The Lovesac Company (NASDAQ:LOVE) saw a surge in its stock prices, on revealing second-quarter numbers.
The Stamford, Ct-based furniture maker reported Wednesday net sales increased 44.8% to $48.1 million in the second quarter of fiscal 2020 from $33.2 million in the second quarter of fiscal 2019. Gross profit increased $6.4 million, or 36.1%, to $24.3 million in the second quarter of fiscal 2020 from $17.8 million in the second quarter of fiscal 2019.
Net loss and net loss attributable to common shares was $4.8 million in the second quarter of fiscal 2020, compared to a net loss of $7.0 million, or net loss attributable to common shares of $33.7 million including preferred dividends and deemed dividends in the second quarter in fiscal 2019.
The company opened two new showrooms and closed no showrooms in the second quarter of fiscal 2020 and ended the quarter with 80 showrooms in 32 states. This represents a unit increase of 11.1% over the same quarter in the prior year.
CEO Shawn Nelson stated, "We reported a strong second quarter with revenue growth of close to 45%, as the entire team is executing our strategies to expand the Lovesac brand and deliver on our near and longer term goals."
Lovesac is a direct-to-consumer specialty furniture brand with approximately 80 retail showrooms supporting its e-commerce delivery model. Lovesac’s name comes from its original Durafoam filled beanbags called Sacs.
LOVE derives a majority of its current sales from its proprietary platform called Sactionals, a washable, changeable, reconfigurable, and FedEx-shippable solution for large upholstered seating.
Shares zoomed $3.62, or 19.7%, to $22.03
