Berkshire Hathaway Furniture Retail Businesses on the Rise in 2015
OMAHA, Neb. — Berkshire Hathaway’s home furnishings retail businesses saw a 24%, $572-million increase in 2015 revenues, fueled by Nebraska Furniture Mart and the opening of its Dallas-market store last year.
OMAHA, Neb. — Berkshire Hathaway’s home furnishings retail businesses saw a 24%, $572-million increase in 2015 revenues, fueled by Nebraska Furniture Mart and the opening of its Dallas-market store last year.
In its annual report released Saturday, Berkshire didn’t disclose total sales for the furniture businesses — Nebraska Furniture Mart, R.C. Willey, Star Furniture and Jordan’s, but said the increase was driven by NFM’s Dallas store opening in March 2015, as well as from increases at Salt Lake-City-based R.C. Willey and Taunton, Mass.-based Jordan’s.
Overall retailing revenues, which includes other non-furniture store businesses, grew to $13.27 billion from $4.43 billion.
Pre-tax earnings for the retailing segment increased 64% to $564 million. That compared to an 8.5% pre-tax earnings decline in 2014 from 2013, which Berkshire attributed primarily to lower earnings tied to NFM new store start-up costs and decreased sales at its Pampered Chef business.
Berkshire’s overall net earnings grew to $24.08 billion from $19.87 billion in 2014.
In his eagerly awaited annual letter to shareholders, Berkshire Chairman Warren Buffett noted plans for “Berkshire Weekend” at NFM’s Omaha campus, which features discount pricing for shareholders during the week of its April 30 annual meeting.
“Last year in the week encompassing the meeting, the store did a record $44,239,493 of business,” Buffett wrote. “If you repeat that figure to a retailer, he is not going to believe you.”
In parenthesis, Buffett added that, “An average week for NFM’s Omaha stores — the highest volume home furnishing store in the United States except for our new Dallas store — is about $9 million.
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