Haverty's to open 4 stores despite Q4 loss

Expense from a pension settlement and higher selling, general and administrative costs drove Havertys into the red for the fourth quarter of fiscal 2014.

The retailer reported a net loss of $10.19 million, compared to net income of $9.68 million the same period a year earlier. This is not stopping Havertys from planning to open four new stores in fiscal 2015, including three in new markets and one in an existing market. Havertys will also expand and remodel three locations and plans to close one store at the end of its lease term. Net sales rose 9% to $213 million from $196.16 million, aided by 8.3% growth in same-store sales.

"We finished 2014 with a strong fourth quarter led by solid sales growth and advancement on several operational fronts,” said Clarence H. Smith, chairman, president and CEO. “As we reported in our January sales release, vendor supply and import flow improved, enabling us to increase delivered sales.”

For the full year, net income fell 73% to $8.59 million, from $32.26 million. Net sales rose 3% to $768.4 million from $746.09 million, and net sales climbed 3.6%.