Lovesac Tempers Outlook as 1Q Loss Widens

Dow Jones06-11 19:35

By Connor Hart

 

Lovesac tempered its outlook for the year as it widened its loss during the recent quarter, up against a continually challenging backdrop.

The furniture company said Thursday it now expects sales of $700 million to $740 million for the year, cutting the high end of its outlook by $10 million. The company maintained the floor of its earnings outlook at 34 cents a share, but lowered the ceiling to 81 cents a share from 95 cents a share.

Analysts are looking for earnings of 61 cents a share on sales of $719.9 million.

The new outlook came as Lovesac continued to navigate industry headwinds during its fiscal first quarter, Chief Executive Shawn David Nelson said. Still, he noted that the recent quarterly results were solid, reflecting disciplined execution and modest market-share gains.

Lovesac reported a loss of $11.1 million for its quarter ended May 3, compared with a loss of $10.8 million in last year's comparable period. The quarterly loss of 76 cents a share wasn't as steep as the loss of $1.05 a share that analysts polled by FactSet expected.

Net sales for the fiscal first quarter were roughly flat at $138.2 million, coming in just ahead of Wall Street models for $136.3 million.

Looking ahead, Lovesac stands to benefit from the upcoming launch of new products, expanded rollout of its delivery services and stepped-up marketing efforts, Nelson said.

For the current quarter, the company guided for a loss of 20 cents to 48 cents a share on sales of $157 million to $166 million. Analysts had forecast a loss of 33 cents a share on sales of $165.2 million.

 

Write to Connor Hart at connor.hart@wsj.com

 

(END) Dow Jones Newswires

June 11, 2026 07:35 ET (11:35 GMT)

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