Hooker Furnishings completed divestitures of its Pulaski Furniture and Samuel Lawrence casegoods brands in late 2025, signaling a pivot away from low-margin, volume-driven segments toward higher-profit brands. The company’s latest 10-Q warns of escalating costs linked to tariffs on imported raw materials and upholstery components, primarily sourced from Asia, which heighten margin pressure. Hooker operates through two core segments—Hooker Branded focusing on imported casegoods and upholstery, and Domestic Upholstery producing premium custom furniture—balancing import sourcing with domestic manufacturing to navigate supply chain complexities. Despite macroeconomic softness in housing dampening demand, the company aims to leverage product innovation, brand repositioning, and wholesale distribution channels to drive growth.