PRPL Earnings Prediction
The chart below shows how PRPL performed 10 days before and after its earnings report, based on data from the past quarters. Typically, PRPL sees a +9.44% change in stock price 10 days leading up to the earnings, and a -1.66% change 10 days following the report. On the earnings day itself, the stock moves by -3.96%. This data can give you a slight idea of what to expect for the next quarter's release.
PRPL Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
118.60M
-15.28%
-1.39%
Gross Margin
40.52%
19.92%
-0.42%
Operating Margin
-12.71%
-30.85%
5.13%
Net Margin
-33.15%
28.44%
331400.00%
EPS
-0.36
-5.88%
--
No Data Available
PRPL Earnings Analysis
Purple Innovation, Inc. Common Stock Corporation (PRPL.O) Earnings Conference Call
Positive
Gross Margin Improvement: Adjusted gross margin improved by 340 basis points year-over-year to 40.5%, exceeding the 40% year-end target for the second consecutive period.
EBITDA Savings Forecast: The restructuring is expected to yield annual EBITDA savings of $15 million to $20 million starting in 2025, supporting positive cash flow and adjusted EBITDA next year.
Operational Efficiency Outperformance: Year-to-date results have modestly outperformed the broader industry, indicating strong operational efficiency despite market challenges.
Distribution Network Realignment: The company has completed the realignment of its distribution network and transitioned 75% of wholesale orders to ship out of its Georgia facility, enhancing operational efficiency.
Pillow Sales Surge: Sales of pillows are up approximately 30% year-to-date, with most pillows now carrying out items, indicating strong consumer demand.
Negative
Sales Decline Analysis: Q3 sales were down 15% year-over-year, primarily driven by softness and consumer demand, optimization of our advertising spend.
Direct to Consumer Revenue Decline: Direct to consumer net revenue for the quarter was $70.8 million, down 11.7% versus last year, with a decline of 15.7% in e-commerce and showroom sales relatively flat.
Wholesale Revenue Decline: Wholesale net revenue was $47.8 million, down 20.1% from last year's third quarter.
Operating Expenses Increase: Operating expenses for the third quarter were $82 million, up 2.6% from $79.9 million in the third quarter of 2023, driven by $19.8 million in restructuring-related charges.
Improved Adjusted Net Loss: Adjusted net loss for the quarter was $8.4 million compared to an adjusted net loss of $19.4 million last year.
PRPL FAQs
How does PRPL typically perform around its earnings report dates?
Is Purple Innovation, Inc. (PRPL) Q3 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
PRPL Earning Call Sentiment
Purple Innovation, Inc. (PRPL) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
PRPL.O
35.63%Positive
The earnings call summary indicates a mixed sentiment. While there is some optimism about promotional periods and gross margin improvements, the company is cautious about future profitability without volume-driven growth. The Q&A section reveals management's confidence in turning profitable and reducing inventory, but there is uncertainty in cash flow impacts and restructuring benefits. The lack of strong guidance and avoidance of direct answers tempers positive sentiment, leading to a neutral prediction for stock price movement.
