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Segment Information
 3 Months Ended
May 02, 2021
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]

12.          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;
 

■

better assess our prospects for future net cash flows; and
 

■

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

  
   

May 2, 2021

            

May 3, 2020

          
           

% Net

            

% Net

  

Net Sales

          

Sales

            

Sales

  

   Hooker Branded

   $ 51,339       31.5 %   $ 27,162       26.0 %

   Home Meridian

     84,411       51.8 %     57,665       55.1 %

   Domestic Upholstery

     24,492       15.1 %     16,783       16.0 %

   All Other

     2,619       1.6 %     2,987       2.9 %

Consolidated

   $ 162,861       100 %   $ 104,597       100.0 %
                                 

Gross Profit

                                

   Hooker Branded

   $ 17,212       33.5 %   $ 8,005       29.5 %

   Home Meridian

     10,135       12.0 %     6,809       11.8 %

   Domestic Upholstery

     5,355       21.9 %     2,783       16.6 %

   All Other

     880       33.6 %     1,056       35.4 %

Consolidated

   $ 33,582       20.6 %   $ 18,653       17.8 %
                                 

Operating Income/(Loss)

                               

   Hooker Branded

   $ 9,442       18.4 %   $ 1,333       4.9 %

   Home Meridian

     866       1.0 %     (30,348 )     -52.6 %

   Domestic Upholstery

     1,688       6.9 %     (16,810 )     -100.2 %

   All Other

     247       9.4 %     387       12.9 %

Consolidated

   $ 12,243       7.5 %   $ (45,438 )     -43.4 %
                                 

Capital Expenditures

                                

   Hooker Branded

   $ 83             $ 53          

   Home Meridian

     1,346               89          

   Domestic Upholstery

     759               238          

   All Other

     -               -          

Consolidated

   $ 2,188             $ 380          
                                 

Depreciation

   & Amortization

                                

   Hooker Branded

   $ 449             $ 455          

   Home Meridian

     501               528          

   Domestic Upholstery

     761               699          

   All Other

     3               3          

Consolidated

   $ 1,714             $ 1,685          

 

   

As of May 2,

            

As of January 31,

          
   

2021

    

%Total

    

2021

    

%Total

  

Identifiable Assets

          

Assets

            

Assets

  

   Hooker Branded

   $ 170,115       49.8 %   $ 174,475       53.5 %

   Home Meridian

     119,737       35.1 %     100,497       30.9 %

   Domestic Upholstery

     50,794       14.9 %     49,370       15.2 %

   All Other

     538       0.2 %     1,204       0.4 %

Consolidated

   $ 341,184       100 %   $ 325,546       100 %

   Consolidated Goodwill and Intangibles

     26,131               26,727          

Total Consolidated Assets

   $ 367,315             $ 352,273          

 

Sales by product type are as follows:

 

   

Net Sales (in thousands)

 
   

Thirteen Weeks Ended

  
   

May 2, 2021

    

 %Total

    

May 3, 2020

    

%Total

  

Casegoods

   $ 97,959       60 %   $ 63,602       61 %

Upholstery

     64,902       40 %     40,995       39 %
    $ 162,861       100 %   $ 104,597       100 %