A look at some recent news from the American furnishings market.
Hooker Furnishings: “There is a lot of economic uncertainty and volatility right now”
US furniture producer Hooker Furnishings recently reported a decline in sales by 8.3% to $397.5m for the full year of fiscal 2025, with all three segments experiencing sales decreases driven by weak demand, a depressed housing market, and broader macroeconomic uncertainties impacting nearly the entire home furnishings industry. The firm posted a consolidated net loss of $12.5m. However, the firm did end the period strongly, with sales up 8% to $104.5m in the fourth quarter.
“Excluding these charges, our financial performance improved sequentially each quarter throughout the year,” said Jeremy R. Hoff, Chief Executive Officer. “Even considering the extra week, Hooker Branded (+10% to $3.8m in Q4) and Home Meridian (+21.7% to $6.3m in Q4) sales increased. We gained market share at Hooker Legacy in every quarter of fiscal 2025 through the third quarter, according to independent industry analysis.
“While macroeconomic headwinds—including a weak housing market, lower consumer confidence and tariff uncertainty—persist, we remain focused on what we can control. We’ve accelerated cost reduction initiatives which we believe will improve operating income and cash flow.
“These include the planned exit of our Savannah warehouse which is expected to save $4.0–$5.7 million annually beginning in fiscal 2027, and the opening of a new leased facility in Vietnam this May. When fully operational, we believe the Vietnam warehouse will reduce domestic safety stock needs, improve product flow, enable container mixing, and support margin expansion while enabling a speedier return on investment.
“Combined with other efforts, we expect to begin to realize a portion of our expected $18 to $20 million in annual operating expense savings by mid-year fiscal 2026, with those benefits beginning in the second half of the current fiscal year, with full annualized expected cost savings to be realized beginning in fiscal 2027. Our actions reflect a disciplined, results-driven strategy to deliver long-term shareholder value.”
Looking ahead, Hoff added: “There is a lot of economic uncertainty and volatility right now. We are currently evaluating a range of strategies to mitigate the current economic environment, including a 50-year low in existing home sales, and the possible impact of additional reciprocal tariffs on our operations and profitability. Tariffs add tremendous complexity and uncertainty that require us to look at our cost structure more aggressively, particularly on the lower margin, direct container side of our business.
“Consequently, in addition to the cost savings we previously announced and those we are announcing in this release, we continue to identify additional opportunities to gain efficiency by consolidating operations and will provide more information in the coming weeks. While evaluation of our cost footprint and implementation of further cuts are both ongoing, we continue to invest in the highest growth-potential areas of our business, as growing profitable sales remains an intense focus.
“On a positive note, the CPI cooled in February and March, falling to the levels experienced last summer and fall before it rose from November 2024 to January 2025. Additionally, according to the U.S. Census Bureau year-over-year monthly furniture sales have increased beginning in September 2024. However, the Index of Consumer Sentiment is a real concern, and existing home sales continue to be low, which is a reflection of the uncertainty.
“While the current environment is challenging, we believe we have positioned the company to continue gaining market share and maximizing revenues through our merchandising efforts, speed-to-market initiatives and in-stock position on top-selling products.”
Mattress Firm Partners with invent.ai
Mattress retailer Mattress Firm has selected invent.ai, a retail inventory optimisation solution, to provide AI-driven inventory solutions for demand forecasting, store and distribution center (DC) replenishment, and merchandise financial planning (MFP). This collaboration is expected to enhance Mattress Firm’s supply chain operations and strategic planning.
“We are proud to partner with Mattress Firm in its journey to revolutionize supply chain management and achieve new levels of operational excellence,” said Gurhan Kok, Founder & CEO of invent.ai. “Our cutting-edge AI-driven solutions are designed to not only optimize inventory but also empower strategic decision-making, enhance efficiency and unlock long-term success. Together, we are setting a new standard for innovation and success in retail operations.”
“We were impressed with expected ROI modeling and accelerated time to value. These two key factors along with leading science, a simplified approach to better business outcomes and continuous support and learning through the Hub Model, led Mattress Firm to select invent.ai as our partner,” said Deborah Weidemeyer, VP Merchandising Lifecycle Management, Mattress Firm.
Somnigroup International announces new Chief Human Resources Officer
Somnigroup International Inc. has recently announced that Kindel Nuño has joined the Somnigroup executive team as its Chief Human Resources Officer, effective 5 May 2025. Ms. Nuño will report to Scott Thompson, the Chairman, President and CEO of Somnigroup.
“During her tenure as Mattress Firm’s Executive Vice President, Legal and General Counsel, Kindel has developed a deep understanding of a retail business through the eyes of its people and culture,” Thompson remarked.
“She has worked in partnership with the executive team and Board of Directors to implement strategic initiatives in compliance not only with rules and regulations, but also with an eye to the impact on Mattress Firm’s most valuable asset, its people. In this new role, Kindel will have the opportunity to apply that understanding across the Somnigroup organization, as she leads the human resource and communications functions.”
Modus Furniture International recalls dressers due to risk of serious injury or death
Furniture importer Modus Furniture International has issued a product recall on its Kentfield Solid Wood Eight-Drawer Dressers after failing to meet safety requirements.
In a notice filed via the United States Consumer Product Safety Commission, the recalled dressers are unstable if they are not anchored to the wall, posing serious tip-over and entrapment hazards that can result in injuries or death to children. The dressers violate performance requirements of the STURDY Act.
The product, which originates from Indonesia, was also sold as the Eliza Dresser, the Elyza Dresser, and the Westmont Dresser under the model number 8ZU582A. The dresser was sold in black drifted oak. The recall is for around 675 products sold via Joybird Stores nationwide and online at wayfair.com, allmodern.com and joybird.com from January 2024 through December 2024 for between $980 and $2,000.
Statement said: “Consumers should stop using the recalled Kentfield Dressers immediately and contact Modus for a free repair kit and the option to request free in-home installation of the kit. Modus Furniture is contacting all known purchasers directly.”
There have no been incidents or injuries reported to date.
