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Segment Information
 6 Months Ended
Aug. 01, 2021
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]

13.          Segment Information

 

As a public entity, we are required to present disaggregated information by segment using the management approach. The objective of this approach is to allow users of our financial statements to see our business through the eyes of management based upon the way management reviews performance and makes decisions. The management approach requires segment information to be reported based on how management internally evaluates the operating performance of the company’s business units or segments. The objective of this approach is to meet the basic principles of segment reporting as outlined in ASC 280 Segments (“ASC 280”), which are to allow the users of our financial statements to:

 

 

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better understand our performance;

 

 

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better assess our prospects for future net cash flows; and

 

 

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make more informed judgments about us as a whole.

 

We define our segments as those operations our chief operating decision maker (“CODM”) regularly reviews to analyze performance and allocate resources. We measure the results of our segments using, among other measures, each segment’s net sales, gross profit and operating income, as determined by the information regularly reviewed by the CODM. We continually monitor our reportable segments for changes in facts and circumstances to determine whether changes in the identification or aggregation of operating segments are necessary.  For financial reporting purposes, we are organized into three reportable segments and “All Other”, which includes the remainder of our businesses:

 

 

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Hooker Branded, consisting of the operations of our imported Hooker Casegoods and Hooker Upholstery businesses;  

 

 

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Home Meridian, a business acquired at the beginning of fiscal 2017, is a stand-alone, mostly autonomous business that serves a different type or class of customer than do our other operating segments and at much lower margins;

 

 

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Domestic Upholstery, which includes the domestic upholstery manufacturing operations of Bradington-Young, Sam Moore and Shenandoah Furniture; and

 

 

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All Other, consisting of H Contract and Lifestyle Brands, a new business started in late fiscal 2019. Neither of these operating segments were individually reportable; therefore, we combined them in “All Other” in accordance with ASC 280.

 

The following table presents segment information for the periods, and as of the dates, indicated.

 

   

Thirteen Weeks Ended

    

Twenty-Six Weeks Ended

  
   

August 1, 2021

            

August 2, 2020

            

August 1, 2021

            

August 2, 2020

          
           

% Net

            

% Net

            

% Net

            

% Net

  

Net Sales

          

Sales

            

Sales

            

Sales

            

Sales

  

   Hooker Branded

   $ 49,929       30.7 %   $ 38,820       29.7 %   $ 101,268       31.1 %   $ 65,982       28.1 %

   Home Meridian

     87,323       53.7 %     71,168       54.6 %     171,732       52.8 %     128,833       54.7 %

   Domestic Upholstery

     22,532       13.9 %     17,507       13.4 %     47,025       14.5 %     34,290       14.6 %

   All Other

     2,735       1.7 %     3,042       2.3 %     5,354       1.6 %     6,029       2.6 %

Consolidated

   $ 162,519       100 %   $ 130,537       100.0 %   $ 325,379       100.0 %   $ 235,134       100.0 %
                                                                 

Gross Profit

                                                                

   Hooker Branded

   $ 17,060       34.2 %   $ 12,443       32.1 %   $ 34,273       33.8 %   $ 20,448       31.0 %

   Home Meridian

     9,607       11.0 %     10,510       14.8 %     19,742       11.5 %     17,320       13.4 %

   Domestic Upholstery

     4,171       18.5 %     3,021       17.3 %     9,526       20.3 %     5,804       16.9 %

   All Other

     879       32.1 %     1,026       33.7 %     1,758       32.8 %     2,082       34.5 %

Consolidated

   $ 31,717       19.5 %   $ 27,000       20.7 %   $ 65,299       20.1 %   $ 45,654       19.4 %
                                                                 

Operating Income/(Loss)

                                                               

   Hooker Branded

   $ 8,929       17.9 %   $ 6,090       15.7 %   $ 18,371       18.1 %   $ 7,423       11.2 %

   Home Meridian

     43       0.0 %     1,083       1.5 %     908       0.5 %     (29,265 )     -22.7 %

   Domestic Upholstery

     457       2.0 %     (10 )     -0.1 %     2,145       4.6 %     (16,820 )     -49.1 %

   All Other

     232       8.5 %     349       11.5 %     479       8.9 %     736       12.2 %

Consolidated

   $ 9,661       5.9 %   $ 7,512       5.8 %   $ 21,903       6.7 %   $ (37,926 )     -16.1 %
                                                                 

Capital Expenditures

                                                                

   Hooker Branded

   $ 38             $ 29             $ 121             $ 82          

   Home Meridian

     1,109               20               2,455               108          

   Domestic Upholstery

     130               54               889               294          

   All Other

     -               -               -               -          

Consolidated

   $ 1,277             $ 103             $ 3,465             $ 484          
                                                                 

Depreciation

   & Amortization

                                                                

   Hooker Branded

   $ 750             $ 445             $ 1,200             $ 894          

   Home Meridian

     567               533               1,068               1,068          

   Domestic Upholstery

     549               700               1,309               1,397          

   All Other

     2               3               6               6          

Consolidated

   $ 1,868             $ 1,681             $ 3,583             $ 3,365          

 

   

As of August 1,

            

As of January 31,

            
   

2021

    

%Total

    

2021

    

%Total

    

Identifiable Assets

          

Assets

            

Assets

    

   Hooker Branded

   $ 153,253       44.8 %   $ 174,475       53.5 %  

   Home Meridian

     138,730       40.5 %     100,497       30.9 %  

   Domestic Upholstery

     49,720       14.5 %     49,370       15.2 %  

   All Other

     770       0.2 %     1,204       0.4 %  

Consolidated

   $ 342,473       100 %   $ 325,546       100 %  

   Consolidated Goodwill and Intangibles

     25,535               26,727            

Total Consolidated Assets

   $ 368,008             $ 352,273            

 

Sales by product type are as follows:

 

   

Net Sales (in thousands)

  
   

Thirteen Weeks Ended

    

Twenty-Six Weeks Ended

  
   

August 1, 2021

    

%Total

    

August 2, 2020

    

%Total

    

August 1, 2021

    

%Total

    

August 2, 2020

    

%Total

  

Casegoods

   $ 96,494       59 %   $ 79,181       61 %   $ 193,590       59 %   $ 142,373       61 %

Upholstery

     66,025       41 %     51,356       39 %     131,789       41 %     92,761       39 %
    $ 162,519       100 %   $ 130,537       100 %   $ 325,379       100 %   $ 235,134       100 %