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BSET Gears Up to Report Q1 Earnings: Here's What You Should Know

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Bassett Furniture Industries, Incorporated (BSET - Free Report) is set to report its first-quarter fiscal 2025 results on April 2, after market close.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

In the last reported quarter, the company’s earnings surpassed the Zacks Consensus Estimate by 660% and increased 153.3% year over year. Net sales topped the consensus mark by 1.8% but decreased 11% from the prior-year’s level.

How are Estimates Placed for BSET’s Q1?

The Zacks Consensus Estimate for Bassett’s fiscal first-quarter earnings per share has remained unchanged at 2 cents over the past 30 days. The estimated figure indicates a 114.3% increase from the year-ago reported figure.

The consensus mark for revenues is pegged at $79.2 million, indicating a year-over-year decline of 8.5%.

Factors to Shape Up BSET’s Q1 Results

Bassett's top line is expected to have declined year over year in the fiscal first quarter due to the impact of a difficult sales environment for home furnishings, owing to the continued weakness in the U.S. housing market. Also, fluctuations in mortgage rates are likely to have added pressure to consumer spending and further slowed demand for home furnishings.

However, its focus on driving organic growth through Bassett-branded retail locations, along with new product offerings, e-commerce expansion and marketing improvements, is likely to have aided performance in the to-be-reported quarter.

Furthermore, the company has made significant progress on its restructuring plan. The plan focuses on reducing costs, strengthening operations, and driving long-term revenue growth and profitability. As part of this strategy, Bassett has been reducing expenses and investing in new products and services to improve its bottom line.

What Our Quantitative Model Predicts About BSET

Our proven model does not conclusively predict an earnings beat for Bassett this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here, as you will see below.

Earnings ESP of BSET: The company has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

BSET’s Zacks Rank: Bassett currently carries a Zacks Rank #4 (Sell).

Stocks With Favorable Combinations

Here are some companies in the Zacks Consumer Discretionary sector, which, according to our model, have the right combination of elements to beat on earnings in their respective quarters to be reported.

MGM Resorts International (MGM - Free Report) currently has an Earnings ESP of +28.62% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

MGM's earnings for the to-be-reported quarter are expected to decline 28.4% year over year. The company reported an earnings beat in the trailing three quarters and missed once, the average surprise being 21.8%.

Hilton Worldwide Holdings Inc. (HLT - Free Report) has an Earnings ESP of +1.17% and a Zacks Rank of 3 at present.

HLT reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 5.1%. The company’s earnings for the to-be-reported quarter are expected to grow 5.2% year over year.

Choice Hotels International, Inc. (CHH - Free Report) has an Earnings ESP of +1.32% and a Zacks Rank of 3 at present.

CHH reported better-than-expected earnings in three of the trailing four quarters and missed once, the average surprise being 7.5%. The company’s earnings for the to-be-reported quarter are expected to grow 8.6% year over year.

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