Haverty Furniture Companies (HVT) Investor Presentation summary

Company overview and strategy

• Specialty retailer with a 140-year legacy, serving the Southern and Midwestern U.S. through 129 stores and a fully integrated online/in-store experience.

• Focus on personalized design, quality furnishings, and outstanding customer experience, with values centered on customer focus, integrity, quality, and teamwork.

• Target customers are style-conscious, value-driven suburban homeowners with household incomes over $150k and strong credit scores.

• Store base is optimized for size and location, supported by three regional distribution centers and four home delivery centers.

• Merchandise spans a range of price points and styles, appealing to a broad customer base.

Financial performance and capital allocation

• YTD net sales for the first nine months of 2025 increased by $18.5 million (3.4%) over 2024, with gross profit margins up 50 basis points.

• Upholstery is the leading sales category at 44.3% of net sales, with custom orders and case goods also significant.

• Strong cash position (~$137 million in Q3 2025) and no funded debt provide flexibility for investments and shareholder returns.

• Capital allocation includes $24 million in planned 2025 capital expenditures, a 3.1% dividend increase to $0.33/share, and $2.0 million in share repurchases through 3Q25.

• Paid $15.5 million in dividends and repurchased 94,000 shares through 3Q25.

Operational highlights and outlook

• All deliveries are handled by in-house teams, with in-stock merchandise delivered within 2-5 days.

• Free in-home design service drives engagement and growth, with designer sales as a significant portion of written sales.

• Tariff mitigation strategies include vendor negotiations, targeted price increases, and reducing China tariff exposure to under 5%.

• 2025 guidance expects gross profit margins between 60.4% and 60.7%, with fixed/discretionary SG&A at $296–$298 million and variable SG&A at 18.6–18.8%.

• Opened two stores, relocated one, and closed two in 2025; four new locations announced for 2026, including expansion in Houston, St. Louis, and Nashville.