Furniture company Lovesac (NASDAQ:LOVE) will be announcing earnings results this Thursday before the bell. Here’s what to expect.
Lovesac met analysts’ revenue expectations last quarter, reporting revenues of $160.5 million, up 2.5% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Is Lovesac a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Lovesac’s revenue to grow 2.7% year on year to $154 million, a reversal from the 2.7% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.46 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Lovesac has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Lovesac’s peers in the home furnishings segment, some have already reported their Q3 results, giving us a hint as to what we can expect. La-Z-Boy posted flat year-on-year revenue, beating analysts’ expectations by 1.2%, and Somnigroup reported revenues up 63.3%, topping estimates by 3%. La-Z-Boy traded up 19.9% following the results while Somnigroup was also up 14.6%.
Read our full analysis of La-Z-Boy’s results here and Somnigroup’s results here.
There has been positive sentiment among investors in the home furnishings segment, with share prices up 3.6% on average over the last month. Lovesac is up 5.2% during the same time and is heading into earnings with an average analyst price target of $29.33 (compared to the current share price of $14.10).
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