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HOOKER FURNITURE Hooker Furniture Corporation Exceeds Pre - Pandemic Growth Pace With Sales , Profitability Gains and Brisk Demand in First Quarter June 4 , 2021 MARTINSVILLE , Va . , June 04 , 2021 ( GLOBE NEWSWIRE ) Hooker Furniture Corporation ( NASDAQ - GS : HOFT ) today reported consolidated net sales of $ 162.9 million for its fiscal 2022 first quarter ended May 2 , 2021 , a $ 58.3 million , or 56 % , increase compared to the year - ago period . -- Net income for the first quarter was $ 9.4 million , or $ 0.78 per diluted share . Both the quarterly revenues and net income represent record - high sales and earnings for the company's fiscal first quarter . " We're pleased to have surpassed our goal to return to the growth trajectory we were on prior to the global pandemic and economic downturn , " said Jeremy Hoff , chief executive officer . " While we expected a sizable sales improvement over last year's first quarter when the pandemic - driven economic downturn began in mid - to late - March , our results this quarter also represent a strong improvement over the first quarter of fiscal 2020 , " Hoff said . " Compared to the first quarter two years ago , sales are up 20 % , profitability has improved significantly in all segments and incoming order rates are more than double our historical norms , " Hoff said . ' I'm especially proud of our team in delivering this strong rebound a year after the onset of the pandemic despite current industry - wide logistics challenges including higher ocean and freight transit costs , raw materials shortages and inflation , " Hoff said . The Hooker Branded Segment led the way with an 89 % sales increase compared to a year ago , while the Home Meridian and Domestic Upholstery segments both reported 46 % sales increases versus the prior year period . Hoff attributes the gains to industry - wide high consumer demand for home products and dramatic improvements and expansions of product lines throughout company divisions over the past 2-3 years . In addition , " Rationalizing our product line over the last year and focusing on our best sellers has helped us maximize our shipping and production capacity , " he said . The High Point Spring Market was officially pushed to June to accommodate travel restrictions in place earlier this year . In its place , the Hooker Branded , Home Meridian and Domestic Upholstery segments participated in a Pre - Market event in late April . Results from the Pre - Market were exceptionally strong in terms of traffic , buying activity , and reception to new product introductions . " We enjoyed record attendance at the High Point Premarket , with very positive customer response to a number of introductions including Hooker Casegoods Collections , the new brand launches of the Scott Brothers licensed collections , Commerce & Market , an accent furniture line with pricing , styling and materials to reach Millennials and Gen X , and Hooker Upholstery's launch of the upscale motion seating Aspire brand , " Hoff said . Consolidated operating income for the quarter was $ 12.2 million compared to a $ 45.4 million operating loss in the prior year period , which was primarily attributable to $ 44.3 million in non - cash impairment charges related to a write - down of goodwill and tradenames in the Home Meridian segment and goodwill in the Shenandoah division prompted by the impact of the COVID - 19 downturn on our financials in the prior year period . Segment Reporting : Hooker Branded The Hooker Branded Segment led the way in the company's record sales and earnings for the quarter . Net sales increased by $ 24.2 million , or about 90 % , versus the prior year period with incoming orders nearly doubled compared to the pandemic - impacted prior year quarter . The quarter ended with backlog tripled as compared to the prior - year first quarter . Operating income for the fiscal 2022 first quarter was $ 9.4 million or 18.4 % of net sales compared to $ 1.3 million or 4.9 % of net sales in the prior - year first quarter . Because much of the segment's product line is shipped out of U.S. distribution centers and product is ordered on a consistent weekly basis , shipments exceeded our expectations despite limitations on ocean vessel space and freightliner truck availability . " With our strategy to prioritize best sellers , we maximized our ability to perform against significant operational constraints , " Hoff said . " Due to the industry - wide demand surge for home furnishings , we were able to sell through some slow - moving inventory in the favorable environment . As a result , the Hooker Branded segment remained highly profitable due to increased revenues and reduced discounting and contributed over 75 % of consolidated operating profit during the quarter . " Hoff added , " The strengthening of our product line over the past two - plus years including an expanding lifestyle collection focus and a renewed emphasis on our value proposition within our various categories has begun to significantly affect our top and bottom - line performance . " Segment Reporting : Home Meridian Home Meridian first quarter sales were $ 84.4 million , up 46 % over the prior year quarter despite production challenges with Asian sources and logistics challenges . The first quarter sales increase was the result of continued strong retail demand versus weak demand during the initial weeks of the COVID - related economic shutdown in the year - ago period . First quarter operating income in the segment was $ 866,000 , an increase of $ 3.3 million over the loss recorded during the economic shutdown last year , excluding last year's intangibles impairment charge . Operating income improvement was driven by higher sales and reductions in allowances , spending and fixed expenses , which were partially offset by higher logistics costs . " Profits for the Home Meridian segment were subdued by significant excess freight costs experienced during the first quarter . We've implemented freight surcharges and price increases to mitigate these excess costs , but these headwinds are expected to continue impacting results in the segment over the next several months , " Hoff said . In general , Home Meridian's service position improved in the quarter , as in - bound shipments replenished out - of - stock items . However ACH , Home