Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2020 | Oct. 22, 2020 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000896156 | |
Entity Registrant Name | ETHAN ALLEN INTERIORS INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --06-30 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2021 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 1-11692 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 06-1275288 | |
Entity Address, Address Line One | 25 Lake Avenue Ext | |
Entity Address, City or Town | Danbury | |
Entity Address, State or Province | CT | |
Entity Address, Postal Zip Code | 06811-5286 | |
City Area Code | 203 | |
Local Phone Number | 743-8000 | |
Title of 12(b) Security | Common Stock $0.01 par value per share | |
Security Exchange Name | NYSE | |
Trading Symbol | ETH | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 25,053,082 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
ASSETS | ||
Cash and cash equivalents | $ 61,973 | $ 72,276 |
Accounts receivable, net | 13,241 | 8,092 |
Inventories, net | 127,047 | 126,101 |
Prepaid expenses and other current assets | 30,200 | 23,483 |
Total current assets | 232,461 | 229,952 |
Property, plant and equipment, net | 234,877 | 236,678 |
Goodwill | 25,388 | 25,388 |
Intangible assets | 19,740 | 19,740 |
Operating lease right-of-use assets | 107,690 | 109,342 |
Deferred income taxes | 774 | 137 |
Other assets | 1,591 | 1,552 |
Total ASSETS | 622,521 | 622,789 |
Current liabilities: | ||
Accounts payable and accrued expenses | 33,706 | 25,595 |
Customer deposits and deferred revenue | 89,908 | 64,031 |
Accrued compensation and benefits | 24,261 | 18,278 |
Current operating lease liabilities | 29,706 | 27,366 |
Other current liabilities | 10,308 | 3,708 |
Total current liabilities | 187,889 | 138,978 |
Long-term debt | 0 | 50,000 |
Operating lease liabilities, long-term | 97,154 | 102,111 |
Deferred income taxes | 286 | 1,074 |
Other long-term liabilities | 4,261 | 2,562 |
Total LIABILITIES | 289,590 | 294,725 |
Commitments and contingencies (see Note 16) | ||
Shareholders' equity: | ||
Preferred stock, $0.01 par value; 1,055 shares authorized; none issued | 0 | 0 |
Common stock, $0.01 par value, 150,000 shares authorized, 49,053 shares issued; 25,053 shares outstanding at September 30, 2020 and June 30, 2020, respectively | 491 | 491 |
Additional paid-in capital | 378,554 | 378,300 |
Treasury stock, at cost: 24,000 shares at September 30, 2020 and June 30, 2020, respectively | (680,916) | (680,916) |
Retained earnings | 642,697 | 638,631 |
Accumulated other comprehensive loss | (7,885) | (8,441) |
Total Ethan Allen Interiors Inc. shareholders' equity | 332,941 | 328,065 |
Noncontrolling interests | (10) | (1) |
Total shareholders' equity | 332,931 | 328,064 |
Total LIABILITIES AND SHAREHOLDERS' EQUITY | $ 622,521 | $ 622,789 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares shares in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 1,055 | 1,055 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 150,000 | 150,000 |
Common stock, shares issues (in shares) | 49,053 | 49,053 |
Common stock, shares outstanding (in shares) | 25,053 | 25,053 |
Treasury stock, shares (in shares) | 24,000 | 24,000 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Net sales | $ 151,058 | $ 173,921 |
Cost of sales | 65,288 | 80,127 |
Gross profit | 85,770 | 93,794 |
Selling, general and administrative expenses | 73,466 | 86,010 |
Restructuring and other impairment charges, net of gains | 623 | (10,857) |
Operating income | 11,681 | 18,641 |
Interest (expense), net of interest income | (440) | 19 |
Income before income taxes | 11,241 | 18,660 |
Provision for income taxes | 1,888 | 4,554 |
Net income | $ 9,353 | $ 14,106 |
Basic earnings per common share: | ||
Net income per basic share (in dollars per share) | $ 0.37 | $ 0.53 |
Basic weighted average common shares (in shares) | 25,179 | 26,713 |
Diluted earnings per common share: | ||
Net income per diluted share (in dollars per share) | $ 0.37 | $ 0.53 |
Diluted weighted average common shares (in shares) | 25,206 | 26,750 |
Comprehensive income | ||
Net income | $ 9,353 | $ 14,106 |
Other comprehensive income (loss), net of tax | ||
Foreign currency translation adjustments | 556 | (499) |
Other | (9) | (7) |
Other comprehensive income (loss), net of tax | 547 | (506) |
Comprehensive income | $ 9,900 | $ 13,600 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash Flows from Operating Activities | ||
Net income | $ 9,353 | $ 14,106 |
Depreciation and amortization | 4,140 | 3,976 |
Share-based compensation expense | 254 | 151 |
Non-cash operating lease cost | 7,492 | 8,022 |
Deferred income taxes | (1,425) | 564 |
Restructuring and other impairment charges, net of gains | 623 | (6,717) |
Restructuring payments | (59) | (4,071) |
Loss on disposal of property, plant and equipment | 0 | 9 |
Other | (36) | 79 |
Change in operating assets and liabilities, net of effects of acquisitions: | ||
Accounts receivable, net | (5,149) | 1,767 |
Inventories, net | (946) | 8,999 |
Prepaid expenses and other current assets | (6,717) | (3,980) |
Customer deposits and deferred revenue | 25,877 | 7,943 |
Accounts payable and accrued expenses | 8,111 | (4,763) |
Accrued compensation and benefits | 6,042 | 2,734 |
Operating lease liabilities | (8,390) | (8,066) |
Other assets and liabilities | 3,020 | 2,643 |
Net cash provided by operating activities | 42,190 | 23,396 |
Cash Flows from Investing Activities | ||
Proceeds from disposal of property, plant and equipment | 0 | 11,615 |
Capital expenditures | (2,439) | (3,414) |
Acquisitions, net of cash acquired | 0 | (1,281) |
Other investing activities | 0 | 20 |
Net cash (used in) provided by investing activities | (2,439) | 6,940 |
Cash Flows from Financing Activities | ||
Payments on borrowings | (50,000) | 0 |
Payment of cash dividends | 0 | (5,075) |
Other financing activities | (148) | (119) |
Net cash used in financing activities | (50,148) | (5,194) |
Effect of exchange rate changes on cash and cash equivalents | 94 | (90) |
Net (decrease) increase in cash and cash equivalents | (10,303) | 25,052 |
Cash and cash equivalents at beginning of period | 72,276 | 20,824 |
Cash and cash equivalents at end of period | $ 61,973 | $ 45,876 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Cumulative Effect, Period of Adoption, Adjustment [Member]Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Additional Paid-in Capital [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Treasury Stock [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]AOCI Attributable to Parent [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Retained Earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Noncontrolling Interest [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Jun. 30, 2019 | 49,049 | 22,462 | ||||||||||||
Balance at Jun. 30, 2019 | $ 0 | $ 0 | $ 0 | $ 0 | $ (1,585) | $ 0 | $ (1,585) | $ 491 | $ 377,913 | $ (656,597) | $ (5,651) | $ 647,710 | $ 63 | $ 363,929 |
Net income | 0 | 0 | 0 | 0 | 14,106 | 0 | 14,106 | |||||||
Share-based compensation expense | 0 | 151 | 0 | 0 | 0 | 0 | 151 | |||||||
Cash dividends declared | 0 | 0 | 0 | 0 | (5,610) | 0 | (5,610) | |||||||
Other comprehensive income (loss) | $ 0 | 0 | $ 0 | (499) | 0 | (7) | (506) | |||||||
Common stock issued on share-based awards (in shares) | 1 | 0 | ||||||||||||
Common stock issued on share-based awards | $ 0 | 18 | $ 0 | 0 | 0 | 0 | 18 | |||||||
Balance (in shares) at Sep. 30, 2019 | 49,050 | 22,462 | ||||||||||||
Balance at Sep. 30, 2019 | $ 491 | 378,082 | $ (656,597) | (6,150) | 654,621 | 56 | 370,503 | |||||||
Balance (in shares) at Jun. 30, 2020 | 49,053 | 24,000 | ||||||||||||
Balance at Jun. 30, 2020 | $ 491 | 378,300 | $ (680,916) | (8,441) | 638,631 | (1) | 328,064 | |||||||
Net income | 0 | 0 | 0 | 0 | 9,353 | 0 | 9,353 | |||||||
Share-based compensation expense | 0 | 254 | 0 | 0 | 0 | 0 | 254 | |||||||
Cash dividends declared | 0 | 0 | 0 | 0 | (5,287) | 0 | (5,287) | |||||||
Other comprehensive income (loss) | $ 0 | 0 | $ 0 | 556 | 0 | (9) | 547 | |||||||
Balance (in shares) at Sep. 30, 2020 | 49,053 | 24,000 | ||||||||||||
Balance at Sep. 30, 2020 | $ 491 | $ 378,554 | $ (680,916) | $ (7,885) | $ 642,697 | $ (10) | $ 332,931 |
Note 1 - Organization and Natur
Note 1 - Organization and Nature of Business | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | ( 1 Organization and Nature of Business Founded in 1932, 300 September 30, 2020, 144 138 six nine six two one COVID- 19 Update The COVID- 19 In our initial response to the COVID- 19 first 2021. first 2021, March 2020. September 2020. June 30, 2020, April 2020. August 4, 2020, October 22, 2020. While we continue to serve our customers and operate our business while managing the ongoing COVID- 19 no 19 not 19. 19 19 19, 19 2021. |
Note 2 - Interim Basis of Prese
Note 2 - Interim Basis of Presentation | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Business Description and Basis of Presentation [Text Block] | ( 2 Interim Basis of Presentation Use of Estimates We prepare our consolidated financial statements in accordance with generally accepted accounting principles in the United States (“GAAP”), which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of net sales and expenses during the reporting period. Due to the inherent uncertainty involved in making those estimates, actual results could differ from those estimates. Areas in which significant estimates have been made include, but are not Principles of Consolidation We conduct business globally and have strategically aligned our business into two reportable segments: Wholesale and Retail. These two three September 30, 2020 not may 2020 10 “2020 10 The Company has evaluated subsequent events through the date that the consolidated financial statements were issued. |
Note 3 - Recent Accounting Pron
Note 3 - Recent Accounting Pronouncements | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Accounting Standards Update and Change in Accounting Principle [Text Block] | ( 3 Recent Accounting Pronouncements New Accounting Standards or Updates Recently Adopted Credit Losses of Financial Instruments June 2016, 2016 13, Financial Instruments – Credit Losses (Topic 326 2018 19, 2019 04, 2019 05, 2019 10, 2019 11, 2020 02 2020 03 may July 1, 2020 not not Implementation Costs in a Cloud Computing Arrangement – August 2018, 2018 15, Intangibles-Goodwill and Other – Internal-Use Software (Subtopic 350 40 July 1, 2020 one three Prepaid expenses and other current assets one Other assets one not Reference Rate Reform on Financial Reporting – March 2020, 2020 04, Reference Rate Reform (Topic 848 2020 04 first 2021, not Recent Accounting Standards or Updates Not Simplifying the Accounting for Income Taxes – December 2019, 2019 12, Income Taxes (Topic 740 740 first 2022. not No September 30, 2020 |
Note 4 - Revenue Recognition
Note 4 - Revenue Recognition | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | ( 4 Revenue Recognition Our reported revenue (net sales) consist substantially of product sales. We report product sales net of discounts and recognize them at the point in time when control transfers to the customer. For sales to our customers in our wholesale segment, control typically transfers when the product is shipped. The majority of our shipping agreements are freight-on-board shipping point and risk of loss transfers to our wholesale customer once the product is out of our control. Accordingly, revenue is recognized for product shipments on third third one one not not Our practice has been to sell our products at the same delivered cost to all retailers and customers nationwide, regardless of shipping point. Costs incurred by the Company to deliver finished goods are expensed and recorded in selling, general and administrative expenses. We recognize shipping and handling expense as fulfillment activities (rather than as a promised good or service) when the activities are performed even if those activities are performed after the control of the good has been transferred. Accordingly, we record the expenses for shipping and handling activities at the same time we recognize net sales. We exclude from the measurement of the transaction price all taxes imposed on and concurrent with a specific revenue-producing transaction and collected by the entity from a customer, including sales, use, excise, value-added, and franchise taxes (collectively referred to as sales taxes). Sales taxes collected is not Accounts payable and accrued expenses Estimated refunds for returns and allowances are based on our historical return patterns. We record these estimated sales refunds on a gross basis rather than on a net basis and have recorded an asset for product we expect to receive back from customers in Prepaid expenses and other current assets Other current liabilities September 30, 2020 June 30, 2020, We capitalize commission fees paid to our associates as contract assets within Prepaid expenses and other current assets September 30, 2020, six In many cases we receive deposits from customers before we have transferred control of our product to our customers, resulting in contract liabilities. These customer deposits are reported as a current liability in Customer deposits and deferred revenue June 30, 2020 three September 30, 2020. September 30, 2020. The following table disaggregates our net sales by product category by segment for the three September 30, 2020 ( Wholesale Retail Total Upholstery (1) $ 52,735 $ 57,685 $ 110,420 Case goods (2) 28,739 32,918 61,657 Accents (3) 17,196 24,313 41,509 Other (4) (1,336 ) 3,165 1,829 Total before intercompany eliminations $ 97,334 $ 118,081 215,415 Intercompany eliminations (5) (64,357 ) Consolidated net sales $ 151,058 The following table disaggregates our net sales by product category by segment for the three September 30, 2019 ( Wholesale Retail Total Upholstery (1) $ 50,020 $ 63,236 $ 113,256 Case goods (2) 34,029 38,760 72,789 Accents (3) 17,997 29,982 47,979 Other (4) (717 ) 5,288 4,571 Total before intercompany eliminations $ 101,329 $ 137,266 238,595 Intercompany eliminations (5) (64,674 ) Consolidated net sales $ 173,921 ( 1 Upholstery furniture includes fabric-covered items such as sleepers, recliners and other motion furniture, chairs, ottomans, custom pillows, sofas, loveseats, cut fabrics and leather. ( 2 Case goods furniture includes items such as beds, dressers, armoires, tables, chairs, buffets, entertainment units, home office furniture and wooden accents. ( 3 Accents includes items such as window treatments and drapery hardware, wall décor, florals, lighting, clocks, mattresses, bedspreads, throws, pillows, decorative accents, area rugs, wall coverings and home and garden furnishings. ( 4 Other includes membership revenue, product delivery sales, the Ethan Allen Hotel room rentals and banquets, sales of third ( 5 Intercompany eliminations represents the elimination of all intercompany wholesale segment sales to the retail segment during the period presented. |
Note 5 - Fair Value Measurement
Note 5 - Fair Value Measurements | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block] | ( 5 Fair Value Measurements We have categorized our cash equivalents as Level 1 September 30, 2020 2 June 30, 2020. no 3 September 30, 2020 June 30, 2020. With the exception of the $0.6 million retail asset impairment charge, we did not 2021. As of September 30, 2020 not June 30, 2020 |
Note 6 - Inventories
Note 6 - Inventories | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | ( 6 Inventories Inventories at September 30, 2020 June 30, 2020 September 30, June 30, 2020 2020 Finished goods $ 100,477 $ 97,718 Work in process 8,737 9,589 Raw materials 20,373 21,343 Inventory reserves (2,540 ) (2,549 ) Inventories, net $ 127,047 $ 126,101 |
Note 7 - Goodwill and Intangibl
Note 7 - Goodwill and Intangible Assets | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | ( 7 Goodwill and Intangible Assets Our goodwill and intangible assets are comprised of goodwill, which represents the excess of cost over the fair value of net assets acquired, and our Ethan Allen trade name and related trademarks. As of September 30, 2020, June 30, 2020. Both goodwill and indefinite-lived intangible assets are not fourth may |
Note 8 - Leases
Note 8 - Leases | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Lessee, Leases [Text Block] | ( 8 Leases We have operating leases for many of our design centers that expire at various dates through fiscal 2040. three five The Company's lease terms and discount rates are as follows: September 30, 2020 2019 Weighted-average remaining lease term (in years) Operating leases 6.4 6.7 Financing leases 1.6 1.8 Weighted-average discount rate Operating leases 4.2 % 3.7 % Financing leases 4.4 % 4.6 % Lease expense for operating leases consists of both fixed and variable components. Expense related to fixed lease payments are recognized on a straight-line basis over the lease term. Variable lease payments are generally expensed as incurred, where applicable, and include certain index-based changes in rent, certain non-lease components, such as maintenance and other services provided by the lessor, and other charges included in the lease. Leases with an initial term of twelve not not The following table discloses the location and amount of our operating and financing lease costs within our consolidated statements of comprehensive income (in thousands): Three months ended September 30, Statement of Comprehensive Income Location 2020 2019 Operating lease cost (1) Selling, general and administrative (“SG&A”) $ 7,492 $ 8,022 Financing lease cost Depreciation of property SG&A 151 146 Interest on lease liabilities Interest (expense), net of interest income 5 9 Short-term lease cost ( 2 ) SG&A 159 387 Variable lease cost ( 3 ) SG&A 2,262 2,463 Less: Sublease income SG&A (438 ) (506 ) Total lease expense $ 9,631 $ 10,521 ( 1 Lease expense for operating leases consists of both fixed and variable components. Expense related to fixed lease payments are recognized on a straight-line basis over the lease term. ( 2 Leases with initial terms of one not ( 3 Variable lease payments are generally expensed as incurred, where applicable, and include certain index-based changes in rent, certain non-lease components, such as maintenance, real estate taxes, incurance and other services provided by the lessor, and other charges included in the lease. The table below reconciles the undiscounted future minimum lease payments (displayed by year and in the aggregate) under noncancelable leases with terms of more than one September 30, 2020 ( Fiscal Year Operating Leases Financing Leases 2021 (remaining nine months) $ 24,305 $ 306 2022 28,720 78 2023 22,333 39 2024 17,484 19 2025 13,952 8 Thereafter 39,581 - Total undiscounted future minimum lease payments (1)( 2 ) 146,375 450 Less: imputed interest ( 3 ) (19,515 ) (13 ) Total present value of lease obligations $ 126,860 $ 437 ( 1 Certain operating leases have renewal options and rent escalation clauses as well as various purchase options. We assess these options to determine if we are reasonably certain of exercising these options based on all relevant economic and financial factors. Any options that meet these criteria are included in the lease term at lease commencement. ( 2 Excludes future commitments under short-term lease agreements of $0.5 million as of September 30, 2020 twelve not ( 3 Calculated using the incremental borrowing rate for each lease at lease commencement. As of September 30, 2020, one not not second 2021. ten As of September 30, 2020, not not Other supplemental information for our leases is as follows (in thousands): Three months ended September 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 8,390 $ 8,851 Operating cash flows from financing leases $ 148 $ 147 Operating lease assets obtained in exchange for new operating lease liabilities $ 4,477 $ 6,916 |
Note 9 - Income Taxes
Note 9 - Income Taxes | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 9 Income Taxes We recorded income tax expense of $1.9 million and $4.6 million in the three September 30, 2020 2019, three September 30, 2020 may not first 2021 first As of September 30, 2020, September 30, 2020, 12 |
Note 10 - Debt
Note 10 - Debt | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | ( 10 Debt Total debt obligations at September 30, 2020 June 30, 2020 September 30, June 30, 2020 2020 Borrowings under revolving credit facility $ - $ 50,000 Less current maturities - - Total long-term debt $ - $ 50,000 Credit Agreement On December 21, 2018, December 21, 2023. At the Company’s option, revolving loans under the Facility bear interest, based on the average availability, at an annual rate of either (a) the London Interbank Offered rate (“LIBOR”) plus 1.5% to 2.0%, or (b) the higher of (i) the prime rate, (ii) the federal funds effective rate plus 0.5%, or (iii) LIBOR plus 1.0% plus in each case 0.5% to 1.0%. The availability of credit at any given time under the Facility will be constrained by the terms and conditions of the Facility, including the amount of collateral available, a borrowing base formula based upon numerous factors, including the value of eligible inventory and eligible accounts receivable, and other restrictions contained in the Facility. All obligations under the Facility are secured by assets of the Loan Parties, including inventory, receivables and certain types of intellectual property. Borrowings under the Facility We borrowed $100.0 million under the Facility in March 2020 June 2020 September 2020 one three September 30, 2020 three September 30, 2019. Covenants and Other Ratios The Facility contains various restrictive and affirmative covenants, including required financial reporting, limitations on the ability to grant liens, make loans or other investments, incur additional debt, issue additional equity, merge or consolidate with or into another person, sell assets, pay dividends or make other distributions or enter into transactions with affiliates, along with other restrictions and limitations similar to those frequently found in credit agreements of this type and size. Loans under the Facility may The Facility does not twelve At September 30, 2020 June 30, 2020, September 30, 2020 June 30, 2020. September 30, 2020 June 30, 2020, |
Note 11 - Restructuring and Oth
Note 11 - Restructuring and Other Impairment Activities | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Restructuring, Impairment, and Other Activities Disclosure [Text Block] | ( 11 Restructuring and Other Impairment Activities Restructuring, impairment and other related costs incurred during the three September 30, 2020 2019 Three months ended September 30, 2020 2019 Optimization of manufacturing and logistics $ - $ 640 Gain on sale of Passaic property - (11,497 ) Impairment of long-lived assets (retail) 623 - Total Restructuring and other impairment charges, net of gains $ 623 $ (10,857 ) Manufacturing overhead costs (1) - 1,052 Inventory write-downs (1) - 3,088 Total $ 623 $ (6,717 ) ( 1 Manufacturing overhead costs and inventory write-downs are reported within Cost of Sales We recorded a non-cash impairment charge of $0.6 million during the first 2021 $0.6 Restructuring and other impairment charges, net of gains. |
Note 12 - Earnings Per Share
Note 12 - Earnings Per Share | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | ( 12 Earnings Per Share We compute basic earnings per share (“EPS”) by dividing net income by the weighted average number of common shares outstanding during the period. Diluted EPS is calculated similarly, except that the weighted average outstanding shares are adjusted to include the effects of converting all potentially dilutive share-based awards issued under our employee stock plans. The number of potential common shares outstanding are determined in accordance with the treasury stock method to the extent they are dilutive. Basic and diluted EPS are calculated using the following weighted average share data (in thousands): Three months ended September 30, 2020 2019 Weighted average shares outstanding for basic calculation 25,179 26,713 Dilutive effect of stock options and other share-based awards 27 37 Weighted average shares outstanding adjusted for dilution calculation 25,206 26,750 Dilutive potential common shares consist of stock options, restricted stock units and performance units. As of September 30, 2020 2019, As of September 30, 2020 2019, . |
Note 13 - Accumulated Other Com
Note 13 - Accumulated Other Comprehensive Income (Loss) | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | ( 13 Accumulated Other Comprehensive Income (Loss) Accumulated other comprehensive income (loss) consists of foreign currency translation adjustments which are the result of changes in foreign currency exchange rates related to our operations in Canada, Honduras and Mexico. Assets and liabilities are translated into U.S. dollars using the current period-end exchange rate and income and expense amounts are translated using the average exchange rate for the period in which the transaction occurred. The following table sets forth the activity in accumulated other comprehensive loss (in thousands). 2020 2019 Beginning balance at July 1 $ (8,441 ) $ (5,651 ) Other comprehensive income (loss), net of tax 547 (506 ) Less AOCI attributable to noncontrolling interests 9 7 Ending balance at September 30 $ (7,885 ) $ (6,150 ) |
Note 14 - Share-based Compensat
Note 14 - Share-based Compensation | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | ( 14 Share-Based Compensation During the three September 30, 2020 2019, three September 30, 2020 2019, At September 30, 2020, Stock Option Activity There were no stock option awards granted to employees during the first 2021 2020. September 30, 2020, Restricted Stock Unit Activity During the first 2021, not two first second first 2020. September 30, 2020, Performance Stock Unit Activity Under the Plan, the Compensation Committee of the Board of Directors was authorized to award common shares to certain employees based on the attainment of certain financial goals over a given performance period. Payout of these grants depends on our financial performance (80%) and a market-based condition based on the total return our shareholders receive on their investment in our stock relative to returns earned through investments in other peer companies (20%). The performance award opportunity ranges from 50% 125% three three three During the first 2021 not one first 2021 2020, FY 2021 FY 2020 Volatility 56.0 % 30.5 % Risk-free rate of return 0.14 % 1.72 % Dividend yield 3.26 % 3.97 % Our unrecognized compensation expense as of September 30, 2020, |
Note 15 - Segment Information
Note 15 - Segment Information | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | ( 15 Our operating segments are aligned with how the Company, including our chief operating decision maker, manages the business. As such, our reportable operating segments are the Wholesale segment and the Retail segment. Our wholesale and retail operating segments represent strategic business areas of our vertically integrated enterprise that operate separately and provide their own distinctive services. This vertical structure enables us to offer our complete line of home furnishings and accents more effectively while controlling quality and cost. We evaluate performance of the respective segments based upon revenues and operating income. Inter-segment transactions result, primarily, from the wholesale sale of inventory to the retail segment, including the related profit margin. As of September 30, 2020, third three September 30, 2020. Segment information for the three September 30, 2020 2019 Three months ended September 30, 2020 2019 Net sales Wholesale segment $ 97,334 $ 101,329 Retail segment 118,081 137,266 Elimination of intercompany sales (64,357 ) (64,674 ) Consolidated total $ 151,058 $ 173,921 Income before income taxes Wholesale segment $ 13,138 $ 16,928 Retail segment 1,983 1,564 Elimination of intercompany profit (a) (3,440 ) 149 Operating income 11,681 18,641 Interest (expense), net of interest income (440 ) 19 Consolidated total $ 11,241 $ 18,660 Depreciation and amortization Wholesale segment $ 1,704 $ 1,890 Retail segment 2,436 2,086 Consolidated total $ 4,140 $ 3,976 Capital expenditures Wholesale segment $ 1,042 $ 1,163 Retail segment 1,397 2,251 Consolidated total $ 2,439 $ 3,414 (a) Represents the change in wholesale profit contained in the retail segment inventory at the end of the period. (in thousands) September 30, June 30, Total Assets 2020 2020 Wholesale segment $ 244,572 $ 255,011 Retail segment 404,705 390,635 Inventory profit elimination (a) (26,756 ) (22,857 ) Consolidated total $ 622,521 $ 622,789 (a) Represents the wholesale profit contained in the retail segment inventory that has not |
Note 16 - Commitments and Conti
Note 16 - Commitments and Contingencies | 3 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 16 Commitments represent obligations, such as those for future purchases of goods or services that are not June 30, 2020, September 2020 no first three 2021. We are routinely party to various legal proceedings, claims, lawsuits and regulatory examinations that have arisen in the ordinary course of our business, including employment matters, commercial and intellectual property disputes and environmental items. The outcome of litigation and other legal matters is always uncertain. We believe that the Company has valid defenses to the legal matters currently pending against it, is defending itself vigorously and has recorded accruals determined in accordance with GAAP, where appropriate. On a quarterly basis, we review our litigation activities and determine if an unfavorable outcome to us is considered “remote”, “reasonably possible” or “probable” as defined by ASC 450, Contingen cies. may may not not not one September 30, 2020, Environmental items typically involve investigations and proceedings concerning air emissions, hazardous waste discharges, and/or management of solid and hazardous wastes. Under applicable environmental laws and regulations, we and/or our subsidiaries are, or may |
Note 4 - Revenue Recognition (T
Note 4 - Revenue Recognition (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Wholesale Retail Total Upholstery (1) $ 52,735 $ 57,685 $ 110,420 Case goods (2) 28,739 32,918 61,657 Accents (3) 17,196 24,313 41,509 Other (4) (1,336 ) 3,165 1,829 Total before intercompany eliminations $ 97,334 $ 118,081 215,415 Intercompany eliminations (5) (64,357 ) Consolidated net sales $ 151,058 Wholesale Retail Total Upholstery (1) $ 50,020 $ 63,236 $ 113,256 Case goods (2) 34,029 38,760 72,789 Accents (3) 17,997 29,982 47,979 Other (4) (717 ) 5,288 4,571 Total before intercompany eliminations $ 101,329 $ 137,266 238,595 Intercompany eliminations (5) (64,674 ) Consolidated net sales $ 173,921 |
Note 6 - Inventories (Tables)
Note 6 - Inventories (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | September 30, June 30, 2020 2020 Finished goods $ 100,477 $ 97,718 Work in process 8,737 9,589 Raw materials 20,373 21,343 Inventory reserves (2,540 ) (2,549 ) Inventories, net $ 127,047 $ 126,101 |
Note 8 - Leases (Tables)
Note 8 - Leases (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Lease, Cost [Table Text Block] | September 30, 2020 2019 Weighted-average remaining lease term (in years) Operating leases 6.4 6.7 Financing leases 1.6 1.8 Weighted-average discount rate Operating leases 4.2 % 3.7 % Financing leases 4.4 % 4.6 % Three months ended September 30, Statement of Comprehensive Income Location 2020 2019 Operating lease cost (1) Selling, general and administrative (“SG&A”) $ 7,492 $ 8,022 Financing lease cost Depreciation of property SG&A 151 146 Interest on lease liabilities Interest (expense), net of interest income 5 9 Short-term lease cost ( 2 ) SG&A 159 387 Variable lease cost ( 3 ) SG&A 2,262 2,463 Less: Sublease income SG&A (438 ) (506 ) Total lease expense $ 9,631 $ 10,521 |
Lessee, Leases, Liability, Maturity [Table Text Block] | Fiscal Year Operating Leases Financing Leases 2021 (remaining nine months) $ 24,305 $ 306 2022 28,720 78 2023 22,333 39 2024 17,484 19 2025 13,952 8 Thereafter 39,581 - Total undiscounted future minimum lease payments (1)( 2 ) 146,375 450 Less: imputed interest ( 3 ) (19,515 ) (13 ) Total present value of lease obligations $ 126,860 $ 437 |
Lease, Supplemental Lease Information [Table Text Block] | Three months ended September 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 8,390 $ 8,851 Operating cash flows from financing leases $ 148 $ 147 Operating lease assets obtained in exchange for new operating lease liabilities $ 4,477 $ 6,916 |
Note 10 - Debt (Tables)
Note 10 - Debt (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | September 30, June 30, 2020 2020 Borrowings under revolving credit facility $ - $ 50,000 Less current maturities - - Total long-term debt $ - $ 50,000 |
Note 11 - Restructuring and O_2
Note 11 - Restructuring and Other Impairment Activities (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Restructuring and Related Costs [Table Text Block] | Three months ended September 30, 2020 2019 Optimization of manufacturing and logistics $ - $ 640 Gain on sale of Passaic property - (11,497 ) Impairment of long-lived assets (retail) 623 - Total Restructuring and other impairment charges, net of gains $ 623 $ (10,857 ) Manufacturing overhead costs (1) - 1,052 Inventory write-downs (1) - 3,088 Total $ 623 $ (6,717 ) |
Note 12 - Earnings Per Share (T
Note 12 - Earnings Per Share (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three months ended September 30, 2020 2019 Weighted average shares outstanding for basic calculation 25,179 26,713 Dilutive effect of stock options and other share-based awards 27 37 Weighted average shares outstanding adjusted for dilution calculation 25,206 26,750 |
Note 13 - Accumulated Other C_2
Note 13 - Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | 2020 2019 Beginning balance at July 1 $ (8,441 ) $ (5,651 ) Other comprehensive income (loss), net of tax 547 (506 ) Less AOCI attributable to noncontrolling interests 9 7 Ending balance at September 30 $ (7,885 ) $ (6,150 ) |
Note 14 - Share-based Compens_2
Note 14 - Share-based Compensation (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Share-based Payment Award, Performance Stock Units, Valuation Assumptions [Table Text Block] | FY 2021 FY 2020 Volatility 56.0 % 30.5 % Risk-free rate of return 0.14 % 1.72 % Dividend yield 3.26 % 3.97 % |
Note 15 - Segment Information (
Note 15 - Segment Information (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three months ended September 30, 2020 2019 Net sales Wholesale segment $ 97,334 $ 101,329 Retail segment 118,081 137,266 Elimination of intercompany sales (64,357 ) (64,674 ) Consolidated total $ 151,058 $ 173,921 Income before income taxes Wholesale segment $ 13,138 $ 16,928 Retail segment 1,983 1,564 Elimination of intercompany profit (a) (3,440 ) 149 Operating income 11,681 18,641 Interest (expense), net of interest income (440 ) 19 Consolidated total $ 11,241 $ 18,660 Depreciation and amortization Wholesale segment $ 1,704 $ 1,890 Retail segment 2,436 2,086 Consolidated total $ 4,140 $ 3,976 Capital expenditures Wholesale segment $ 1,042 $ 1,163 Retail segment 1,397 2,251 Consolidated total $ 2,439 $ 3,414 (in thousands) September 30, June 30, Total Assets 2020 2020 Wholesale segment $ 244,572 $ 255,011 Retail segment 404,705 390,635 Inventory profit elimination (a) (26,756 ) (22,857 ) Consolidated total $ 622,521 $ 622,789 |
Note 1 - Organization and Nat_2
Note 1 - Organization and Nature of Business (Details Textual) - USD ($) $ / shares in Units, $ in Millions | Aug. 04, 2020 | Sep. 30, 2020 | Jun. 30, 2020 |
Common Stock, Dividends, Per Share, Declared (in dollars per share) | $ 0.21 | ||
Revolving Credit Facility [Member] | The Facility [Member] | |||
Repayments of Long-term Lines of Credit | $ 50 | $ 50 |
Note 2 - Interim Basis of Pre_2
Note 2 - Interim Basis of Presentation (Details Textual) | 3 Months Ended |
Sep. 30, 2020 | |
Number of Reportable Segments | 2 |
Note 4 - Revenue Recognition (D
Note 4 - Revenue Recognition (Details Textual) - USD ($) $ in Millions | 3 Months Ended | |
Sep. 30, 2020 | Jun. 30, 2020 | |
Contract with Customer, Asset, after Allowance for Credit Loss, Current, Total | $ 14.1 | |
Contract with Customer, Liability, Total | 89.3 | $ 62.6 |
Contract with Customer, Liability, Revenue Recognized | $ 46.5 |
Note 4 - Revenue Recognition -
Note 4 - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Revenues | $ 151,058 | $ 173,921 | |
Operating Segments [Member] | |||
Revenues | 215,415 | 238,595 | |
Operating Segments [Member] | Upholstery Furniture [Member] | |||
Revenues | [1] | 110,420 | 113,256 |
Operating Segments [Member] | Case Goods Furniture [Member] | |||
Revenues | [2] | 61,657 | 72,789 |
Operating Segments [Member] | Accent [Member] | |||
Revenues | [3] | 41,509 | 47,979 |
Operating Segments [Member] | Manufactured Product, Other [Member] | |||
Revenues | [4] | 1,829 | 4,571 |
Intersegment Eliminations [Member] | |||
Revenues | [5] | (64,357) | (64,674) |
Wholesale Segment [Member] | |||
Revenues | |||
Wholesale Segment [Member] | Operating Segments [Member] | |||
Revenues | 97,334 | 101,329 | |
Wholesale Segment [Member] | Operating Segments [Member] | Upholstery Furniture [Member] | |||
Revenues | [1] | 52,735 | 50,020 |
Wholesale Segment [Member] | Operating Segments [Member] | Case Goods Furniture [Member] | |||
Revenues | [2] | 28,739 | 34,029 |
Wholesale Segment [Member] | Operating Segments [Member] | Accent [Member] | |||
Revenues | [3] | 17,196 | 17,997 |
Wholesale Segment [Member] | Operating Segments [Member] | Manufactured Product, Other [Member] | |||
Revenues | [4] | (1,336) | (717) |
Wholesale Segment [Member] | Intersegment Eliminations [Member] | |||
Revenues | |||
Retail Segment [Member] | |||
Revenues | |||
Retail Segment [Member] | Operating Segments [Member] | |||
Revenues | 118,081 | 137,266 | |
Retail Segment [Member] | Operating Segments [Member] | Upholstery Furniture [Member] | |||
Revenues | [1] | 57,685 | 63,236 |
Retail Segment [Member] | Operating Segments [Member] | Case Goods Furniture [Member] | |||
Revenues | [2] | 32,918 | 38,760 |
Retail Segment [Member] | Operating Segments [Member] | Accent [Member] | |||
Revenues | [3] | 24,313 | 29,982 |
Retail Segment [Member] | Operating Segments [Member] | Manufactured Product, Other [Member] | |||
Revenues | [4] | 3,165 | 5,288 |
Retail Segment [Member] | Intersegment Eliminations [Member] | |||
Revenues | |||
[1] | Upholstery furniture includes fabric-covered items such as sleepers, recliners and other motion furniture, chairs, ottomans, custom pillows, sofas, loveseats, cut fabrics and leather. | ||
[2] | Case goods furniture includes items such as beds, dressers, armoires, tables, chairs, buffets, entertainment units, home office furniture and wooden accents. | ||
[3] | Accents includes items such as window treatments and drapery hardware, wall decor, florals, lighting, clocks, mattresses, bedspreads, throws, pillows, decorative accents, area rugs, wall coverings and home and garden furnishings. | ||
[4] | Other includes membership revenue, product delivery sales, the Ethan Allen Hotel room rentals and banquets, sales of third-party furniture protection plans and other miscellaneous product sales less prompt payment discounts, sales allowances and other incentives. | ||
[5] | Intercompany eliminations represents the elimination of all intercompany wholesale segment sales to the retail segment during the period presented. |
Note 5 - Fair Value Measureme_2
Note 5 - Fair Value Measurements (Details Textual) $ in Thousands | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Asset Impairment Charges, Total | $ 600 |
Debt Securities, Available-for-sale, Total | 0 |
Long-term Debt, Fair Value | $ 50,000 |
Note 6 - Inventories - Schedule
Note 6 - Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Finished goods | $ 100,477 | $ 97,718 |
Work in process | 8,737 | 9,589 |
Raw materials | 20,373 | 21,343 |
Inventory reserves | (2,540) | (2,549) |
Inventories, net | $ 127,047 | $ 126,101 |
Note 7 - Goodwill and Intangi_2
Note 7 - Goodwill and Intangible Assets (Details Textual) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Goodwill, Ending Balance | $ 25,388 | $ 25,388 |
Other Indefinite-lived Intangible Assets | $ 19,700 |
Note 8 - Leases (Details Textua
Note 8 - Leases (Details Textual) $ in Millions | Sep. 30, 2020USD ($) |
Short-term Lease Commitment, Amount | $ 0.5 |
Lessee, Operating Lease, Lease Not yet Commenced, Payments, Due | $ 3.2 |
Minimum [Member] | |
Lessee, Finance Lease, Term of Contract (Year) | 3 years |
Maximum [Member] | |
Lessee, Finance Lease, Term of Contract (Year) | 5 years |
Lessee, Operating Lease, Lease Not yet Commenced, Term of Contract (Year) | 10 years |
Note 8 - Leases - Lease Costs (
Note 8 - Leases - Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Operating leases (Year) | 6 years 4 months 24 days | 6 years 8 months 12 days | |
Financing leases (Year) | 1 year 7 months 6 days | 1 year 9 months 18 days | |
Operating leases | 4.20% | 3.70% | |
Financing leases | 4.40% | 4.60% | |
Total lease expense | $ 9,631 | $ 10,521 | |
Selling, General and Administrative Expenses [Member] | |||
Operating lease cost(1) | [1] | 7,492 | 8,022 |
Depreciation of property | 151 | 146 | |
Short-term lease cost(2) | 159 | 387 | |
Variable lease cost(3) | [2] | 2,262 | 2,463 |
Less: Sublease income | (438) | (506) | |
Interest Income [Member] | |||
Interest on lease liabilities | $ 5 | $ 9 | |
[1] | Lease expense for operating leases consists of both fixed and variable components. Expense related to fixed lease payments are recognized on a straight-line basis over the lease term. | ||
[2] | Variable lease payments are generally expensed as incurred, where applicable, and include certain index-based changes in rent, certain non-lease components, such as maintenance, real estate taxes, incurance and other services provided by the lessor, and other charges included in the lease. |
Note 8 - Leases - Future Minimu
Note 8 - Leases - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
2021 (remaining nine months) | $ 24,305 | ||
2021 (remaining nine months) | 306 | ||
2022 | 28,720 | ||
2022 | 78 | ||
2023 | 22,333 | ||
2023 | 39 | ||
2024 | 17,484 | ||
2024 | 19 | ||
2025 | 13,952 | ||
2025 | 8 | ||
Thereafter, operating leases | 39,581 | ||
Thereafter, finance leases | 0 | ||
Total undiscounted future minimum lease payments, operating leases | [1],[2] | 146,375 | |
Total undiscounted future minimum lease payments, finance leases | [1],[2] | 450 | |
Less: imputed interest, operating leases | [3] | (19,515) | |
Less: imputed interest, finance leases | [3] | (13) | |
Total present value of lease obligations, operating leases | 126,860 | $ 149,700 | |
Total present value of lease obligations, finance leases | $ 437 | ||
[1] | Certain operating leases have renewal options and rent escalation clauses as well as various purchase options. We assess these options to determine if we are reasonably certain of exercising these options based on all relevant economic and financial factors. Any options that meet these criteria are included in the lease term at lease commencement. | ||
[2] | Excludes future commitments under short-term lease agreements of $0.5 million as of September 30, 2020 as leases with an initial term of twelve months or less are not recorded on the balance sheet. | ||
[3] | Calculated using the incremental borrowing rate for each lease at lease commencement. |
Note 8 - Leases - Supplemental
Note 8 - Leases - Supplemental Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Operating cash flows from operating leases | $ 8,390 | $ 8,851 |
Operating cash flows from financing leases | 148 | 147 |
Operating lease assets obtained in exchange for new operating lease liabilities | $ 4,477 | $ 6,916 |
Note 9 - Income Taxes (Details
Note 9 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Expense (Benefit), Total | $ 1,888 | $ 4,554 |
Effective Income Tax Rate Reconciliation, Percent, Total | 16.80% | 24.40% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ (900) | |
Unrecognized Tax Benefits, Ending Balance | 2,000 | |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 1,900 | |
Decrease in Unrecognized Tax Benefits is Reasonably Possible | $ 400 |
Note 10 - Debt (Details Textual
Note 10 - Debt (Details Textual) - The Facility [Member] - USD ($) $ in Millions | Dec. 21, 2018 | Mar. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 |
Revolving Credit Facility [Member] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 165 | ||||
Debt Issuance Costs, Net, Total | 0.6 | ||||
Proceeds from Long-term Lines of Credit | $ 100 | ||||
Repayments of Long-term Lines of Credit | $ 50 | $ 50 | |||
Interest Expense, Debt, Total | 0.3 | $ 0.1 | |||
Debt Covenant, Fixed Charge Coverage Ratio, Maximum Unused Availability | $ 18.5 | ||||
Debt Instrument, Covenant, Minimum Fixed Charge Coverage Ratio | 1 | ||||
Line of Credit Facility, Remaining Borrowing Capacity | 104.5 | 58.9 | |||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | ||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||||
Revolving Credit Facility [Member] | Fed Funds Effective Rate Overnight Index Swap Rate [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | ||||
Revolving Credit Facility [Member] | Additional Margin on Variable Rate Option [Member] | Minimum [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | ||||
Revolving Credit Facility [Member] | Additional Margin on Variable Rate Option [Member] | Maximum [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||||
Standby Letters of Credit [Member] | |||||
Letters of Credit Outstanding, Amount | $ 5 | $ 5.8 |
Note 10 - Debt - Total Debt Obl
Note 10 - Debt - Total Debt Obligations (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Borrowings under revolving credit facility | $ 0 | $ 50,000 |
Less current maturities | 0 | 0 |
Total long-term debt | $ 0 | $ 50,000 |
Note 11 - Restructuring and O_3
Note 11 - Restructuring and Other Impairment Activities (Details Textual) $ in Millions | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Asset Impairment Charges, Total | $ 0.6 |
Retail Segment [Member] | |
Asset Impairment Charges, Total | $ 0.6 |
Note 11 - Restructuring and O_4
Note 11 - Restructuring and Other Impairment Activities - Schedule of Restructuring, Impairments and Other Related Charges (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Total Restructuring and other impairment charges, net of gains | $ 623 | $ (10,857) | |
Total | 623 | (6,717) | |
Optimization of Manufacturing and Logistics [Member] | |||
Restructuring Charge | 0 | 640 | |
Facility Closing, Passaic [Member] | |||
Gain on sale of Passaic property | 0 | (11,497) | |
Impairments of Long-lived Assets [Member] | |||
Restructuring Charge | 623 | 0 | |
Restructuring, Impairment, and Other Related Charges [Member] | |||
Total Restructuring and other impairment charges, net of gains | 623 | (10,857) | |
Manufacturing Overhead Costs [Member] | |||
Manufacturing overhead costs(1) | [1] | 0 | 1,052 |
Inventory Write-downs [Member] | |||
Inventory write-downs(1) | [1] | $ 0 | $ 3,088 |
[1] | Manufacturing overhead costs and inventory write-downs are reported within Cost of Sales in the consolidated statements of comprehensive income. |
Note 12 - Earnings Per Share (D
Note 12 - Earnings Per Share (Details Textual) - shares | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Payment Arrangement, Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 437,449 | 232,914 |
Performance Shares [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 316,445 | 287,287 |
Note 12 - Earnings Per Share -
Note 12 - Earnings Per Share - Calculation of Weighted Average Shares (Details) - shares shares in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Weighted average shares outstanding for basic calculation (in shares) | 25,179 | 26,713 |
Dilutive effect of stock options and other share-based awards (in shares) | 27 | 37 |
Weighted average shares outstanding adjusted for dilution calculation (in shares) | 25,206 | 26,750 |
Note 13 - Accumulated Other C_3
Note 13 - Accumulated Other Comprehensive Income (Loss) - Activity in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Balance | $ 328,064 | $ 363,929 |
Other comprehensive income (loss), net of tax | 547 | (506) |
Balance | 332,931 | 370,503 |
AOCI Attributable to Parent [Member] | ||
Balance | (8,441) | (5,651) |
Other comprehensive income (loss), net of tax | 556 | (499) |
Balance | (7,885) | (6,150) |
AOCI Including Portion Attributable to Noncontrolling Interest [Member] | ||
Other comprehensive income (loss), net of tax | 547 | (506) |
Less AOCI attributable to noncontrolling interests | $ 9 | $ 7 |
Note 14 - Share-based Compens_3
Note 14 - Share-based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | |
Share-based Payment Arrangement, Amount Capitalized | $ 0 | $ 0 | |
Share-based Payment Arrangement, Option [Member] | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 300 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 4 months 24 days | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 800 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 9 months 18 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 38,000 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value (in dollars per share) | $ 9.58 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 2 years | ||
Performance Shares [Member] | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 1,200 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 4 months 24 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 117,338 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Target Financial Performance | 80.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Target Market-based Condition | 20.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Target Performance Period (Year) | 3 years | ||
Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares) | 0 | 0 | |
Stock Option Plan 1992 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in shares) | 1,301,305 | ||
Selling, General and Administrative Expenses [Member] | |||
Share-based Payment Arrangement, Expense | $ 300 | $ 200 |
Note 14 - Share-based Compens_4
Note 14 - Share-based Compensation - Performance Unit Awards, Valuation Assumptions (Details) - Performance Shares [Member] | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Volatility | 56.00% | 30.50% |
Risk-free rate of return | 0.14% | 1.72% |
Dividend yield | 3.26% | 3.97% |
Note 15 - Segment Information_2
Note 15 - Segment Information (Details Textual) | 3 Months Ended |
Sep. 30, 2020 | |
Number of Company Operated Design Centers | 144 |
Number of Independently Operated Design Centers | 157 |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Retail Segment [Member] | |
Concentration Risk, Percentage | 78.00% |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Wholesale Segment [Member] | |
Concentration Risk, Percentage | 22.00% |
Note 15 - Segment Information -
Note 15 - Segment Information - Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2020 | ||
Net sales | $ 151,058 | $ 173,921 | ||
Operating Income | 11,681 | 18,641 | ||
Interest (expense), net of interest income | (440) | 19 | ||
Consolidated total | 11,241 | 18,660 | ||
Depreciation and amortization | 4,140 | 3,976 | ||
Capital Expenditures | 2,439 | 3,414 | ||
Assets | 622,521 | $ 622,789 | ||
Operating Segments [Member] | ||||
Net sales | 215,415 | 238,595 | ||
Intersegment Eliminations [Member] | ||||
Net sales | [1] | (64,357) | (64,674) | |
Operating Income | [2] | (3,440) | 149 | |
Wholesale Segment [Member] | ||||
Net sales | ||||
Depreciation and amortization | 1,704 | 1,890 | ||
Capital Expenditures | 1,042 | 1,163 | ||
Assets | 244,572 | 255,011 | ||
Wholesale Segment [Member] | Operating Segments [Member] | ||||
Net sales | 97,334 | 101,329 | ||
Operating Income | 13,138 | 16,928 | ||
Wholesale Segment [Member] | Intersegment Eliminations [Member] | ||||
Net sales | ||||
Assets | [3] | (26,756) | (22,857) | |
Retail Segment [Member] | ||||
Net sales | ||||
Depreciation and amortization | 2,436 | 2,086 | ||
Capital Expenditures | 1,397 | 2,251 | ||
Assets | 404,705 | $ 390,635 | ||
Retail Segment [Member] | Operating Segments [Member] | ||||
Net sales | 118,081 | 137,266 | ||
Operating Income | 1,983 | 1,564 | ||
Retail Segment [Member] | Intersegment Eliminations [Member] | ||||
Net sales | ||||
[1] | Intercompany eliminations represents the elimination of all intercompany wholesale segment sales to the retail segment during the period presented. | |||
[2] | Represents the change in wholesale profit contained in the retail segment inventory at the end of the period. | |||
[3] | Represents the wholesale profit contained in the retail segment inventory that has not yet been realized. These profits are realized when the related inventory is sold. |
Note 16 - Commitments and Con_2
Note 16 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2020 | |
Contractual Obligation, Total | $ 233,400 | ||
Operating Lease, Liability, Total | $ 126,860 | 149,700 | |
Long-term Debt, Total | 50,000 | ||
Purchase Obligation, Total | $ 32,900 | ||
Repayments of Long-term Debt, Total | 50,000 | $ 0 | |
Operating Lease, Payments | 8,390 | $ 8,851 | |
Revolving Credit Facility [Member] | The Facility [Member] | |||
Repayments of Long-term Debt, Total | $ 50,000 |