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Item 1. Financial Statements

2024-10-10 compared with 2024-07-11 · 136 added, 77 removed, 358 unchanged (37% of the section changed)

2 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE PERIODS ENDED JUNE 1, 2024 AND MAY 27, 2023 – UNAUDITED

FOR THE PERIODS ENDED AUGUST 31, 2024 AND AUGUST 26, 2023 – UNAUDITED

(In thousands)

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

Operating activities:

33 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

9 unchanged sentences

The current fiscal year ending November 30, 2024 is a 53-week year, with the additional week being included in our first fiscal quarter.

Accordingly, the information presented below includes 27 weeks of operations for the six months ended June 1, 2024 as compared with 26 weeks included in the six months ended May 27, 2023.

Accordingly, the information presented below includes 40 weeks of operations for the nine months ended August 31, 2024 as compared with 39 weeks included in the nine months ended August 26, 2023.

Certain prior year amounts in the consolidated financial statements have been reclassified to conform to the current year presentation with no effect on previously reported net income or Stockholders' equity.

Interim Financial Presentation and Other Information

All intercompany accounts and transactions have been eliminated in the condensed consolidated financial statements.

The results of operations for the three and six months ended June 1, 2024 are not necessarily indicative of results for the full fiscal year.

The results of operations for the three and nine months ended August 31, 2024 are not necessarily indicative of results for the full fiscal year.

These interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended November 25, 2023.

1 unchanged sentence

Any change in annual projections of pretax income or loss could have a significant impact on our effective tax rate for the respective quarter.

Our effective tax rate was 11.2 % and 14.5 % for the three and six months ended June 1, 2024, respectively.

The effective rates for the three and six months ended June 1, 2024 differ from the federal statutory rate of 21 % primarily due to increases in the valuation allowance placed on deferred tax assets associated with Noa Home Inc.

Our effective tax rate was 22.0 % and 17.3 % for the three and nine months ended August 31, 2024, respectively.

The effective rates for the three and nine months ended August 31, 2024 differ from the federal statutory rate of 21 % primarily due to increases in the valuation allowance placed on deferred tax assets associated with Noa Home Inc.

(“Noa Home”), the effects of state income taxes and various permanent differences.

Our effective tax rate was 18.4 % and 27.1 % for the three and six months ended May 27, 2023, respectively.

The effective rates for the three and six months ended May 27, 2023 differ from the federal statutory rate of 21 % primarily due to the non-taxable gain on revaluation of contingent consideration associated with the acquisition of Noa Home (see Note 9), increases in the valuation allowance placed on deferred tax assets associated with Noa Home and the effects of state income taxes and various permanent differences.

Our effective tax rate was 18.8 % and 43.3 % for the three and nine months ended August 26, 2023, respectively.

The effective rates for the three and nine months ended August 26, 2023 differ from the federal statutory rate of 21 % primarily due to the non-taxable gain on revaluation of contingent consideration associated with the acquisition of Noa Home (see Note 9), increases in the valuation allowance placed on deferred tax assets associated with Noa Home and the effects of state income taxes and various permanent differences.

Non-cash Investing and Financing Activity

During the six months ended June 1, 2024 and May 27, 2023, $ 3,476 and $ 3,881 , respectively, of lease right-of-use assets were added through the recognition of the corresponding lease obligations.

During the nine months ended August 31, 2024 and August 26, 2023, $ 3,476 and $ 6,026 , respectively, of lease right-of-use assets were added through the recognition of the corresponding lease obligations.

PART I-FINANCIAL INFORMATION-CONTINUED

1 unchanged sentence

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

3 unchanged sentences

Because of their short maturities, the carrying amounts of cash and cash equivalents, short-term investments in CDs, accounts receivable, and accounts payable approximate fair value.

Our short-term investments of $ 17,814 and $ 17,775 at June 1, 2024 and November 25, 2023, respectively, consisted of CDs.

At June 1, 2024, the CDs had original terms averaging seven months, bearing interest at rates ranging from 0.7 % to 5.4 % and the weighted average remaining time to maturity was approximately three months and the weighted average yield of the CDs was approximately 4.97 %.

Our short-term investments of $ 17,834 and $ 17,775 at August 31, 2024 and November 25, 2023, respectively, consisted of CDs.

At August 31, 2024, the CDs had original terms averaging seven months, bearing interest at rates ranging from 0.7 % to 5.4 % and the weighted average remaining time to maturity was approximately five months and the weighted average yield of the CDs was approximately 4.69 %.

Each CD is placed with a federally insured financial institution and all deposits are within federal deposit insurance limits.

Due to the nature of these investments and their relatively short maturities, the carrying amount of the short-term investments at June 1, 2024 and November 25, 2023 approximates their fair value.

Due to the nature of these investments and their relatively short maturities, the carrying amount of the short-term investments at August 31, 2024 and November 25, 2023 approximates their fair value.

Accounts Receivable

Accounts receivable consists of the following:

August 31, 2024

November 25, 2023

6 unchanged sentences

Actual credit losses could differ from those estimates.

Activity in the allowance for credit losses for the six months ended June 1, 2024 was as follows:

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Activity in the allowance for credit losses for the nine months ended August 31, 2024 was as follows:

Balance at November 25, 2023

1 unchanged sentence

Write-offs against allowance

Balance at June 1, 2024

Balance at August 31, 2024

We believe that the carrying value of our net accounts receivable approximates fair value.

1 unchanged sentence

Consequently, the inputs are considered to be Level 3 as specified in the fair value hierarchy in ASC Topic 820, Fair Value Measurements and Disclosures .

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

(Dollars in thousands except share and per share data)

Domestic furniture inventories are valued at the lower of cost, which is determined using the last-in, first-out (LIFO) method, or market.

1 unchanged sentence

Inventories were comprised of the following:

August 31, 2024

November 25, 2023

17 unchanged sentences

Retail reserves are based on accessory and clearance floor sample inventory in our stores and any inventory that is not associated with a specific customer order in our retail warehouses.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Activity in the reserves for excess quantities and obsolete inventory by segment are as follows:

2 unchanged sentences

Additions charged to expense

Balance at June 1, 2024

Balance at August 31, 2024

Consists of a $500 reserve established against the retail inventory held by Noa Home due to our decision to cease operations by selling the remaining inventory in an orderly fashion over the next several months.

1 unchanged sentence

We have not made any significant changes to our methodology for determining inventory reserves in 2024 and do not anticipate that our methodology is likely to change in the future.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

(Dollars in thousands except share and per share data)

Goodwill and Other Intangible Assets

Goodwill and other intangible assets consisted of the following:

August 31, 2024

Gross Carrying

10 unchanged sentences

See Note 9 regarding the impairment of the trade name intangible asset for Noa Home.

There were no changes in the carrying amounts of goodwill during the six months ended June 1, 2024.

The carrying amounts of goodwill by reportable segment, including accumulated impairment losses, at both June 1, 2024 and November 25, 2023 were as follows:

Corporate and other

Total goodwill

Amortization expense associated with intangible assets during the three and six months ended June 1, 2024 and May 27, 2023 was as follows:

Quarter Ended

Six Months Ended

Intangible asset amortization expense

There were no changes in the carrying amounts of goodwill during the nine months ended August 31, 2024.

PART I-FINANCIAL INFORMATION-CONTINUED

1 unchanged sentence

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Estimated future amortization expense for intangible assets that exist at June 1, 2024 is as follows:

The carrying amounts of goodwill by reportable segment, including accumulated impairment losses, at both August 31, 2024 and November 25, 2023 were as follows:

Corporate and other

Total goodwill

Amortization expense associated with intangible assets during the three and nine months ended August 31, 2024 and August 26, 2023 was as follows:

Quarter Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Intangible asset amortization expense

Estimated future amortization expense for intangible assets that exist at August 31, 2024 is as follows:

Remainder of fiscal 2024

2 unchanged sentences

This credit facility provides for a line of credit of up to $ 25,000 .

At June 1, 2024, we had $ 6,013 outstanding under standby letters of credit against our line.

At August 31, 2024, we had $ 6,013 outstanding under standby letters of credit against our line.

The line bears interest at the One-Month Term Secured Overnight Financing Rate (“One-Month Term SOFR”) plus 1.75 % and is secured by our accounts receivable and inventory.

Our bank charges a fee of 0.25 % on the daily unused balance of the line, payable quarterly.

Under the terms of the facility, Consolidated Minimum Tangible Net Worth (as defined in the Credit Facility) shall at no time be less than $ 120,000 .

Under the terms of the Credit Facility, Consolidated Minimum Tangible Net Worth (as defined in the Credit Facility) shall at no time be less than $ 120,000 .

In addition, we must maintain the following financial covenants, measured quarterly on a rolling twelve-month basis and commencing as of the end of the first fiscal quarter after the first date that the used commitment (the sum of any outstanding advances plus standby letters of credit) equals or exceeds $ 8,250 :

1 unchanged sentence

Consolidated Lease Adjusted Leverage to EBITDAR Ratio (as defined in the Credit Facility) not to exceed 3.35 times.

Since our used commitment was less than $ 8,250 at June 1, 2024, we were not required to test the Consolidated Fixed Charge Coverage Ratio or the Consolidated Lease Adjusted Leverage to EBITDAR Ratio.

Since our used commitment was less than $ 8,250 at August 31, 2024, we were not required to test the Consolidated Fixed Charge Coverage Ratio or the Consolidated Lease Adjusted Leverage to EBITDAR Ratio.

Had we been required to test those ratios, we would not have been able to achieve the required levels for either of these ratios.

Consequently, our availability under the Credit Facility is currently limited to an additional $2,237.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Post Employment Benefit Obligations

1 unchanged sentence

We have an unfunded Supplemental Retirement Income Plan (the “Supplemental Plan”) that covers one current and certain former executives.

The liability for the Supplemental Plan was $ 5,827 and $ 5,778 as of June 1, 2024 and November 25, 2023, respectively.

The liability for the Supplemental Plan was $ 5,851 and $ 5,778 as of August 31, 2024 and November 25, 2023, respectively.

We also have the Bassett Furniture Industries, Incorporated Management Savings Plan (the “Management Savings Plan”) which was established in the second quarter of fiscal 2017.

3 unchanged sentences

Currently, two of those employees have retired and are receiving benefits.

The liability for the LTC Awards was $ 1,279 and $ 1,234 as of June 1, 2024 and November 25, 2023, respectively.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

(Dollars in thousands except share and per share data)

The liability for the LTC Awards was $ 1,221 and $ 1,234 as of August 31, 2024 and November 25, 2023, respectively.

The combined pension liability for the Supplemental Plan and LTC Awards is recorded as follows in the condensed consolidated balance sheets:

August 31, 2024

November 25, 2023

2 unchanged sentences

Total pension liability

Components of net periodic pension costs for our defined benefit plans for the three and six months ended June 1, 2024 and May 27, 2023 are as follows:

Components of net periodic pension costs for our defined benefit plans for the three and nine months ended August 31, 2024 and August 26, 2023 are as follows:

Quarter Ended

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Interest cost

6 unchanged sentences

This plan has been frozen with no additional participants or deferrals permitted.

Our liability under this plan was $ 1,656 and $ 1,655 as of June 1, 2024 and November 25, 2023, respectively.

Our liability under this plan was $ 1,657 and $ 1,655 as of August 31, 2024 and November 25, 2023, respectively.

We also have an unfunded, nonqualified deferred compensation plan maintained for the benefit of certain highly compensated or management level employees which was established under the Management Savings Plan.

Our liability under this plan, including both accrued Company contributions and participant salary deferrals, was $ 3,117 and $ 2661 as of June 1, 2024 and November 25, 2023, respectively.

Our liability under this plan, including both accrued Company contributions and participant salary deferrals, was $ 3,277 and $ 2661 as of August 31, 2024 and November 25, 2023, respectively.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Our combined liability for all deferred compensation arrangements, including Company contributions and participant deferrals under the Management Savings Plan, is recorded as follows in the condensed consolidated balance sheets:

August 31, 2024

November 25, 2023

2 unchanged sentences

Total deferred compensation liability

We recognized expense under our deferred compensation arrangements during the three and six months ended June 1, 2024 and May 27, 2023 as follows:

We recognized expense under our deferred compensation arrangements during the three and nine months ended August 31, 2024 and August 26, 2023 as follows:

Quarter Ended

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Deferred compensation expense (benefit)

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

(Dollars in thousands except share and per share data)

Other Gains and Losses

During the three and six months ended June 1, 2024, we recognized non-cash charges for asset impairments totaling $ 5,515 which consisted of the following:

During the three and nine months ended August 31, 2024, we recognized a charge of $ 1,240 to accrue the remaining minimum charges payable under a contract for logistical services which our wholesale segment ceased utilizing during the third fiscal quarter of 2024.

These minimum payments will continue through January of 2026.

During the nine months ended August 31, 2024, we recognized non-cash charges for asset impairments totaling $ 5,515 which consisted of the following:

$ 2,887 in our retail segment which included $ 1,978 related to the impairment of leasehold improvements and $ 750 from the impairment of right-of-use assets at certain underperforming retail stores, as well as $ 159 for the impairment of right-of-use assets at certain warehouse locations resulting from the consolidation of our retail warehouses.

4 unchanged sentences

Our estimates of the fair value of the impaired right-of-use assets included estimates of discounted cash flows based upon current market rents and other inputs which we consider to be Level 3 inputs as specified in the fair value hierarchy in ASC Topic 820, Fair Value Measurement and Disclosure.

During the three and six months ended May 27, 2023, we recognized a non-cash gain of $ 1,013 resulting from the write-down of our contingent consideration obligation to the former owners of Noa Home.

During the nine months ended August 26, 2023, we recognized a non-cash gain of $ 1,013 resulting from the write-down of our contingent consideration obligation to the former owners of Noa Home.

Subsequent to the acquisition of Noa Home on September 2, 2022, the parties concluded that the revenue and EBITDA targets originally set forth in the purchase agreement by which the Noa Home co-founders were to earn the contingent consideration were likely not to be met within the originally anticipated time frame and therefore agreed to replace the contingent consideration payable that was recognized at the acquisition date with two fixed payments of C$ 200 each.

The first payment was made in June of 2023 and the second payment will be made in December of 2024.

PART I-FINANCIAL INFORMATION-CONTINUED

BASSETT FURNITURE INDUSTRIES, INCORPORATED AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Commitments and Contingencies

2 unchanged sentences

Lease Guarantees

We were contingently liable under licensee lease obligation guarantees in the amounts of $ 5,322 and $ 1,845 at June 1, 2024 and November 25, 2023, respectively.

We were contingently liable under licensee lease obligation guarantees in the amounts of $ 5,226 and $ 1,845 at August 31, 2024 and November 25, 2023, respectively.

The remaining term under these lease guarantees extends for six years.

1 unchanged sentence

The proceeds of the above options are expected to cover the estimated amount of our future payments under the guarantee obligation, net of recorded reserves.

The fair value of these lease guarantees (an estimate of the cost to the Company to perform on the guarantee) at June 1, 2024 and November 25, 2023 was not material.

The fair value of these lease guarantees (an estimate of the cost to the Company to perform on the guarantee) at August 31, 2024 and November 25, 2023 was not material.

PART I-FINANCIAL INFORMATION-CONTINUED

1 unchanged sentence

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

2 unchanged sentences

Weighted Average

For the quarter ended June 1, 2024:

For the quarter ended August 31, 2024:

Basic loss per share

2 unchanged sentences

Diluted loss per share - continuing operations

For the quarter ended May 27, 2023:

For the quarter ended August 26, 2023:

Basic earnings per share

Add effect of dilutive securities:

Options and restricted shares

Restricted shares*

Diluted earnings per share

For the six months ended June 1, 2024:

For the nine months ended August 31, 2024:

Basic earnings per share - continuing operations

2 unchanged sentences

Diluted earnings per share - continuing operations

For the six months ended May 27, 2023:

For the nine months ended August 26, 2023:

Basic earnings per share - continuing operations

Add effect of dilutive securities:

Options and restricted shares

Restricted shares

Diluted earnings per share - continuing operations

* Due to the net loss for the period, potentially dilutive securities would have been anti-dilutive and are therefore excluded.

For the three and six months ended June 1, 2024 and May 27, 2023, the following potentially dilutive shares were excluded from the computations as their effect was anti-dilutive:

For the three and nine months ended August 31, 2024 and August 26, 2023, the following potentially dilutive shares were excluded from the computations as their effect was anti-dilutive:

Quarter Ended

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Unvested shares

2 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

9 unchanged sentences

We consider our corporate functions to be other business activities and have aggregated them with any of our operating segments that do not meet the requirements to be reportable segments.

As of and for the periods ended June 1, 2024 and May 27, 2023, the only such operating segment included in Corporate and other is Noa Home, which was acquired on September 2, 2022.

As of and for the periods ended August 31, 2024 and August 26, 2023, the only such operating segment included in Corporate and other is Noa Home, which was acquired on September 2, 2022.

All sales reported in our Corporate and other category are attributable to Noa Home, which generates substantially all of its sales outside of the United States.

During the second quarter we concluded that Noa Home was not likely to achieve profitability in the foreseeable future and have decided to cease operations by selling the remaining inventory in an orderly fashion over the next several months.

During the second fiscal quarter of 2024 we concluded that Noa Home was not likely to achieve profitability in the foreseeable future and have decided to cease operations by selling the remaining inventory in an orderly fashion over the next several months.

Inter-company net sales elimination represents the elimination of wholesale sales to our Company-owned stores.

5 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

1 unchanged sentence

Quarter Ended

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Sales Revenue

11 unchanged sentences

Asset impairment charges (see Note 9)

Loss on contract abandonment (see Note 9)

Gain on revaluation of contingent consideration (see Note 9)

9 unchanged sentences

Corporate and other

August 31, 2024

November 25, 2023

6 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

6 unchanged sentences

We typically collect a significant portion of the purchase price from our retail customers as a deposit upon order, with the balance typically collected at the time delivery is scheduled.

These customer deposits are carried on our balance sheet as a current liability until delivery is fulfilled and amounted to $ 23,021 and $ 22,788 as of June 1, 2024 and November 25, 2023, respectively.

Substantially all of the customer deposits held as of November 25, 2023 related to performance obligations that were satisfied during the current year-to-date period and have therefore been recognized in revenue for the six months ended June 1, 2024.

These customer deposits are carried on our balance sheet as a current liability until delivery is fulfilled and amounted to $ 23,700 and $ 22,788 as of August 31, 2024 and November 25, 2023, respectively.

Sales commissions are expensed as part of selling, general and administrative expenses at the time revenue is recognized because the amortization period would have been one year or less.

2 unchanged sentences

– when the customer’s order is placed) and are carried as prepaid commissions in other current assets until the goods are delivered and revenue is recognized.

At June 1, 2024 and November 25, 2023, our balance of prepaid commissions included in other current assets was $ 2,464 and $ 2,245 , respectively.

At August 31, 2024 and November 25, 2023, our balance of prepaid commissions included in other current assets was $ 2,559 and $ 2,245 , respectively.

We exclude from revenue all amounts collected from customers for sales tax.

We do not disclose amounts allocated to remaining unsatisfied performance obligations as they are expected to be satisfied within one year or less.

Disaggregated revenue information for sales of furniture and accessories by product category for the three and six months ended June 1, 2024 and May 27, 2023, excluding intercompany transactions between our segments, is a follows:

Disaggregated revenue information for sales of furniture and accessories by product category for the three and nine months ended August 31, 2024 and August 26, 2023, excluding intercompany transactions between our segments, is a follows:

Quarter Ended

August 31, 2024

August 26, 2023

Bassett Custom Upholstery

4 unchanged sentences

Consolidated net sales of furniture and accessories

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

Bassett Custom Upholstery

5 unchanged sentences

Includes the sale of goods other than Bassett-branded products, such as accessories and bedding, and also includes the sale of furniture protection plans.

Corporate and other for the three and six months ended June 1, 2024 and May 27, 2023 includes the sales of Noa Home.

Corporate and other for the three and nine months ended August 31, 2024 and August 26, 2023 includes the sales of Noa Home.

PART I-FINANCIAL INFORMATION-CONTINUED

1 unchanged sentence

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Changes to Stockholders ’ Equity

The following changes in our stockholders’ equity occurred during the three and six months ended June 1, 2024 and May 27, 2023:

The following changes in our stockholders’ equity occurred during the three and nine months ended August 31, 2024 and August 26, 2023:

Quarter Ended

Six Months Ended

Nine Months Ended

August 31, 2024

August 26, 2023

August 31, 2024

August 26, 2023

Common Stock:

25 unchanged sentences

End of period

The balance of cumulative translation adjustments, net of tax, was a net loss of $ 660 and $ 486 at June 1, 2024 and November 25, 2023, respectively.

The balance of cumulative translation adjustments, net of tax, was a net loss of $ 684 and $ 486 at August 31, 2024 and November 25, 2023, respectively.

PART I-FINANCIAL INFORMATION-CONTINUED

1 unchanged sentence

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS-UNAUDITED

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

8 unchanged sentences

Early adoption is permitted.

As of June 1, 2024 we do not hold any investments in equity securities, therefore we do not currently expect that this guidance will have a material impact upon our financial position and results of operations.

As of August 31, 2024 we do not hold any investments in equity securities, therefore we do not currently expect that this guidance will have a material impact upon our financial position and results of operations.

In November 2023, the FASB issued Accounting Standards Update 2023-07 – Segment Reporting (Topic ASC 740) Improvements to Reportable Segment Disclosures.

4 unchanged sentences

The other segment items category is the difference between segment revenue less the segment expenses disclosed under the significant expense principle and each reported measure of segment profit or loss.

The amendments in ASU 2022-03 will become effective for us as for our 2025 fiscal year and for interim periods beginning with our 2026 fiscal year.

The amendments in ASU 2022-03 will become effective for us for our 2025 fiscal year and for interim periods beginning with our 2026 fiscal year.

Early adoption is permitted.

8 unchanged sentences

BASSETT FURNITURE INDUSTRIES INCORPORATED AND SUBSIDIARIES

AUGUST 31, 2024

(Dollars in thousands except share and per share data)

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements