Ethan Allen Interiors (NYSE:ETD) Q4 2023 Earnings Conference Call August 2, 2023 5:00 PM ET

Company Participants

Matt McNulty - Senior Vice President and Chief Financial Officer

Farooq Kathwari - Chairman, President, Chief Executive Officer

Conference Call Participants

Brad Thomas - KeyBanc Capital Markets

Cristina Fernández - Telsey Advisory Group

Operator

Good afternoon, and welcome to the Ethan Allen Fiscal 2023 Fourth Quarter Analyst Conference Call. A question-and-answer session will follow the prepared remarks. [Operator Instructions] Please note this conference is being recorded.

It is now my pleasure to introduce your host, Matt McNulty, Senior Vice President, Chief Financial Officer and Treasurer. Thank you. You may begin.

Matt McNulty

Thank you, Darryl. Good afternoon and thank you for joining us today to discuss Ethan Allen's fiscal 2023 and fourth quarter results. With me today is Farooq Kathwari, our Chairman, President, and CEO. Mr. Kathwari will open and close our prepared remarks, while I will speak to our financial performance midway through. After our prepared remarks, we will then open the call for your questions.

Before we begin, I'd like to remind the audience that this call is being recorded and webcast live under the News and Events tab on the Investor Relations page of our ethanallen.com website. There you will find a copy of our press release, which contains reconciliations of non-GAAP financial measures referred to in this release and on this call. A replay of today's call will also be made available via phone and on our website.

Our comments today may include forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially. Please refer to our SEC filings for a complete review of those risks. The company assumes no obligation to update or revise any forward-looking matters discussed during this call.

With that, I'm pleased to now turn the call over to Mr. Kathwari.

Farooq Kathwari

Thanks Matt. Thank you for participating in our fiscal 2023 and fourth quarter financial and operating results. As we reported, we had strong financial results for our fiscal year and fourth quarter ended June 30, 2023.

For the year, sales of $791.4 million, gross margin of 60.7%, adjusted operating income of $133.5 million, which is 16.9% of sales and adjusted earnings per share of $4.03 compared to $3.93 in the previous year.

Our fiscal fourth quarter was also strong with adjusted operating income of $30.6 million for an operating margin of 16.3%. We have continued to generate strong cash and as of June 30, 2023 had cash and investments of $172.7 million and no debt.