– Bassett Furniture announces significant restructuring following fourth consecutive quarterly loss.
– The company has decided to close Noa Home, a direct-to-consumer business focused on the premium home furnishings market.
– The restructuring process involves shifting the focus from brick-and-mortar stores to digital retail channels.
– The closure of Noa Home is expected to yield annual savings of around $3.5 million.
– Bassett confirmed a $3.3 million loss for this quarter, which follows consecutive quarterly losses throughout the year.
– Senior executives from the company have taken a voluntary 20% reduction in base pay which is expected to bring additional savings.
– The company will focus on growing its digital segment, which reported a 70% increase amidst the pandemic.
– The overall aim of the restructuring is to improve the company’s profitability and competitiveness in the market.

Bassett Takes Dramatic Steps Following Continued Losses

Company Restructuring and Closure of Noa Home

Between extensive losses and a bid to improve profitability, Bassett Furniture went public with a sweeping restructuring plan. Among the major shifts announced is shutting down Noa Home, their premium home furnishing business, which is expected to result in a savings of around $3.5 million every year.

Migration to a Digital Outlook

The restructuring seems to be favoring a digital future. In a gritty move to adapt to the times, the focus turns to the digital retail segment which has seen an impressive 70% growth surge amidst the pandemic wave.

Senior Executives Take Pay Cut

Displaying solidarity with their company during these challenging times, Bassett’s senior executives have come forward, accepting a voluntary 20% deduction in their base pay.

Mission for Future: Profitability and Market Competitiveness

Above all, Bassett aims to step up its profitability game and be more competitive in the inflating market. Enduring four consecutive quarterly losses, including a steep $3.3 million in this quarter, has prompted Bassett to pull up its socks and adopt a more fare-sighted approach.

Closing off, it appears Bassett Furniture is keen on turning its luck around in a big way. With daring changes such as shuttering Noa Home, embracing an online forward business model, and shared sacrifices at the executive level, the company has set its sights on better days ahead. Multifaceted restructuring, though inspired by misfortune, may just be the catalyst Bassett needs to assert its presence and potential in the modern, digital-focused furniture market. Staying afloat is the name of the game, and Bassett seems to be intent on doing so using adaptive, profit-minded practices.

originial article https://www.furnituretoday.com/?p=318668

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