Revenue during the quarter went up marginally by 2.18 percent to $220.60 million from $215.89 million in the previous year period. Gross margin for the quarter expanded 103 basis points over the previous year period to 54.89 percent. Total expenses were 91.90 percent of quarterly revenues, down from 92.70 percent for the same period last year. This has led to an improvement of 79 basis points in operating margin to 8.10 percent.

Operating income for the quarter was $17.86 million, compared with $15.77 million in the previous year period.

Clarence H. Smith, chairman, president and Chief executive officer, said, “We are pleased with our strong finish to the quarter. Gaining greater productivity from our existing store base is a primary focus and average ticket increased over its prior year comparable period for the ninth consecutive quarter. Generating store and site visits remains challenging and expensive for retailers as methods for reaching the consumer continue to change and fragment. The Havertys brand merchandise, pricing discipline, and tight control of inventory were factors in our gross profit margin expansion.

The company has spent $13.19 million cash to meet investing activities during the year as against cash outgo of $28.36 million in the last year. It has incurred net capital expenditure of $25.88 million on net basis during the year, up 0.94 percent or $0.24 million from year ago.

The company has spent $54.04 million cash to carry out financing activities during the year as against cash outgo of $18.70 million in the last year period.

Cash and cash equivalents stood at $63.48 million as on Dec. 31, 2016, down 10.16 percent or $7.18 million from $70.66 million on Dec. 31, 2015.

Working capital declines
HAVERTYS has witnessed a decline in the working capital over the last year. It stood at $98.16 million as at Dec. 31, 2016, down 21.31 percent or $26.58 million from $124.75 million on Dec. 31, 2015. Current ratio was at 2.02 as on Dec. 31, 2016, down from 2.33 on Dec. 31, 2015.