0001493152-26-012071
SEC filingHomesToLife Ltd (HTLM) reported strong FY 2025 results with total revenues, net of $377.9M, up 12.8% YoY from $335.1M in FY 2024, driven by a 12.0% increase in export sales to $349.6M (92.5% of total) and retail sales growth to $9.1M (2.4%). Gross profit rose 26.8% to $105.3M, with gross margin expanding to 27.9% from 24.8%, reflecting a favorable product mix shift toward higher-margin fabric sofas. Operating income surged 103.7% to $19.4M, supported by sales volume growth despite higher freight costs from Suez Canal disruptions. Net income climbed 96.6% to $16.6M, or $0.18 per basic/diluted share (up from $0.09). Balance sheet strengthened with total assets at $139.2M (up from $118.8M), equity at $27.8M, and cash at $27.3M. Operating cash flow was $13.5M, with net cash increase of $2.4M. Leather trading contributed $19.2M (5.1%). Forward-looking, management highlights integrated supply chain resilience and brand expansion amid global economic pressures.
HomesToLife Ltd delivered robust FY 2025 performance with revenues of $377.9M, a 12.8% YoY increase from $335.1M in FY 2024. Gross profit expanded 26.8% to $105.3M (margin 27.9% vs. 24.8%), fueled by higher-margin fabric sofas. Operating income doubled to $19.4M (+103.7%), despite $11.6M higher sales/distribution expenses from freight hikes. Net income rose 96.6% to $16.6M ($0.18 EPS vs. $0.09). Total assets grew to $139.2M, equity to $27.8M, cash to $27.3M. Operating cash flow $13.5M supported $2.4M net cash growth.
Export sales dominated at $349.6M (92.5%, +12.0% YoY), with Europe 59.7% ($225.5M), Asia-Pacific 26.9% ($101.6M), North America 13.4% ($50.7M). Leather trading $19.2M (5.1%, +3.8% YoY). Retail surged to $9.1M (2.4%, +99.7% YoY), boosted by Korea operations. Growth driven by higher volumes (19% up) and sales mix, offset by Suez disruptions raising freight 22%.
Gross margin improved to 27.9% (+3.1pp) via fabric sofa shift. Operating margin 5.1% (vs. 2.8%). Sales/distribution 17.6% of revenue (up from 16.3% due to freight). G&A stable at 4.9%. Tax expense $4.2M (20% effective rate).
Operating cash $13.5M (net income $16.6M adjusted for $9.3M AR increase, $6.5M warranty provision). Investing outflow $2.1M (PPE, investments). Financing net outflow $9.4M (borrowings, dividends). Cash $27.3M; AR $76.0M; inventory $9.6M; short-term debt $10.4M (down from $15.3M). Equity $27.8M.
Management emphasizes supply chain resilience, brand expansion (HomesToLife, Domicil), Asia growth. Risks: freight volatility, economic slowdowns, related-party reliance (38% COGS from top vendor).