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Bassett Furniture 4Q net income rises on tax gain

BASSETT, Va. (AP) -- Bassett Furniture Industries Inc. said Thursday its fourth-quarter net income jumped to $16.9 million, helped by a hefty tax benefit and higher sales.

For the quarter ended Nov. 24, the Bassett, Va.-based company's profit amounted to $1.55 per share and compared with earnings of $633,000, or 6 cents per share, in the same quarter last year. The recent quarter's results included a net tax benefit of $14.2 million related to a reduction of certain reserves against the company's deferred tax assets.

Revenue rose 21 percent to $76.8 million from $63.3 million.

Sales at company-owned stores rose 24 percent to $48.8 million and included a 15 percent increase at its 48 company-owned stores open at least a year. That metric is a key measure of a retailer's health, because it excludes sales at stores that recently opened or closed.

For the full year, the company earned $26.7 million, or $2.41 per share, down from $55.3 million, or $4.79 per share, in the previous year. Revenue rose to $269.7 million from $253.2 million.

Bassett shares rose 44 cents, or 3.5 percent, to $12.93 in midday trading.