HomesToLife Ltd ( (HTLM) ) has released its Q4 earnings. Here is a breakdown of the information HomesToLife Ltd presented to its investors.
HomesToLife Ltd is a leading home furniture retailer based in Singapore, specializing in customized furniture solutions and operating in the retail sector. The company has recently expanded into the wholesale market with its subsidiary HTL Far East Pte. Ltd.
In its fiscal year 2024 earnings report, HomesToLife Ltd reported a decline in net revenue by 18% to $4.17 million, primarily due to decreased sales of leather and fabric upholstered furniture. The company faced challenges from shifts in consumer spending habits and increased market competition.
Key financial highlights include a decrease in gross profit margin to 65.8% from 71.7% in 2023, and a significant increase in operating expenses by 32%, largely due to listing expenses. Despite these challenges, the company saw an increase in cash and cash equivalents to $3.44 million by the end of 2024.
Looking forward, HomesToLife Ltd is implementing a restructuring initiative to improve financial performance, including closing underperforming stores and revamping merchandise offerings. The company expects its wholesale subsidiary to contribute significantly to revenue in 2025, forecasting total revenue between $16 million and $18 million.