HVT Filings — Haverty Furniture Companies, Inc. - FilingSpy
HVT
Haverty Furniture Companies, Inc.
A specialty retailer of residential furniture, Havertys runs about 129 stores across 17 Southern and Midwest states, selling its own branded sofas, tables, and accessories along with free in-home design help. Founded in 1885 in Atlanta by brothers J.J. and Michael Haverty, the company later split from its partner — reportedly by flipping a coin over their stores — and reclaimed the family name. Today its website mostly serves as inspiration that steers shoppers into showrooms.
Haverty's Q2 revenue rose 7.7% and gross margin hit 61.4%, aided by a one-time tariff refund, while written business rose 12.6%.
Haverty's turned positive for the third straight quarter, confirming a demand recovery is underway. rose 7.7% to $194.9 million and widened 0.6 points to 61.4%, helped by a $1.5 million IEEPA tariff refund that will not repeat. The 12.6% increase in signals the recovery has further room to run, but the underlying margin without the refund is the number to track.
Key takeaways
rose 8.0%, the third consecutive quarter of positive comps and the strongest gain since the demand recovery began, confirming the inflection first seen in Q3 2025 is holding.
widened 0.6 points to 61.4%, but $1.5 million of the improvement came from a one-time IEEPA tariff refund received in June 2026; excluding this, the underlying margin was closer to flat with the 60.8% reported a year ago.
, a forward indicator of customer orders, rose 12.6% in the quarter, with design consultant-driven sales reaching 36.5% of total written business at an average ticket of $8,835.
Section summaries
Management's Discussion and Analysis
Q2 2026 net sales rose 7.7% to $194.9M with gross margin up 60 bps to 61.4%, aided by IEEPA tariff refunds.
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increased 7.7% to $194.9M in Q2 2026, with up 8.0%, despite a soft housing market.
improved 60 to 61.4%, driven by product mix, pricing, and $1.5M in IEEPA tariff refunds received in June 2026.
SG&A expenses leveraged to 58.0% of sales from 59.3% a year ago, the first meaningful in several quarters, though absolute costs still rose $5.8 million on higher selling and administrative expenses.
for the first half of 2026 strengthened to $21.4 million from $13.4 million a year ago, driven by changes including higher customer deposits, reversing the negative cash flow seen in Q1.
The company repurchased $13.9 million of stock in a privately negotiated transaction, contributing to a $14.9 million increase in cash used in financing activities.
What changed
The Q1 2026 watch item on sustainability is partially answered: the 61.4% reported in Q2 includes a $1.5 million IEEPA tariff refund, meaning the 25% tariff on upholstered wood furniture is still a and the underlying margin without the refund was roughly flat .
The Q1 watch item on is resolved positively: the 8.0% gain in Q2 accelerated from the 4.3% gain in Q1, confirming the demand recovery is durable rather than a temporary lift from tariff-driven price increases.
The Q1 watch item on is resolved: the negative $2.9 million in Q1 was a seasonal working-capital build, not the start of a trend, as first-half cash flow rebounded to $21.4 million driven by higher customer deposits.
The Q1 watch item on SG&A is resolved favorably: the expense rate improved to 58.0% from 59.4% in Q1, showing that growth is beginning to generate even as absolute costs rise.
What to watch
Realized in Q3 2026, to see where it settles without the $1.5 million IEEPA tariff refund that boosted Q2, and whether the underlying margin can hold above 60% as the full tariff impact flows through cost of goods sold.
in Q3 2026, to see whether the 8.0% gain represents a sustainable run rate or benefited from one-time factors, confirming the trajectory of delivered for the remainder of the year.
SG&A dollar spending and the expense rate, to see whether the 58.0% rate in Q2 can be sustained or improved as grows, which would begin to reverse the severe of the past three years.
growth in Q3 2026, to see whether the 12.6% increase in Q2 continues, signaling the forward demand pipeline that will convert to delivered in subsequent quarters.
expenses leveraged to 58.0% of sales from 59.3% a year ago, though absolute costs rose $5.8M on higher selling and administrative expenses.
Written business grew 12.6% in Q2, with design consultant-driven sales reaching 36.5% of total written business at a higher average ticket of $8,835.
strengthened to $21.4M for the first half of 2026, up from $13.4M, driven by changes including higher customer deposits.
Cash used in financing activities rose $14.9M, primarily due to increased share repurchases including a $13.9M privately negotiated transaction.
Quantitative and Qualitative Disclosures About Market Risk
For quantitative and qualitative disclosures about market risk, see "Item 7A. Quantitative and Qualitative Disclosures About Market Risk,” of our Form 10-K. Our exposure to market risk has not changed materially since December 31, 2025. 17 INDEX
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For quantitative and qualitative disclosures about market risk, see "Item 7A. Quantitative and Qualitative Disclosures About Market Risk,” of our Form 10-K. Our exposure to market risk has not changed materially since December 31, 2025.
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INDEX
Information regarding legal proceedings is provided in Note L - Contingencies of the Notes to the Condensed Consolidated Financial Statements set forth in this Form 10-Q.
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Information regarding legal proceedings is provided in Note L - Contingencies of the Notes to the Condensed Consolidated Financial Statements set forth in this Form 10-Q.
"Item 1A. Risk Factors” in our Form 10-K includes a discussion of our known material risk factors. There have been no material changes from the risk factors described in our Form 10-K.
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"Item 1A. Risk Factors” in our Form 10-K includes a discussion of our known material risk factors. There have been no material changes from the risk factors described in our Form 10-K.