Business
Arhaus Announces First Quarter 2022 Financial Results
Net Revenue Up 43.8% with Comparable Growth of 40.3%; Raising Full Year 2022 Outlook BOSTON HEIGHTS, Ohio, May 11, 2022 (GLOBE NEWSWIRE) -- Arhaus, Inc.
About this update from Arhaus, Inc.
[{"type":"text","content":"Net Revenue Up 43.8% with Comparable Growth of 40.3%; Raising Full Year 2022 Outlook\nBOSTON HEIGHTS, Ohio, May 11, 2022 (GLOBE NEWSWIRE) -- Arhaus, Inc. (NASDAQ: ARHS; “Arhaus” or the “Company”), a rapidly growing lifestyle brand and omni-channel retailer of premium artisan-crafted home furnishings, reported financial results for the first quarter ended March 31, 2022. First Quarter 2022 Highlights Net revenue increased 43.8% to $246 millionComparable Growth(1) of 40.3%Net and Comprehensive Income of $16 millionAdjusted Net Income of $17 millionAdjusted EBITDA increased 22.4% to $31 million 2022 Outlook Highlights Net revenue of $1,145 million to $1,185 millionComparable Growth(1) of 36% to 46%Net and Comprehensive Income of $73 million to $83 millionAdjusted EBITDA of $151 million to $161 million CEO Comments John Reed, Co-Founder and Chief Executive Officer, commented, “We are very pleased with our first quarter 2022 performance. Net revenue and comparable growth were driven by the investments we are making to ensure faster and more efficient delivery of product to our clients and our improving supply chain. By delivering product to our clients more quickly than anticipated, we also outperformed our first quarter expectations for revenue and earnings. Demand trends were positive throughout the quarter and remain solid going into the second quarter. “Outstanding execution by our team and our vendor partners continues to drive Arhaus’ momentum and is reflected in our increased outlook for full year 2022.” First Quarter 2022 Results Net revenue increased 43.8% to $246 million, compared to $171 million in the first quarter of 2021. The increase was driven primarily by increased delivery of orders in the backlog as our supply chain continues to improve. In addition, there was strong demand in both Showroom and eCommerce channels. Comparable growth(1) in the quarter was 40.3%, compared to 37.6% in the first quarter of 2021. Income from operations increased to $23 million, compared to $11 million in the first quarter of 2021, primarily driven by higher net revenue. This was partially offset by higher product costs, transportation costs and variable rent expense related to the increased net revenue, as well as higher SG&A expenses to support the growth of the business and public company related costs. Higher SG&A expenses were partia...