LOVE earnings analysis
What we found in LOVE's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Lovesac's Q1 2026 results showed a slight revenue decline to $138.2 million, slightly below estimates, while the EPS loss of $0.73 improved from expectations of a larger loss. Overall operating losses increased amid rising costs, although gross margins remained stable. The company maintains its full-year sales guidance of $700 million to $740 million amid ongoing economic uncertainties.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Decline Slight
- Q1 2026 revenue was $138.2 million, a decrease of $0.2 million (0.1%) compared to Q1 2025.
- Narrowed EPS Loss
- Diluted EPS improved to a loss of $0.73 from expected loss of $0.93.
- Internet Sales Growth
- Internet sales increased by $2.4 million (7.1%) in Q1 2026 compared to Q1 2025.
- Increased SG&A Expenses
- SG&A expenses rose $1.5 million (2.2%) to $68.6 million or 49.6% of net sales compared to 48.5% in the prior year.
- Tax Benefit Increase
- Income tax benefit increased to $5.6 million from $3.8 million in the prior year.
- Improved Cash Position
- Cash and cash equivalents rose to $57 million from $26.9 million in the prior year.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Ongoing Operating Losses
- Operating loss increased to $(17.4) million from $(15.0) million in Q1 2025.
- Negative Cash Flow
- Net cash used in operating activities was $(35.4) million, an improvement compared to $(41.4) million in the prior year.
- Dependence on Economic Conditions
- Macroeconomic factors affecting demand include inflation and housing market conditions, which remain challenging.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.73
- Gross margin
- 53.8%
- Operating margin
- -10.8%
- Segment
- Showrooms
- Segment
- Internet
- Segment
- Other
What they said about what is next.
Expectations for FY 2026 see revenues between $700M and $740M with EPS projected between $0.34 and $0.81, reflecting management's cautious outlook amid economic uncertainty.
The filing reads about the same as the one before it.
What came before.
- 10-K · April 2, 2026
- Lovesac reported modest revenue growth to $697.0M in fiscal 2026 (sum of quarterly revenues) with pronounced seasonality and a very strong Q4 (Q4 net sales $248.0M, operating margin 18.1%, FCF $78.0M) that offset…
- 10-Q · December 11, 2025
- Lovesac reported quarterly net sales of $150,166,000 (thirteen weeks ended November 2, 2025), essentially flat year‑over‑year versus $149,905,000, but profitability and liquidity deteriorated: gross margin compressed to…
- 10-Q · September 11, 2025
- Lovesac reported quarterly net sales of $160,530,000 (up $3,940,000 or 2.5% YoY versus $156,590,000) but posted a net loss of $6,650,000 (diluted EPS $(0.45)), wider than prior-year quarter EPS $(0.38). Gross profit…
- 10-K · April 10, 2025
- The 10-K emphasizes Lovesac’s product-led, omni-channel strategy built around its Sactionals platform (91.4% of net sales in fiscal 2025) and continued showroom expansion (257 locations in 42 states). Management…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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