The chart below shows how LOVE performed 10 days before and after its earnings report, based on data from the past quarters. Typically, LOVE sees a +5.43% change in stock price 10 days leading up to the earnings, and a +0.06% change 10 days following the report. On the earnings day itself, the stock moves by -4.11%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Sales Performance Analysis: Total net sales were about $149.9 million, reflecting a year-over-year decline of 2.7%, but up 11.2% on a 2-year basis.
EBITDA Margin Improvement: Adjusted EBITDA margin has increased 895 basis points over the same time period.
Strong Balance Sheet Flexibility: We ended the third quarter with a very healthy balance sheet that provides substantial flexibility for Lovesac to invest in growth to enhance long-term value creation for shareholders.
Cash Position and Credit Facility: We reported $61.7 million in cash and cash equivalents, while retaining $36 million in committed availability and no borrowings on our recently amended credit facility.
Recliner Product Launch Success: We successfully launched the Recliner product, which has been very well received, driving significant new business for us.
Negative
Net Sales Decline: Total net sales were about $149.9 million, reflecting a year-over-year decline of 2.7%.
Omnichannel Sales Decline: Total omnichannel comparable net sales decreased 8.3%, which was partially offset by new and non-comparable contributions.
Quarterly Operating Loss Increase: Operating loss for the quarter was $7.7 million compared to $3.6 million in the third quarter of last year.
Quarterly Net Loss Comparison: Net loss for the quarter was $4.9 million or negative $0.32 per common share compared to a net loss of $2.3 million or negative $0.15 per common share in the prior year period.
SG&A Expense Increase: SG&A expense as a percentage of net sales was 47.9% in the third quarter versus 43.9% in the prior year period.
The Lovesac Company (LOVE) Q3 2025 Earnings Call Transcript
LOVE.O
-1.27%