| Ethan Allen Interiors Inc. | | | EXHIBIT 99.2 |
| GAAP Reconciliation | | | |
| Three Months Ended September 30, 2008 and 2007 | | |
| (in thousands, except per share amounts) | | | |
| | | |
| | Three Months Ended |
| | September 30, |
| | 2008 | 2007 |
Net Income / Earnings Per Share | | | |
| Net income | | $ 7,422 | $ 17,504 |
| Add: restructuring and impairment charge (credit), net of | |
| related tax effect | | (1,037) | - |
| Net income (excluding restructuring and impairment | | |
| charge (credit)) | | $ 6,385 | $ 17,504 |
| | | |
| Earnings per basic share | | $ 0.26 | $ 0.58 |
| Earnings per basic share (excluding restructuring and | |
| impairment charge (credit)) | | $ 0.22 | $ 0.58 |
| Basic weighted average shares outstanding | | 28,703 | 30,084 |
| | | |
| Earnings per diluted share | | $ 0.26 | $ 0.57 |
| Earnings per diluted share (excluding restructuring and | |
| impairment charge (credit)) | | $ 0.22 | $ 0.57 |
| Diluted weighted average shares outstanding | | 28,847 | 30,464 |
| | | |
Consolidated Operating Income / Operating Margin | | |
| Operating income | | $ 12,211 | $ 27,797 |
| Add: restructuring and impairment charge (credit) | (1,630) | - |
| Operating income (excluding restructuring and impairment | |
| charge (credit)) | | $ 10,581 | $ 27,797 |
| | | |
| Net sales | | $ 205,841 | $ 248,727 |
| Operating margin | | 5.9% | 11.2% |
| Operating margin (excluding restructuring and impairment | |
| charge (credit)) | | 5.1% | 11.2% |
| | | |
Wholesale Operating Income / Operating Margin | | |
| Wholesale operating income | | $ 11,885 | $ 26,780 |
| Add: restructuring and impairment charge | | 408 | - |
| Wholesale operating income (excluding restructuring and | |
| impairment charge) | | $ 12,293 | $ 26,780 |
| Wholesale net sales | | $ 121,295 | $ 156,323 |
| Wholesale operating margin | | 9.8% | 17.1% |
| Wholesale operating margin (excluding restructuring and | |
| impairment charge) | | 10.1% | 17.1% |
| | | |
Retail Operating Income / Operating Margin | | | |
| Retail operating income (loss) | | $ (3,052) | $ 899 |
| Add: restructuring and impairment charge (credit) | (2,038) | - |
| Retail operating income (excluding restructuring and | | |
| impairment charge (credit)) | | $ (5,090) | $ 899 |
| Retail net sales | | $ 155,870 | $ 182,754 |
| Retail operating margin | | -2.0% | 0.5% |
| Retail operating margin (excluding restructuring and | | |
| impairment charge (credit)) | | -3.3% | 0.5% |
| | | |
EBITDA | | | |
| Net income | | $ 7,422 | $ 17,504 |
| Add: interest expense (income), net | | 2,508 | 1,397 |
| Add: income tax expense | | 2,988 | 10,280 |
| Add: depreciation and amortization | | 6,318 | 5,937 |
| EBITDA | | $ 19,236 | $ 35,118 |
| Net sales | | $ 205,841 | $ 248,727 |
| EBITDA as % of net sales | | 9.3% | 14.1% |
| | | |
| EBITDA | | $ 19,236 | $ 35,118 |
| Add: restructuring and impairment charge (credit) | (1,630) | - |
| EBITDA (excluding restructuring and impairment charge (credit)) | $ 17,606 | $ 35,118 |
| Net sales | | $ 205,841 | $ 248,727 |
| EBITDA as % of net sales excluding restructuring and | |
| impairment charge (credit)) | | 8.6% | 14.1% |
