Apr 30, 2023

Lovesac Q1 2024 Earnings Report

Reported a net sales growth of 9.1% and comparable sales growth of 15.1% despite dampened consumer spending and higher interest rates.

Key Takeaways

Lovesac reported a 9% increase in total sales and a 15% increase in comparable sales for the first quarter of fiscal 2024. The company's performance reflects the success of its customer-centric business model and the loyalty commanded by its product platforms.

Net sales increased by 9.1% driven by growth across all channels.

Gross profit increased by $4.6 million, or 7.0%, to $70.7 million.

Operating loss was $5.9 million compared to an operating income of $2.6 million in the prior year.

Net loss was $4.2 million, or $0.28 loss per diluted share, compared to a net income of $1.9 million, or $0.12 per diluted share in the prior year.

Total Revenue
$141M
Previous year: $129M
+9.1%
EPS
-$0.28
Previous year: $0.12
-333.3%
Omni-Channel Sales Growth
15.1%
Previous year: 42.2%
-64.2%
Ending Showroom Count
211
Previous year: 162
+30.2%
Gross Profit
$70.7M
Previous year: $66.1M
+7.0%
Cash and Equivalents
$45.1M
Previous year: $64.4M
-29.9%
Free Cash Flow
$2.11M
Previous year: -$27.8M
-107.6%
Total Assets
$421M
Previous year: $367M
+14.9%

Lovesac

Lovesac

Lovesac Revenue by Segment

Forward Guidance

The Company continues to expect the following for the full year of fiscal 2024: Net sales in the range of $700.0 million to $740.0 million. Adjusted EBITDA in the range of $55.0 million to $66.0 million. Net income in the range of $30.0 million to $36.0 million. Diluted income per common share in the range of $1.83 to $2.24 on approximately 16.4 million estimated diluted weighted average shares outstanding.

Revenue & Expenses

Visualization of income flow from segment revenue to net income