eth20250930_10q.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2025

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission File Number: 1-11692

Ethan Allen Interiors Inc.

(Exact name of registrant as specified in its charter)

Delaware		06-1275288
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

25 Lake Avenue Ext., Danbury, Connecticut		06811-5286
(Address of principal executive offices)		(Zip Code)

(203) 743-8000

(Registrant's telephone number, including area code)

None

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock, $0.01 par value		ETD		New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☒	Accelerated filer ☐
Non-accelerated filer ☐	Smaller reporting company ☐
Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date:

The number of shares outstanding of the registrant’s common stock, $0.01 par value, as of October 22, 2025, was 25,446,339.

ETHAN ALLEN INTERIORS INC.

FORM 10-Q FIRST QUARTER OF FISCAL 2026

TABLE OF CONTENTS

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements	2

CONSOLIDATED BALANCE SHEETS	2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)	3

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)	4

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (Unaudited)	5

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)	6

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	18

Item 3. Quantitative and Qualitative Disclosures About Market Risk	28

Item 4. Controls and Procedures	30

PART II - OTHER INFORMATION

Item 1. Legal Proceedings	31

Item 1A. Risk Factors	31

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	31

Item 3. Defaults Upon Senior Securities	31

Item 4. Mine Safety Disclosures	31

Item 5. Other Information	31

Item 6. Exhibits	32

SIGNATURES	33

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

ETHAN ALLEN INTERIORS INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands, except par value)

	September 30, 2025			June 30, 2025
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	73,648		$	76,178
Investments, short-term		49,985			59,955
Accounts receivable, net		5,692			6,066
Inventories, net		139,921			140,893
Prepaid expenses and other current assets		30,094			26,841
Total current assets		299,340			309,933

Property, plant and equipment, net		208,458			210,238
Goodwill		25,388			25,388
Intangible assets		19,740			19,740
Operating lease right-of-use assets		111,585			109,173
Deferred income taxes		364			369
Investments, long-term		70,045			60,030
Other assets		2,186			2,228
TOTAL ASSETS	$	737,106		$	737,099

LIABILITIES
Current liabilities:
Accounts payable and accrued expenses	$	25,303		$	22,137
Customer deposits		77,171			75,068
Accrued compensation and benefits		21,153			23,625
Current operating lease liabilities		26,873			27,403
Other current liabilities		7,044			4,618
Total current liabilities		157,544			152,851
Operating lease liabilities, long-term		98,494			96,263
Deferred income taxes		2,178			2,054
Other long-term liabilities		3,501			3,662
TOTAL LIABILITIES		261,717			254,830

Commitments and contingencies (see Note 18)
SHAREHOLDERS' EQUITY
Preferred stock, $0.01 par value; 1,055 shares authorized; none issued		-			-
Common stock, $0.01 par value, 150,000 shares authorized, 49,717 and 49,640 shares issued; 25,446 and 25,432 shares outstanding at September 30, 2025 and June 30, 2025, respectively		497			496
Additional paid-in capital		389,965			389,672
Treasury stock, at cost: 24,271 and 24,208 shares at September 30, 2025 and June 30, 2025, respectively		(688,849	)		(687,003	)
Retained earnings		778,966			784,878
Accumulated other comprehensive loss		(5,103	)		(5,688	)
Total Ethan Allen Interiors Inc. shareholders' equity		475,476			482,355
Noncontrolling interests		(87	)		(86	)
TOTAL SHAREHOLDERS' EQUITY		475,389			482,269
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	737,106		$	737,099

See accompanying notes to consolidated financial statements.

ETHAN ALLEN INTERIORS INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)

(In thousands, except per share data)

	Three months ended
	September 30,
	2025		2024
Net sales	$	146,984	$	154,337
Cost of sales		56,786		60,468
Gross profit		90,198		93,869

Selling, general and administrative expenses		79,697		76,072
Restructuring and other charges, net of gains		534		232
Operating income		9,967		17,565

Interest and other income, net		4,098		2,198
Interest and other financing costs

SEC Form 10-Q filed by Ethan Allen Interiors Inc.