Bassett Reports Fiscal Fourth Quarter Results

Rhea-AI Summary

Bassett Furniture Industries (NASDAQ: BSET) reported fiscal Q4 2025 results: consolidated net sales rose 5.1% to $88.7 million and gross margin was 56.3%. Operating income was $2.3 million (2.6% of sales); diluted EPS was $0.18 versus $0.38 a year earlier. The company generated $7.8 million of operating cash flow in the quarter and noted wholesale and retail sales growth driven by Bassett Casegoods and upholstery programs.

The company cited cost containment, prior restructuring benefits, and a new Bassett Hospitality division as part of its 2026 strategy.

Positive

• Consolidated revenue +5.1% in Q4 ($88.7M)
• Wholesale sales +8.3% in Q4 ($56.7M)
• Generated $7.8M operating cash flow in Q4
• Bassett Casegoods sales up over 50% for the quarter

Negative

• Diluted EPS declined to $0.18 from $0.38 year-ago
• Gross margin down 30 basis points to 56.3%
• Inventories increased to $61.8M from $55.0M (+12.4%)

Key Figures

Q4 revenue growth: 5.1% Q4 operating income: $2.3 million Q4 gross margin: 56.3% +5 more

8 metrics

Q4 revenue growth 5.1% Q4 FY25 consolidated revenues vs prior-year quarter

Q4 operating income $2.3 million Quarter ended November 29, 2025

Q4 gross margin 56.3% Quarter ended November 29, 2025; 30 bps below prior year

Q4 SG&A ratio 53.2% of sales Quarter ended November 29, 2025; 60 bps lower year over year

Q4 diluted EPS $0.18 Quarter ended November 29, 2025 vs $0.38 prior year reported

Prior-year EPS ex tax benefit $0.08 Q4 FY24 EPS excluding $2.6M tax benefit

Operating cash flow $7.8 million Cash from operations generated in Q4 FY25

Q4 net sales $88,667 In thousands; quarter ended November 29, 2025

Market Reality Check

Price: $15.95 Vol: Volume 29,665 is 2.23x th...

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Volume Volume 29,665 is 2.23x the 20-day average of 13,284, indicating elevated pre-release activity. high

Technical Shares at $15.42 trade below the 200-day MA of $16.32 and sit 21.92% under the 52-week high of $19.75.

Peers on Argus

BSET fell 2.41% while peers were mixed: HOFT gained 7.78%, HBB rose 1.54%, but K...

BSET fell 2.41% while peers were mixed: HOFT gained 7.78%, HBB rose 1.54%, but KEQU, VIRC, and NVFY declined between 0.22% and 5.71%, pointing to stock-specific dynamics rather than a uniform sector move.

Historical Context

5 past events · Latest: Jan 26 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 26	Conference call notice	Neutral	-0.1%	Scheduled Feb 5, 2026 call to discuss Q4 2025 earnings.
Jan 15	Dividend declaration	Positive	+0.2%	Regular <b>$0.20</b> quarterly dividend payable Feb 27, 2026.
Oct 16	Dividend declaration	Positive	-1.6%	Regular <b>$0.20</b> dividend payable Nov 28, 2025.
Oct 08	Q3 2025 earnings	Positive	+5.7%	Q3 revenue growth, margin expansion and return to profitability.
Sep 30	Conference call notice	Neutral	-0.8%	Announced Oct 9, 2025 call for Q3 2025 results.

Pattern Detected

Earnings releases with margin improvement and a return to profitability have previously seen positive reactions, while routine dividend and conference-call announcements have produced minimal moves.

Recent Company History

Over the last several months, Bassett has combined incremental shareholder returns with improving operations. Q3 FY25 results showed higher sales, stronger gross margins, and a return to profitability, which was followed by a notable single-day gain. Regular $0.20 dividends in October 2025 and January 2026 produced only modest price changes. Conference-call notices in September 2025 and January 2026 also had limited impact, underscoring that investors have tended to respond most to concrete earnings improvements.

Market Pulse Summary

This announcement details Q4 FY25 performance with consolidated revenue up 5.1%, improved operating ...

Analysis

This announcement details Q4 FY25 performance with consolidated revenue up 5.1%, improved operating income of $2.3 million, and operating cash flow of $7.8 million. Reported EPS fell to $0.18 versus $0.38 a year ago, largely due to a prior-year tax benefit. Compared with earlier quarters that showed margin recovery and a return to profitability, investors may focus on whether cost controls, new initiatives, and housing demand can sustain this operational momentum.

Key Terms

asset impairment charges, restructuring charges, operating lease obligations

3 terms

asset impairment charges financial

"Asset impairment charges | | 498 | | 0.6 | %"

Asset impairment charges happen when a company realizes that the value of something it owns, like equipment or property, has dropped significantly and is now worth less than its current book value. This is important because it shows the company needs to write down the asset's value on its financial records, which can affect its profits and overall financial health.

restructuring charges financial

"Restructuring charges | | - | | 0.0 | % | | 440 |"

Restructuring charges are costs that a company pays when it changes how it operates, like closing factories or laying off employees. These expenses are often one-time and happen to help the company become more efficient in the long run. They matter because they can affect the company's profits and how investors see its future prospects.

operating lease obligations financial

"Current portion of operating lease obligations | | 19,299"

Operating lease obligations are the future, contractual payments a company must make for using assets it does not own—such as office space, equipment, or vehicles—under lease agreements. They matter to investors because these recurring commitments act like long-term subscriptions that reduce available cash, affect a company’s financial flexibility and risk profile, and (under current accounting rules) can influence reported liabilities and leverage metrics used to compare companies.

AI-generated analysis. Not financial advice.

BASSETT, Va., Feb. 04, 2026 (GLOBE NEWSWIRE) -- Bassett Furniture Industries, Inc. (Nasdaq: BSET) reported today its results of operations for its fourth quarter ended November 29, 2025.

Q4 Consolidated Business Highlights: [FY 25 vs. FY 24, unless otherwise specified]

• Revenues increased 5.1% from the prior year quarter. Excluding sales from Noa Home Inc., which closed in late 2024, consolidated revenues increased 6.4%.
• Operating income was $2.3 million or 2.6% of sales as compared to operating income of $0.9 million or 1.1% of sales for the prior year quarter. Excluding the asset impairment charge of $0.5 million in the current year quarter, operating income would have been $2.8 million or 3.2% of sales. Excluding the loss on the realization of cumulative translation adjustments associated with Noa Home Inc. of $1.0 million and the restructuring charge of $0.4 million in the prior year quarter, operating income would have been $2.3 million or 2.8% of prior year sales.
• Gross margin of 56.3% represented a 30-basis point decrease over the prior year primarily due to lower margins in the retail business, partially offset by improved margins in the wholesale business.
• Selling, general and administrative expenses were 53.2% of sales, 60 basis points lower than the prior year, reflecting benefits from the prior year restructuring plan and on-going cost containment activities coupled with greater leverage of fixed costs from higher sales levels.
• Diluted earnings per share was $0.18 as compared to $0.38 per share in the prior year period. The prior year period included a $2.6 million tax benefit related to the capital loss associated with our cumulative investment in Noa Home Inc. in 2022. Excluding this tax benefit, the prior year earnings per share would have been $0.08.
• Generated $7.8 million in operating cash flow.

Fiscal 2025 Fourth Quarter Overview
(Dollars in millions)

	Sales											Operating Income (Loss)
	4th Quarter					Dollar			%			4th Quarter			% of			4th Quarter			% of
	2025		2024			Change			Change				2025		Sales				2024		Sales
Consolidated(1)	$	88.7	$	84.3		$	4.4		5.1	%		$	2.3		2.6	%		$	0.9		1.1	%
Wholesale	$	56.7	$	52.3		$	4.4		8.3	%		$	9.8		17.3	%		$	8.5		16.3	%
Retail	$	57.3	$	53.1		$	4.2		7.9	%		$	0.3		0.5	%		$	0.1		0.2	%
Corporate & Other(2)	$	-	$	1.0		$	(1.0	)	-100.0	%		$	(7.5	)	N/A			$	(7.0	)	N/A

(1) Our consolidated results for the quarter include certain intercompany eliminations. See Table 4, "Segment Information" below for an illustration of the effects of these items on our consolidated sales and operating income.

(2) Corporate and Other includes the operations of Noa Home Inc. (fiscal 2024 only) along with the shared Corporate costs that are benefiting both the Wholesale and Retail segments.

“Bassett finished the year with a solid fourth quarter, increasing consolidated revenue and operating profit,” said Rob Spilman, Bassett Chairman and CEO. “Likewise, we ended the full year with improved results, and we remain committed to that trajectory for this year. We’re still in the restructuring mindset – taking costs out, driving operating efficiencies, integrating technology, emphasizing new product innovation and adapting to a changing marketplace. Our well-defined strategic plan for 2026 is designed to grow and take market share in an environment where housing activity is projected to remain slow and discretionary demand has moderated.”

“Two years ago, we committed to driving innovation in Bassett Casegoods as our wood business needed to be reinvented,” said Spilman. “We are pleased with our progress, with sales up over 50% for the quarter. Our upholstery business continued to be solid, with our True Custom and Magnificent Motion programs posting nice gains.”

“We recently formed the Bassett Hospitality Division, hiring a leader with extensive experience selling to country clubs, senior living facilities, boutique hotels, and related commercial areas,” continued Spilman. “This is a natural extension of our brand where we can offer quick custom solutions from our domestic manufacturing facilities. We are excited about this new venture but recognize it will take some time for it to be the contributor to our wholesale sales that we expect.

“Our leaner organization and business model position us well to weather the current marketplace and ongoing challenges with housing,” Spilman concluded. “We’re investing smartly and evolving to meet the needs of both the trade and consumers.”

Conference Call and Webcast
The Company will hold a conference call to discuss its quarterly results on February 5, 2026, at 9:00 am ET. The public is invited to listen to the conference call by webcast, accessible through the Company’s investor relations website, https://investors.bassettfurniture.com/. Participants can also listen to the conference call via https://edge.media-server.com/mmc/p/jru7fi2w. A replay and transcript of the conference call will be available on demand on the investor relations site.

About Bassett Furniture Industries, Inc.
Bassett Furniture Industries, Inc. (NASDAQ: BSET) is a leading provider of high-quality home furnishings with a wide range of distribution types. Bassett sales approximately 60% of its products through its network of 86 company- and licensee-owned stores which feature the latest on-trend furniture styles, the Company’s capabilities in custom furniture design and manufacturing, free in-home design visits, and coordinated decorating accessories in a professional and friendly environment. Bassett also has a significant traditional wholesale business with more than 1,000 open market accounts. Most of the open market sales are through Bassett Design Centers and Bassett Custom Studios which function as a store within a multi-line store featuring the Company’s custom furniture capabilities. The wholesale business, including the Lane Venture outdoor brand, also services general furniture stores and a growing number of interior design firms. Bassett products are also directly available to consumers at www.bassettfurniture.com. (BSET-E)

Forward-Looking Statements
Certain of the statements in this release, particularly those preceded by, followed by or including the words “believes,” “plans,” “expects,” “anticipates,” “intends,” “should,” “estimates,” or similar expressions, or those relating to or anticipating financial results or changes in operations for periods beyond the end of the fourth fiscal quarter of 2025, constitute “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended. For those statements, Bassett claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. In many cases, Bassett cannot predict what factors would cause actual results to differ materially from those indicated in the forward-looking statements. Expectations included in the forward-looking statements are based on preliminary information, as well as certain assumptions which management believes to be reasonable at this time. The following important factors affect Bassett and could cause actual results to differ materially from those indicated in the forward looking statements: the effects of national and global economic or other conditions and future events on the retail demand for home furnishings and the ability of Bassett’s customers and consumers to obtain credit; the success of marketing, logistics, retail and other initiatives; and the economic, competitive, governmental and other factors identified in Bassett’s filings with the Securities and Exchange Commission. Any forward-looking statement that Bassett makes speaks only as of the date of such statement, and Bassett undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Comparisons of results for current and any prior periods are not intended to express any future trends or indication of future performance, unless expressed as such, and should only be viewed as historical data.

Table 1
BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations - unaudited
(In thousands, except for per share data)
	Quarter Ended												Year Ended*
	November 29, 2025						November 30, 2024						November 29, 2025						November 30, 2024
				Percent of						Percent of						Percent of						Percent of
	Amount			Net Sales			Amount			Net Sales			Amount			Net Sales			Amount			Net Sales
Net sales	$	88,667		100.0	%		$	84,340		100.0	%		$	335,280		100.0	%		$	329,923		100.0	%
Cost of goods sold		38,718		43.7	%			36,645		43.4	%			146,598		43.7	%			150,508		45.6	%
Gross profit		49,949		56.3	%			47,695		56.6	%			188,682		56.3	%			179,415		54.4	%
Selling, general and administrative expenses		47,167		53.2	%			45,386		53.8	%			180,357		53.8	%			187,527		56.8	%
Asset impairment charges		498		0.6	%			-		0.0	%			498		0.1	%			5,515		1.7	%
Loss on contract abandonment		-		0.0	%			-		0.0	%			-		0.0	%			1,240		0.4	%
Loss upon realization of cumulative translation adjustment		-		0.0	%			962		1.1	%			-		0.0	%			962		0.3	%
Restructuring charges		-		0.0	%			440		0.5	%			-		0.0	%			440		0.1	%
Income (loss) from operations		2,284		2.6	%			907		1.1	%			7,827		2.3	%			(16,269	)	-4.9	%
Interest income		427		0.5	%			598		0.7	%			1,979		0.6	%			2,673		0.8	%
Other income (loss), net		(195	)	-0.2	%			(285	)	-0.3	%			(1,046	)	-0.3	%			(774	)	-0.2	%
Income (loss) before income taxes		2,516		2.8	%			1,220		1.4	%			8,760		2.6	%			(14,370	)	-4.4	%
Income tax expense (benefit)		987		1.1	%			(1,984	)	-2.4	%			2,660		0.8	%			(4,675	)	-1.4	%
Net income (loss)		1,529		1.7	%			3,204		3.8	%			6,100		1.8	%			(9,695	)	-2.9	%
Basic and diluted earnings (loss) per share	$	0.18					$	0.38					$	0.70					$	(1.11	)

*52 weeks in fiscal 2025 versus 53 weeks in fiscal 2024.

Table 2
BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(In thousands)
		(Unaudited)
Assets		November 29, 2025			November 30, 2024
Current assets
Cash and cash equivalents		$	41,277		$	39,551
Short-term investments			17,963			20,360
Accounts receivable, net			14,410			13,181
Inventories, net			61,790			54,965
Recoverable income taxes			2,878			4,240
Other current assets			7,224			9,242
Total current assets			145,542			141,539
Property and equipment, net			73,175			77,047
Other long-term assets
Deferred income taxes, net			5,979			6,867
Goodwill			7,217			7,217
Intangible assets			6,910			6,968
Right of use assets under operating leases			76,727			93,624
Other			8,269			7,908
Total long-term assets			105,102			122,584
Total assets		$	323,819		$	341,170
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable		$	14,739		$	13,303
Accrued compensation and benefits			10,227			6,898
Customer deposits			24,969			25,742
Current portion of operating lease obligations			19,299			18,050
Other accrued expenses			7,750			9,410
Total current liabilities			76,984			73,403
Long-term liabilities
Post employment benefit obligations			11,379			10,882
Long-term portion of operating lease obligations			69,353			88,395
Other long-term liabilities			996			1,163
Total long-term liabilities			81,728			100,440
Stockholders’ equity
Common stock			43,256			43,681
Retained earnings			121,128			122,847
Additional paid-in-capital			-			6
Accumulated other comprehensive income			723			793
Total stockholders' equity			165,107			167,327
Total liabilities and stockholders’ equity		$	323,819		$	341,170

Table 3
BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows - unaudited
(In thousands)
		Year Ended*
		November 29, 2025				November 30, 2024
Operating activities:
Net income (loss)		$	6,100			$	(9,695	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization			8,801				9,918
Asset impairment charges			498				5,515
Inventory valuation charges			2,389				5,001
Deferred income taxes			912				(2,442	)
Other, net			1,308				2,284
Changes in operating assets and liabilities:
Accounts receivable			(1,229	)			555
Inventories			(9,214	)			3,016
Other current and long-term assets			3,380				(2,427	)
Right of use assets under operating leases			17,114				17,254
Customer deposits			(773	)			2,954
Accounts payable and other liabilities			2,713				(7,246	)
Obligations under operating leases			(18,508	)			(20,637	)
Net cash provided by (used in) operating activities			13,491				4,050
Investing activities:
Purchases of property and equipment			(4,530	)			(5,211	)
Investment in certificates of deposit			(316	)			(2,585	)
Proceeds from maturities and sales of investments			2,713				-
Other			(597	)			(972	)
Net cash used in investing activities			(2,730	)			(8,768	)
Financing activities:
Cash dividends			(6,939	)			(6,654	)
Issuance of common stock			335				371
Repurchases of common stock			(2,150	)			(1,420	)
Taxes paid related to net share settlement of equity awards			(136	)			(161	)
Repayments of finance lease obligations			(145	)			(253	)
Net cash used in financing activities			(9,035	)			(8,117	)
Effect of exchange rate changes on cash and cash equivalents			-				(21	)
Change in cash and cash equivalents			1,726				(12,856	)
Cash and cash equivalents - beginning of period			39,551				52,407
Cash and cash equivalents - end of period		$	41,277			$	39,551

*52 weeks in fiscal 2025 versus 53 weeks in fiscal 2024.

Table 4
BASSETT FURNITURE INDUSTRIES, INC. AND SUBSIDIARIES
Segment Information - unaudited
(In thousands)
		Quarter Ended								Year Ended*
		November 29, 2025				November 30, 2024				November 29, 2025				November 30, 2024
Sales Revenue
Wholesale sales		$	56,670			$	52,324			$	214,614			$	207,462
Less: Sales to retail segment			(25,267	)			(22,054	)			(96,015	)			(87,021	)
Wholesale sales to external customers			31,403				30,270				118,599				120,441
Retail sales			57,264				53,085				216,681				204,563
Corporate & Other - Noa Home(1)			-				985				-				4,919
Consolidated net sales		$	88,667			$	84,340			$	335,280			$	329,923
Income (Loss) before Income Taxes
Income (Loss) from Operations
Wholesale		$	9,838			$	8,471			$	34,861			$	25,357
Retail			306				70				407				(6,604	)
Net expenses - Corporate and other(1)			(7,494	)			(6,956	)			(27,652	)			(28,456	)
Inter-company elimination			132				724				709				1,591
Asset impairment charges			(498	)			-				(498	)			(5,515	)
Loss on contract abandonment			-				-				-				(1,240	)
Loss upon realization of cumulative translation adjustment			-				(962	)			-				(962	)
Restructuring charges			-				(440	)			-				(440	)
Consolidated income (loss) from operations			2,284				907				7,827				(16,269	)
Interest income			427				598				1,979				2,673
Other loss, net			(195	)			(285	)			(1,046	)			(774	)
Consolidated income (loss) before income taxes		$	2,516			$	1,220			$	8,760			$	(14,370	)

*52 weeks in fiscal 2025 versus 53 weeks in fiscal 2024.

⁽¹⁾ Corporate and Other includes the operations of Noa Home Inc. (fiscal 2024 only) along with the shared Corporate costs that are benefiting both the Wholesale and Retail segments.

Contacts: 
J. Michael Daniel
Senior Vice President and 
Chief Financial Officer
(276) 629-6000 – Investors 
mdaniel@bassettfurniture.com

Peter D. Morrison
Vice President of Communications
(276) 629-6450 – Media 

FAQ

What were Bassett Furniture (BSET) Q4 2025 net sales and growth rate?

Bassett reported Q4 2025 consolidated net sales of $88.7 million, up 5.1% year-over-year. According to the company, consolidated sales excluding Noa Home increased 6.4%, with wholesale and retail segments both contributing to growth.

How did Bassett (BSET) perform on profitability in fiscal Q4 2025?

Operating income was $2.3 million, or 2.6% of sales, in Q4 2025. According to the company, operating income excluding a $0.5M asset impairment would have been $2.8M, and SG&A leverage lowered expense ratios versus prior year.

What was Bassett (BSET) diluted earnings per share for Q4 2025 and why did it change?

Diluted EPS was $0.18 in Q4 2025 compared with $0.38 a year earlier. According to the company, the prior-year quarter included a $2.6M tax benefit related to a capital loss, which materially boosted the prior EPS.

How much operating cash flow did Bassett (BSET) generate in Q4 2025?

Bassett generated $7.8 million of operating cash flow in the fourth quarter of fiscal 2025. According to the company, cash generation reflected improved operating results and working capital movements during the quarter.

What segment trends did Bassett (BSET) highlight in the Q4 2025 results?

Wholesale sales grew 8.3% while retail sales rose 7.9% in Q4 2025. According to the company, Bassett Casegoods and upholstery programs drove wholesale gains and new hospitality efforts target commercial channels.