Hooker Furnishings Corp (HOFT) 2025 Q3 法說會逐字稿

Good day. Thank you for standing by. Welcome to the Hooker Furnishings Corporation third quarter 2024 (sic - 2025) earnings webcast. (Operator Instructions) Please be advised that today's conference is being recorded.

再會。感謝您的支持。歡迎收聽 Hooker Furnishings Corporation 2024 年第三季（原文如此 - 2025 年）收益網路廣播。（操作員指示）請注意，今天的會議正在錄音。

I will now hand the conference over to your speaker host today, Paul Huckfeldt, Chief Financial Officer. Please go ahead, sir.

現在，我將會議交給今天的演講主持人、財務長 Paul Huckfeldt。先生，請繼續。

Thank you, Olivia. Good morning, and welcome to our quarterly conference call to review our financial results for the fiscal 2025 third quarter, which began July 29 and ended October 27, 2024. Joining me this morning is Jeremy Hoff, our Chief Executive Officer. We appreciate your participation today.

謝謝你，奧莉維亞。早安，歡迎參加我們的季度電話會議，回顧 2025 財年第三季（於 2024 年 7 月 29 日開始並於 2024 年 10 月 27 日結束）的財務業績。今天早上與我一起參加的是我們的執行長 Jeremy Hoff。我們感謝您今天的參與。

During our call, we may make forward-looking statements, which are subject to risks and uncertainties. A discussion of factors that could cause our actual results to differ materially from management's expectations is contained in our press release and SEC filing announcing our fiscal 2025 third-quarter results.

在電話會議中，我們可能會做出前瞻性陳述，這些陳述具有風險和不確定性。我們在宣布 2025 財年第三季業績的新聞稿和 SEC 文件中討論了可能導致我們的實際結果與管理層預期存在重大差異的因素。

Any forward-looking statement speaks only as of today, and we undertake no obligation to update or revise any forward-looking statements to reflect events or circumstances after today's call.

任何前瞻性聲明均僅代表今日的觀點，我們不承擔更新或修改任何前瞻性聲明以反映今日電話會議後的事件或情況的義務。

Our fiscal 2025 third quarter and nine-month results were adversely affected by the ongoing low demand in the home furnishings industry as well as charges totaling about $7.5 million, including approximately $3.1 million of restructuring costs related to the company's previously announced cost savings plan; $2.4 million of bad debt expense related to the bankruptcy of a single large customer; and $2 million of non-cash impairment charges to certain trade names under the Home Meridian segment. These factors resulted in an operating loss of $7.3 million and a consolidated net loss of $4.1 million or $0.39 per diluted share in the third quarter.

我們 2025 財年第三季和九個月的業績受到家居裝飾行業持續低迷的需求以及總計約 750 萬美元的費用的不利影響，其中包括與公司之前宣布的成本節約計劃相關的約 310 萬美元的重組成本；與單一大客戶破產相關的240萬美元壞帳費用；以及 Home Meridian 部門下某些商品名稱的 200 萬美元非現金減損費用。這些因素導致第三季營業虧損 730 萬美元，合併淨虧損 410 萬美元，即每股攤薄虧損 0.39 美元。

Consolidated net sales were $104 million, a decrease of $12.5 million or 10.7% compared to the same quarter of the previous year. For the nine-month period, consolidated net sales were $293 million, a decrease of $43 million or 12.9% compared to the same period of the previous year. This decrease was also due to low demand affecting the home furnishing industry and the absence of $11 million of liquidation sales from the unprofitable ACH product line, which the company exited last year.

綜合淨銷售額為 1.04 億美元，較去年同期減少 1,250 萬美元，降幅 10.7%。前九個月，綜合淨銷售額為 2.93 億美元，較去年同期減少 4,300 萬美元，降幅 12.9%。銷售額下降的另一個原因是家居產業需求低迷，以及該公司去年退出的無利可圖的 ACH 產品線缺乏 1,100 萬美元的清算銷售。

The company reported a consolidated operating loss of $15 million and a net loss of $10.2 million or $0.97 per diluted share attributed to lower overall sales, higher ocean freight costs at Hooker Branded, underabsorbed indirect costs at Domestic Upholstery, as well as the $7.5 million in charges mentioned earlier.

該公司報告稱，綜合營業虧損為 1,500 萬美元，淨虧損 1,020 萬美元，即每股攤薄虧損 0.97 美元，原因是整體銷售額下降、Hooker Branded 的海運成本上升、Domestic Upholstery 的間接成本吸收不足，以及前面提到的 750 萬美元的費用。

Now, I'll turn the results -- the call over to Jeremy to comment on our fiscal 2025 third-quarter results.

現在，我將把結果轉交給傑里米，請他對我們的 2025 財年第三季業績進行評論。

Thank you, Paul, and good morning, everyone. Despite sustained macroeconomic challenges and the charges recorded in Q3, we are encouraged by the sequential quarterly improvement in our core business profitability and by the results of our cost reduction efforts which will be more fully realized beginning fourth quarter.

謝謝你，保羅，大家早安。儘管宏觀經濟挑戰持續存在且第三季度有費用記錄，但我們核心業務盈利能力逐季改善，成本削減努力的成果令我們感到鼓舞，這些成果將從第四季度開始更加全面地實現。

These improvements reflect our team's focus on managing controllables and reducing non-strategic costs in a difficult environment while investing in impactful initiatives to expand our addressable market and growth opportunities, including our recently announced global licensing agreement with Margaritaville.

這些改進反映了我們團隊專注於在困難環境中管理可控因素和降低非策略性成本，同時投資有影響力的舉措以擴大我們的潛在市場和成長機會，包括我們最近宣布的與瑪格麗塔維爾的全球許可協議。

We're also encouraged by positive developments in the macroeconomic environments such as cooling inflation and recent interest rate cuts in September and November, which should begin to increase demand for furnishings. Our October High Point Market introductions were positively received with significant placements across the board. In addition, we had the best retail placement market to date at outdoor furniture specialist Sunset West.

宏觀經濟環境的正面發展也令我們感到鼓舞，例如通膨趨緩以及九月和十一月的降息，這些應該會開始增加對家具的需求。我們十月在高點市場推出的產品獲得了積極的反響，各方面都得到了廣泛的關注。此外，我們在戶外家具專家 Sunset West 擁有迄今為止最好的零售定位市場。

The early feedback of three major case gigs collections for Hooker Branded gave us the confidence to place initial cuttings early before these groups were officially introduced in October. As a result, the collections will ship this month with a second cutting in January, increasing our speed to market by six months. This puts us in a strong position for the coming fiscal year with our available product assortment.

Hooker Branded 的三個主要箱包演出系列的早期反饋使我們有信心在 10 月這些組合正式推出之前儘早進行初步剪輯。因此，該系列產品將於本月發貨，並於一月份進行第二次剪裁，這將使我們的上市速度縮短了六個月。這使得我們憑藉現有的產品組合在即將到來的財政年度中佔據有利地位。

In anticipation of increased demand and the typically stronger fall selling season, we built up Hooker Branded inventory by $11 million or 40% compared to previous quarter end. In addition, we are aggressively producing our top collections to ensure we will be in stock during the first quarter of fiscal '26. These inventories are high-quality assortments centered on our best-selling and most profitable SKUs.

為了因應需求成長和秋季銷售旺季的通常成長，我們增加了 Hooker 品牌庫存，與上一季末相比增加了 1,100 萬美元，即 40%。此外，我們正在積極生產我們的頂級系列，以確保在26財年第一季有庫存。這些庫存都是以我們最暢銷、最賺錢的 SKU 為中心的高品質分類。

Now, I want to turn the discussion over to Paul, who will discuss highlights in each of our segments.

現在，我想把討論交給保羅，他將討論我們每個部分的亮點。

Thanks, Jeremy. Beginning with Hooker Branded. Net sales decreased by $4 million or 10.7% in the fiscal third quarter compared to the prior year period due primarily to lower average selling prices.

謝謝，傑里米。從 Hooker Branded 開始。第三財季淨銷售額與去年同期相比減少 400 萬美元，即 10.7%，主要原因是平均銷售價格下降。

While gross revenue in this segment decreased by 6.7% compared to the previous year's third quarter, discount increased by 390 basis points due mainly to higher discounting on excess inventory. Unit volume decreased by a modest 2.1% compared to the previous year's third quarter, but exceeded the first and second quarters of this fiscal year.

雖然該部門的總收入與去年同期相比下降了 6.7%，但由於對過剩庫存的折扣增加，折扣增加了 390 個基點。單位銷量與去年第三季相比小幅下降了2.1％，但超過了本財年第一季和第二季。

For the quarter, the segment reported an operating loss of $1.7 million on historically low third-quarter net sales. The result -- this result included approximately $1 million of severance charges related to our cost reduction plan.

該部門本季報告稱，由於第三季淨銷售額創歷史新低，營業虧損 170 萬美元。結果 - 該結果包括與我們的成本削減計劃相關的約 100 萬美元的遣散費。

Incoming orders decreased by 13% year over year. The quarter-end backlog was 30% lower than at the end of the prior year's third quarter, but remained 18% higher than pre-pandemic levels, which were at the end of fiscal 2020 third quarter.

與去年同期相比，新訂單減少了13%。本季末積壓訂單量較去年同期第三季末下降了 30%，但仍比疫情前的 2020 財年第三季末水準高出 18%。

For the nine-month period, net sales decreased by $14 million or 11.7%, also due primarily to lower average selling prices, resulting from the price reductions implemented in the previous year in response to reduced ocean freight costs. Unit volume was essentially flat, decreasing by about 1% compared to the prior year nine-month period.

前九個月，淨銷售額下降了 1,400 萬美元，降幅為 11.7%，主要歸因於平均銷售價格的下降，而平均銷售價格的下降是由於去年為了應對海運費降低而實施的降價措施。單位數量基本持平，與去年同期相比下降了約 1%。

Turning to the Home Meridian segment. Net sales decreased by $5.1 million or 11.8% in the third quarter compared to the prior year third quarter due to reduced unit volume. Over 40% of the sales decrease was attributable to the loss of a major customer following its bankruptcy.

轉向 Home Meridian 部分。由於單位數量減少，第三季淨銷售額與去年同期相比減少 510 萬美元，即 11.8%。超過40%的銷售額下降是因為公司破產後失去了一個重要客戶。

Sales through major furniture chains and independent furniture stores decreased, though these decreases were partially offset by an 8% increase in sales in our hospitality business, marking two consecutive quarters of higher revenues.

大型家具連鎖店和獨立家具店的銷售額有所下降，但這些下降被我們酒店業務銷售額 8% 的增長所部分抵消，這標誌著酒店業務收入連續兩個季度增長。

Incoming orders increased by 8% compared to the previous year's third quarter, while decreasing modestly by 2.9% for the nine-month period despite the absence of orders from the discontinued ACH product line and the large customer bankruptcy. Quarter-end backlog was 32% higher than the prior year third-quarter backlog.

與去年同期相比，新訂單增加了 8%，儘管由於 ACH 產品線停產和大客戶破產而沒有訂單，但前九個月的訂單量仍小幅下降了 2.9%。季度末積壓訂單比去年第三季積壓訂單高出 32%。

Despite increased net sales -- decreased net sales, Home Meridian achieved a gross margin of 20.5%, its highest level since the acquisition in 2016. The restructuring efforts at Home Meridian over the recent years have shown meaningful results towards creating sustainable profitability, including significantly reduced allowance, improved product margins, and lower fixed costs across nearly all of this segment.

儘管淨銷售額增加 - 淨銷售額下降，Home Meridian 的毛利率仍達到 20.5%，為 2016 年收購以來的最高水準。近年來，Home Meridian 的重組努力在創造可持續盈利方面取得了顯著成果，包括大幅減少津貼、提高產品利潤率，以及降低幾乎所有該部門的固定成本。

For the quarter, the segment reported an operating loss of $3.7 million, driven by $2.4 million in bad debt charges due to the previously mentioned customer bankruptcy; $2 million in non-cash intangible asset impairment charges; and $233,000 of severance costs related to the cost reduction plan.

本季度，該部門報告的營業虧損為 370 萬美元，其中主要原因是先前提到的客戶破產導致的 240 萬美元壞帳費用； 200 萬美元的非現金無形資產減損費用；以及與成本削減計劃相關的233,000美元的遣散費。

For the nine-month period, net sales decreased by $19 million or 16% in large part due to the absence of $11 million in ACH liquidation sales, which accounted for approximately 60% of the sales decrease, and 75% of the unit volume decrease. Sales decreased in nearly all channels during the period, except for the hospitality business, which experienced a 23% increase.

在這九個月期間，淨銷售額減少了 1,900 萬美元，降幅為 16%，這主要是由於缺少 1,100 萬美元的 ACH 清算銷售，這佔銷售額下降的約 60%，佔單位銷量下降的 75%。除飯店業務銷售額成長 23% 外，期內幾乎所有通路的銷售額均下降。

Lastly, the domestic upholstery segment. Net sales decreased by $3.2 million or 10% compared to the prior year third quarter due to decreased sales at Shenandoah, Bradington-Young, and HF Custom attributable to the persistent low demand. This decrease was partially offset by a 9% increase in sales at Sunset West, which has delivered year-over-year quarterly sales growth for three consecutive quarters this fiscal year.

最後，國內室內裝潢部分。由於需求持續低迷導致 Shenandoah、Bradington-Young 和 HF Custom 的銷售額下降，淨銷售額與去年同期相比減少 320 萬美元，即 10%。這一下降被 Sunset West 9% 的銷售額成長部分抵消，該購物中心本財年連續三個季度實現同比增長。

Gross profit decreased due to lower net sales, but the gross margin remained stable. For the quarter, the segment reported an operating loss of $281,000, a sequential improvement compared to the $1.3 million in operating losses recorded in each of the fiscal 2025 first and second quarters. These results also included approximately $560,000 of severance costs related to the cost reduction plan.

由於淨銷售額下降導致毛利潤下降，但毛利率保持穩定。本季度，該部門報告的營業虧損為 281,000 美元，與 2025 財年第一季和第二季各記錄的 130 萬美元營業虧損相比有所改善。這些結果還包括與成本削減計劃相關的約 56 萬美元的遣散費。

Incoming orders decreased by 4.8% during the quarter, and the quarter end backlog was 30% lower than the prior year third-quarter backlog. Excluding Sunset West, the order backlog remained consistent with pre-pandemic levels at the end of the fiscal 2020 third quarter. For the nine-month period, net sales decreased by $10.6 million or 10.8%, also due to decreased sales at Bradington-Young, Shenandoah, and HF Custom, partially offset by a 10% increase in Sunset West net sales.

本季新訂單量下降了 4.8%，季末積壓訂單量比去年第三季下降了 30%。除 Sunset West 外，2020 財年第三季末的訂單積壓與疫情前的水準保持一致。在過去九個月中，淨銷售額下降了 1060 萬美元，降幅為 10.8%，這也是由於 Bradington-Young、Shenandoah 和 HF Custom 的銷售額下降，但 Sunset West 淨銷售額增長了 10% ，部分抵消了這一影響。

Turning now to cash inventories and capital. Cash and cash equivalents were $20.4 million at the end of the third quarter, a decrease of $22.7 million from the previous year-end in January. Inventory levels increased by $4.7 million from year-end, driven primarily by a $6 million increase in Hooker Branded inventories.

現在談談現金庫存和資本。第三季末的現金和現金等價物為2,040萬美元，較去年同期1月底減少2,270萬美元。庫存水準較年底增加了 470 萬美元，主要由於 Hooker 品牌庫存增加了 600 萬美元。

During the nine-month period, we used cash and cash equivalents on hand on $7.4 million of dividends, $2.8 million to further develop our cloud-based ERP system, and $2.7 million in capital expenditures. In addition to our cash balance, we had an aggregate of $28.3 million available under our existing revolver at quarter end as well as $29 million in cash surrender value of company-owned life insurance.

在九個月期間，我們使用現金和現金等價物支付了 740 萬美元的股息，280 萬美元用於進一步開發基於雲端的 ERP 系統，以及 270 萬美元用於資本支出。除了現金餘額外，截至季末，我們現有的循環信貸總額為 2,830 萬美元，公司擁有的人壽保險現金退保價值為 2,900 萬美元。

We expect to finalize the refinancing of our credit facility and pay off our term debt in the coming days. As Jeremy mentioned, we're aggressively building inventory to support three new major casegoods collections as well as our best-selling and most profitable SKUs to accelerate speed the market and product availability for both current and next fiscal year.

我們預計將在未來幾天完成信貸再融資並償還定期債務。正如傑里米所提到的，我們正在積極建立庫存，以支持三個新的大型箱包系列以及我們最暢銷和最賺錢的 SKU，以加速本財年和下一財年的市場和產品供應。

The inventory build is also driven by what is expected to be a longer-than-typical Lunar New Year holiday in Vietnam, and expected longer post-holiday ramp-up period resulting from the extended holiday and lower production demand in Vietnam, as well as potential US East Coast port strike in January of 2025. Earlier this week, we announced the payment of our regular quarterly dividend in December, which we believe demonstrates our confidence in the company's future success.

庫存增加的另一個原因是，預計越南農曆新年假期將比往年更長，而且由於越南假期延長和生產需求下降，預計節後產能提升期將更長，加上 2025 年 1 月可能發生美國東海岸港口罷工。本週早些時候，我們宣布將於 12 月支付定期季度股息，我們相信這表明了我們對公司未來成功的信心。

Now, I'll turn the conversation back to Jeremy for his outlook.

現在，我將話題轉回傑瑞米身上，聽聽他的看法。

Over the last few months, the key economic indicators that impact furniture sales have been trending positively, such as interest rate cuts which drive home mortgage rates and cooling inflation. Additionally, in November, a leading real estate industry group stated its belief that the worst of the housing inventory shortage is ending and forecast an approximately 10% increase in home sales for 2025, with mortgage rates stabilizing around 6%.

在過去的幾個月中，影響家具銷售的關鍵經濟指標一直呈現積極趨勢，例如降低利率推動房屋抵押貸款利率上升以及通膨趨緩。此外，11 月，一家領先的房地產行業集團表示，它相信房屋庫存短缺的最嚴重時期即將結束，並預測 2025 年房屋銷售量將增長約 10%，抵押貸款利率將穩定在 6% 左右。

In October, year-over-year furniture store sales rose for the second month in a row. Lastly, consumer sentiment rose in November to its highest level since April, and the stock market continues near all-time highs.

十月份，家具店銷售額連續第二個月年增。最後，11 月消費者信心指數升至 4 月以來的最高水平，股市持續接近歷史高點。

While the macroeconomic outlook is improving, our team has continued to focus on the controllables and improvements already underway at Hooker Furnishings. Our balance sheet, financial condition, and management team should well equip us to navigate any remaining challenges as we focus on maximizing efficiencies with the cost reductions while simultaneously investing in expansion strategies that will position us for revenue and profitability growth when demand fully returns. This ends the formal part of our discussion. And at this time, I will turn the call back over to our operator, Olivia, for questions.

雖然宏觀經濟前景正在改善，但我們的團隊仍繼續專注於 Hooker Furnishings 已經在進行的可控事項和改進。我們的資產負債表、財務狀況和管理團隊應該能夠很好地幫助我們應對任何剩餘的挑戰，因為我們專注於透過降低成本來最大程度地提高效率，同時投資於擴張策略，以便在需求完全恢復時實現收入和盈利的增長。我們討論的正式部分到此結束。現在，我會將電話轉回給我們的接線員奧利維亞，以便她回答問題。

(Operator Instructions) Anthony Lebiedzinski, Sidoti & Company.

（操作員指示）Anthony Lebiedzinski，Sidoti & Company。

Can you hear me now?

現在你能聽到我的聲音嗎？

Yes.

是的。

Sorry about that, I was on mute. So first, just curious. So since the election, have you guys seen any notable changes in demand from your customers? It seems like just talking to others in the industry, they talked about the election being a distraction for the end consumer. So curious to get your thoughts on what you've seen so far.

抱歉，我把聲音調成了靜音。所以首先，只是好奇。那麼，自選舉以來，你們有沒有發現客戶需求有任何顯著的改變？似乎只是與業內其他人交談，他們說選舉會分散最終消費者的注意力。非常好奇想知道您對目前所見事物的看法。

Yeah. So we've noticed that we've had a noticeable positive bump in order rates since the election for sure.

是的。因此，我們注意到，自選舉以來，訂單率確實出現了明顯的正面上升。

That's good to hear, certainly encouraging. And then in terms of the new casegoods collections, you talked about the speed to market certainly driving that. How impact -- I'm sorry, how impactful could that be for the fourth quarter as you look to get those products to retailers?

聽到這個消息真是太好了，確實令人鼓舞。然後就新的箱包系列而言，您談到了上市速度肯定推動了這一點。有多大影響——抱歉，當您希望將這些產品送到零售商手中時，這會對第四季度產生多大影響？

Well, it definitely gives us a better shot at some better shipments at Hooker Branded because we're going to ship first cutting in November, second cutting in January, specifically to direct container customers that that will affect first. But I think the more significant part of it is the fact that we're putting those collections in position for the next fiscal year to gain the full benefit of those hitting floors for the entire year and not half of the year.

嗯，這無疑讓我們有更好的機會向 Hooker Branded 發貨，因為我們將在 11 月發貨第一批收割品，在 1 月發貨第二批收割品，特別是針對那些會首先受到影響的直接集裝箱客戶。但我認為，更重要的是，我們將把這些收款安排到下一財年，以便充分利用全年而不是半年的收款收益。

All right. That makes a lot of sense. And you've done a nice job improving the gross margin at HMI. Do you think you can further improve from here? What are your thoughts there, Jeremy?

好的。這很有道理。您在提高 HMI 的毛利率方面做得很好。您認為您可以從現在開始進一步進步嗎？傑里米，您有什麼想法？

I would say a little bit. And just to stress, most of that improvement was simply getting out of businesses we should not have been in which obviously takes the average very positive compared to where we were when we had businesses losing money, a low-margin business like the ACH business.

我想說有一點。需要強調的是，大部分的改進只是讓我們擺脫了不應該涉足的業務，這顯然使我們的平均值比我們虧損的業務（如 ACH 業務等低利潤業務）時要高得多。

The fact that we're out of that, it's no longer a drag on the overall average. So that's been the biggest benefit for us. We do still think there's a little bit of room for improvement.

事實上，我們已經擺脫了這一困境，它不再對整體平均值造成拖累。這對我們來說是最大的好處。我們確實仍然認為還有一點改進的空間。

Got you. And so as far as the inventory situation here -- so you talked about having excess inventories. Overall, your inventory was higher at the end of the third quarter than we expected.

明白了。就這裡的庫存情況而言，您談到了庫存過剩。整體而言，第三季末的庫存高於我們的預期。

So how would you describe your current inventory position and the quality of that inventory? And any goal for your inventory at the end of your fiscal year?

那麼您如何描述您目前的庫存狀況和庫存品質？您的財政年度結束時的庫存有什麼目標嗎？

I would call our inventory position the best it's been probably, Paul, in probably two years.

保羅，我想說我們的庫存狀況可能是兩年來最好的。

I think so, yeah.

是的，我想是的。

And I say that not only because of the positive inventory we have on the Hooker Branded side that are some of our best SKUs, but not having the drag of something like ACH on the other side which negatively impacts the entire inventory as well. So we really don't have the problem inventory within our system anymore like we did with the ACH. We only -- our increase is in really good SKUs.

我這樣說，不僅是因為我們在 Hooker Branded 方面擁有正庫存，而這些庫存是我們最好的 SKU，而且還因為我們沒有受到 ACH 之類的拖累，而 ACH 也會對整個庫存產生負面影響。因此，我們的系統內確實不再存在像 ACH 那樣的問題庫存。我們只是—我們的成長來自於真正優質的 SKU。

Yeah. We talked -- I know it might sound a little inconsistent. We talked about discounting, excess inventories, and building inventory. And what we're doing is cleaning up the inventory, getting rid of slow-moving stuff to free up the working capital to invest in better SKUs, into new products, and in our best-selling SKUs.

是的。我們討論過了——我知道這聽起來可能有點不一致。我們討論了折扣、過剩庫存和建立庫存。我們正在做的是清理庫存，清除滯銷商品，以釋放營運資金，投資更好的 SKU、新產品和最暢銷的 SKU。

All right, yeah. That makes a lot of sense, okay. And then lastly for me before I pass it on to others. So Jeremy, I know you were very upbeat about the Margaritaville launch when you announced this, I believe, in October. Can you provide any more details as to how impactful that deal could be for you guys?

好的，是的。這很有道理，好吧。在我將其傳遞給其他人之前，這是我的最後一部分。所以傑里米，我知道當你在十月份宣布瑪格麗塔維爾的推出時，你對它非常樂觀。您能否提供更多細節來說明這筆交易對你們的影響有多大？

Well, we believe it's going to be very impactful. What's interesting about the Margaritaville license from our standpoint is it really affects a lot of our divisions. It's not really just going to be a Hooker Branded thing, for example. It's going to be Hooker Legacy that's going to really affect positively, we believe, our contract divisions.

嗯，我們相信它會產生很大的影響。從我們的角度來看，瑪格麗塔維爾許可證的有趣之處在於它確實影響了我們的許多部門。例如，這實際上並不僅僅是一個 Hooker Branded 的東西。我們相信，Hooker Legacy 將對我們的合約部門產生真正積極的影響。

There's a lot of opportunity with hospitality and through each contract that will give us an advantage with a lot of those jobs because Margaritaville is building a significant number of homes in areas that we'll be attached to in pricing those models and whatnot. So there's just -- it opens a lot of doors that would not be open otherwise.

酒店業有很多機會，透過每一份合同，我們可以在很多工作中獲得優勢，因為瑪格麗塔維爾正在一些地區建造大量房屋，我們會根據這些地區來為這些模型定價等等。因此，它打開了許多原本不會打開的大門。

Dave Storms, Stonegate.

戴夫‧斯托姆斯 (Dave Storms)，Stonegate。

Just wanted to ask my first question around the macro demand environment going into this holiday season. Is there any potential to see continued discounting through the back part of this year?

我只是想問一下這個假期宏觀需求環境的第一個問題。今年下半年有可能繼續打折嗎？

Can you repeat that, Dave? There's a little bit of static or something on the line.

你能重複一遍嗎，戴夫？線路上有點靜電或類似的東西。

Apologies. Just around the macro environment and the holiday season coming up, is there any potential for continued discounting as you go into the back quarter of the year?

抱歉。就宏觀環境和即將到來的假期而言，進入今年後半段，是否有可能繼續打折？

We don't believe any more than normal.

我們並不比平常相信更多。

Normal -- yeah, normal promotions. E-comm, in particular, we tend to run the specials, but it's targeted promotions.

正常——是的，正常促銷。特別是在電子商務方面，我們傾向於推出特價商品，但這是有針對性的促銷。

Understood. And then just wanted to touch on the bankruptcy. Are there any other customers that you're seeing as highly at risk? And is there any recourse to recover some of that write-off?

明白了。然後我就想談談破產問題。您認為還有哪些客戶的風險較高？有沒有辦法可以收回部分註銷金額？

Well, you probably know who that big customer is. And there's probably not a lot of recourse. We've done what we can to mitigate that business -- that loss. And that's really the only big customer that we -- there's always a small customer here or there that's bankrupt.

好吧，您可能知道那位大客戶是誰。而且可能也沒有太多的補救措施。我們已盡一切努力減輕業務損失。這其實是我們唯一的大客戶——總是會有那麼一個小客戶破產。

We haven't really noticed a particularly significant change in the pace of bankruptcies or distressed receivables. But that was one that was just -- it was a big customer, and we got caught.

我們其實並沒有註意到破產或不良應收帳款的速度有特別顯著的變化。但那隻是一個——它是一個大客戶，我們被抓住了。

Understood. And then I did have another question around the licensing deal. I was hoping you could speak a little more around the logistics and next steps and maybe what early wins would look like. It looks like this is a decent amount of white space for you all.

明白了。然後我對許可協議還有另一個問題。我希望您能多談談後勤保障和後續步驟，以及早期的勝利會是什麼樣子。看起來，這對你們所有人來說都是相當多的空白空間。

Yeah. And that's what you're mentioning is the reason we're going to launch in October. The temptation of course is to move faster than that and try to launch in April, but ride is going to be much more important and fast for us and we want to get this ride.

是的。這就是您提到的我們將在十月推出的原因。當然，我們更想更快地行動，嘗試在四月推出，但對我們來說，騎行更為重要，速度也更快，我們想獲得這次騎行。

So the logistics right now of everything are pulling that together from a Sunset West. Our outdoor company is obviously heavily involved. All of our Domestic Upholstery is involved, Hooker Branded involved, contract is involved, hospitality.

所以現在所有後勤工作都是從日落西部 (Sunset West) 開始整合的。我們的戶外公司顯然深度參與其中。我們所有的國內室內裝潢都涉及其中，Hooker 品牌也涉及其中，也涉及合約和招待。

So right now, the biggest thing we're working on is pulling everything together the way it needs to be pulled together in order to make -- to put our best foot forward on a launch. So -- and that will continue until we get there.

因此，現在，我們最重要的工作就是把所有東西整合在一起，以便為發布會做好充分準備。所以 — — 這種情況會一直持續，直到我們到達那裡。

That's very helpful. And then just one last question for me, two quarter around cost savings. Should we expect any further severance costs in 4Q? And then looking into the next year, should we expect the $10 million to be evenly spread out or would we expect that to be more back-end weighted as those cost savings ramp?

這非常有幫助。我還剩最後一個問題，大約兩個季度的成本節省。我們是否應該預期第四季還會有進一步的遣散費？展望明年，我們是否應該預期這 1000 萬美元會均勻分佈，還是隨著成本節約的增加，我們預期這筆錢會更多地用於後端？

We don't expect significant additional -- at this point anyway, we don't expect significant additional restructuring costs. We've got one more element, one more reasonably large element, of our cost savings program that we still need to execute.

我們預計不會有大量額外成本——無論如何，就目前情況而言，我們預計不會有大量額外重組成本。我們的成本節約計畫中還有一個要素，一個相當大的要素，我們仍需要執行。

But I would say that most of it is going to be in place for the better part of the year. We haven't started really -- we haven't fully realized a lot of those savings yet, but we expect to start seeing those in the fourth quarter. And I would say that most of the $10 million will be evenly spread through next year.

但我想說，大部分措施將在今年大部分時間落實到位。我們還沒有真正開始——我們還沒有完全實現大部分節省，但我們預計將在第四季度開始看到這些節省。我想說，這 1000 萬美元中的大部分將會均勻分佈到明年。

And I am showing no further questions in the Q&A queue at this time. I will now turn the call back over to Mr. Jeremy Hoff for any closing remarks.

目前，問答隊列中沒有顯示任何其他問題。現在我將把電話轉回給傑里米·霍夫先生，請他做最後發言。

I would like to thank everyone on the call for their interest in Hooker Furnishings and wish you all a happy holiday season. We look forward to sharing our fiscal '25 full-year results in April next year. Take care.

我想感謝電話會議中每個人對 Hooker Furnishings 的關注，並祝大家節日快樂。我們期待明年 4 月分享我們的 25 財年全年業績。小心。

Ladies and gentlemen, that does conclude our conference for today. Thank you for your participation, and you may now disconnect.

女士們、先生們，今天的會議到此結束。感謝您的參與，您現在可以斷開連接。