry Competition: The home furnishings market is characterized by intense competition from a multitude of domestic and international manufacturers, retailers, and importers. This competitive landscape exerts constant pressure on pricing, styles, availability, and service, which can lead to lower sales volumes, reduced profit margins, and a decrease in overall profitability for Hooker Furnishings.

The proliferation and increasing market share of direct-to-consumer (DTC) online furniture brands that bypass traditional wholesale and retail channels. These brands leverage digital marketing, optimized supply chains, and often unique product designs to appeal directly to consumers, reducing demand for traditional retailers and, by extension, for manufacturers like Hooker Furnishings.

Hooker Furnishings (HOFT) operates in the residential, hospitality, and contract furniture markets, offering a wide range of products including casegoods, upholstered furniture, outdoor furniture, and home décor.

The addressable markets for their main products and services are as follows:

• Residential Furniture Market:
  • The U.S. home furniture market is valued at approximately USD 125.81 billion in 2025 and is projected to reach USD 151.73 billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 3.82%.
  • The global residential furniture market stood at USD 706.66 billion in 2024 and is projected to reach USD 1145.12 billion by 2033, with a CAGR of 5.51% from 2025 to 2033.
  • The broader global home furnishings market, which includes furniture, was estimated at USD 1,018.2 billion in 2024 and is projected to reach USD 1,703.86 billion by 2030, growing at a CAGR of 9.2% from 2025 to 2030.
• Hospitality Furniture Market:
  • The U.S. hospitality furniture market was valued at approximately USD 18.67 billion in 2024 and is projected to reach USD 27.25 billion by 2030, exhibiting a CAGR of 6.6%.
  • The global hospitality furniture market was valued at USD 44.8 billion in 2024 and is projected to reach USD 58.3 billion by 2032, with a CAGR of 3.9% during the forecast period of 2026-2032.
• Office Furniture Market:
  • The U.S. office furniture market is estimated at USD 16.18 billion in 2025 and is forecast to reach USD 22.48 billion by 2030, with a CAGR of 6.80% for the period of 2024-2030.
  • The global office furniture market was valued at USD 65.62 billion in 2024 and is expected to reach USD 88.58 billion by 2033, exhibiting a CAGR of 3.36% from 2025-2033.

Hooker Furnishings (HOFT) anticipates several key drivers for future revenue growth over the next two to three years, stemming from strategic initiatives and an expected market recovery:

1. New Product Launches and Merchandising Platforms: Hooker Furnishings expects revenue growth from the introduction of new product lines and merchandising strategies. This includes the upcoming Margaritaville license collection, which is considered a major growth opportunity. Additionally, the company has seen positive reception for its "Collected Living" merchandising platform, featuring new case goods collections, and its "Living Your Way" modular upholstery program within the Hooker Branded Upholstery segment.
2. Enhanced Supply Chain Efficiency and Reduced Lead Times: A significant driver is the company's "Vietnam Warehouse Advantage" initiative. This strategic shift aims to improve supply chain efficiency, enable retail customers to combine various collections in single containers, and drastically reduce lead times from approximately six months to four to six weeks. This operational improvement is expected to offer strategic growth opportunities and enhance logistics, ultimately supporting increased sales.
3. Growth and Improved Performance in Core Segments: The company is focused on the sustained performance and growth of its Hooker Branded and Domestic Upholstery segments. The Hooker Branded segment has shown modest sales growth driven by higher selling prices, with incoming orders increasing by nearly 11% in the second quarter of fiscal 2026. The Domestic Upholstery segment also saw a 1.6% increase in incoming orders and significantly reduced operating losses, indicating a stronger foundation for future sales growth as market conditions improve.
4. Anticipated Market Recovery and Improved Consumer Confidence: Management has indicated that while the home furnishings industry faces headwinds, they are investing in expansion strategies to capitalize on an eventual return in demand. The company is optimistic about navigating near-term challenges and benefiting from opportunities as market conditions improve and consumer confidence strengthens, particularly if interest rates lower and housing activity accelerates. Such a recovery would provide a more favorable environment for all their growth initiatives to fully materialize into increased revenue.

Share Repurchases

• Hooker Furnishings funded $4.3 million in share repurchases during the first quarter of fiscal 2024 (ended April 30, 2023).

Share Issuance

• The company issues restricted stock awards to non-employee directors and certain non-executive employees.
• Restricted stock units (RSUs) are issued to certain senior executives, entitling them to receive common stock shares upon completion of a three-year service period.

Capital Expenditures

• In the first quarter of fiscal 2024 (ended April 30, 2023), capital expenditures were $4.5 million, which included investments in a new showroom and the continued development of its ERP system.
• During the first quarter of fiscal 2025 (ended April 30, 2024), the company used $800,000 in capital expenditures, which included further development of its cloud ERP system. For the six-month period of fiscal 2025, capital expenditures amounted to $1.4 million.
• Long-term capital expenditure plans include a new leased facility in Vietnam, expected to commence operations in May 2025, aimed at improving product flow and reducing safety stock requirements.