Haverty Furniture Companies (HVT) Q2 2026 earnings summary

Executive summary

• Q2 2026 net sales rose 7.7% to $194.9 million, with comparable sales up 8% and the fourth consecutive quarter of positive comp sales.

• Diluted EPS doubled year-over-year to $0.32, with net income reaching $5.3 million, up from $2.7 million.

• Gross profit margin expanded by 60 basis points to 61.4%, aided by $1.5 million in tariff refunds.

• All merchandise categories and regions posted positive growth, with double-digit increases in upholstery, bedroom, dining, and occasional.

• Strategic growth included two new store openings, with several more planned for the remainder of 2026.

Financial highlights

• Gross profit margin was 61.4% (60.7% excluding $1.5 million in IEEPA tariff refunds); adjusted margin was 60.9%.

• SG&A expenses rose to $113.2 million (58% of sales), but as a percentage of sales, fell from 59.3% year-over-year.

• Cash and cash equivalents stood at $104.3 million at June 30, 2026, with no funded debt and $100 million in credit availability.

• EBITDA for the first half of 2026 was $23.8 million, up from $18.7 million in 2025.

• Net cash provided by operating activities for the first six months of 2026 was $21.4 million.

Outlook and guidance

• Gross margin guidance for 2026 remains at 60.5%-61%, excluding future tariff refunds.

• Fixed and discretionary SG&A expenses for 2026 expected at $307-$309 million; variable SG&A at 18.7%-18.9%.

• Planned CapEx for 2026 is $34 million, with $27.7 million for new/replacement stores and remodels.

• Anticipated effective tax rate for 2026 is 26%.

• Management expects continued industry headwinds from housing market softness, tariffs, and economic uncertainty.