The Lovesac Company (LOVE) Q2 FY2027 earnings

Reported results

• Net sales for Q2 fiscal 2027 were $161.2 million, up 0.4% from $160.5 million in Q2 fiscal 2026
• Gross profit increased 21.7% to $110.3 million with gross margin of 68.4%, up from 56.4% in the prior year quarter
• Net income (GAAP) was $7.4 million or $0.51 per diluted share, compared to net loss of $6.7 million or $(0.45) per diluted share in the prior year quarter
• Operating income was $10.9 million with operating margin of 6.9%, compared to operating loss of $8.8 million with operating margin of (5.5%) in the prior year quarter
• Adjusted EBITDA (non-GAAP) was $(1.3) million, compared to $0.8 million in the prior year quarter
• Omni-channel comparable net sales decreased 1.9% in Q2 fiscal 2027; showroom count increased to 284 from 270 year-over-year

Guidance

• Full year fiscal 2027 net sales guidance: $690 million to $710 million
• Full year fiscal 2027 net income guidance (GAAP): $14.5 million to $18.5 million
• Full year fiscal 2027 Adjusted EBITDA (non-GAAP) guidance: $31.5 million to $35.5 million
• Full year fiscal 2027 diluted income per common share (GAAP) guidance: $0.98 to $1.26 on approximately 14.6 million estimated diluted weighted average shares outstanding
• Q3 fiscal 2027 net sales guidance: $140 million to $150 million
• Q3 fiscal 2027 net loss guidance (GAAP): $9 million to $12 million
• Q3 fiscal 2027 Adjusted EBITDA (non-GAAP) loss guidance: $7 million to $10 million
• Q3 fiscal 2027 basic loss per common share guidance (GAAP): $0.62 to $0.83 on approximately 14.5 million estimated basic weighted average shares outstanding

Notes

Company received $21.0 million in IEEPA tariff refunds and related interest in Q2 fiscal 2027, of which $20.0 million was recognized through cost of merchandise sold, $0.3 million reduced inventory, and $0.7 million was recognized as interest income. Net income per diluted share in Q2 fiscal 2027 includes $0.86 of net benefit from tariff refunds. Year-to-date net loss (GAAP) was $3.7 million or $(0.25) per diluted share, including $0.86 of net benefit from tariff refunds, compared to net loss of $17.5 million or $(1.19) per diluted share in the prior year. The company has no debt and a cash position of $68.8 million as of August 2, 2026.

Price and volatility reaction

Source

The figures above come from the earnings release the company filed with the SEC on 2026-09-10 (8-K, Item 2.02). Read the original filing on sec.gov.