Business
The Lovesac Company Announces First Quarter Fiscal 2021 Financial Results
First Quarter Net Sales Increased 32.8% First Quarter Comparable Sales Increased 50.0% STAMFORD, Conn., June 09, 2020 (GLOBE NEWSWIRE) -- The Lovesac Company
About this update from The Lovesac Company
[{"type":"text","content":"First Quarter Net Sales Increased 32.8% First Quarter Comparable Sales Increased 50.0%\n STAMFORD, Conn., June 09, 2020 (GLOBE NEWSWIRE) -- The Lovesac Company (Nasdaq: LOVE) (“Lovesac” or the “Company”) today announced its financial results for the first quarter of fiscal 2021, which ended May 3, 2020. Shawn Nelson, Chief Executive Officer, stated, “Amid the global dislocation caused by the COVID-19 pandemic, Lovesac’s first quarter results affirm the resilience and compassion of our team, the benefit of our diversified channel mix, and the fundamental appeal of the Lovesac brand. These positive attributes contributed to the quarter’s strong results with nearly 33% total company sales growth, including a 255% increase in our e-commerce sales. We were also pleased that our operating loss improved by almost $1 million from the prior year period despite our entire fleet of showrooms being closed for half the quarter.” Mr. Nelson added, “Lovesac’s origins as an ‘e-commerce-first’ platform confers a distinct competitive advantage in this environment. Our logistical expertise, processes, and cultural underpinnings are evident in our shippable product offering, agile and lean multi-channel operating model, and dynamic digital marketing efforts. As we move into the re-opening phase, we are taking a thoughtful and measured approach to re-opening showrooms, governed by local regulations and with the health and safety of our employees and customers as our highest priority. The power of our business model, the execution and commitment of our entire team, combined with our strong balance sheet and financial position, will continue to serve us well as we move into this next phase and beyond.” Key Measures for the First Quarter Ending May 3, 2020:(Dollars in millions, except per share amounts) Quarter Ended May 3, 2020Quarter Ended May 5, 2019% Inc (Dec)Net Sales$54.4$41.032.8%Gross Profit1$27.3$21.030.0%Gross Margin150.2%51.3%(110) bpsTotal Operating Expense$35.7$30.317.6%SG&A$25.8$23.98.3%Advertising & Marketing$8.2$5.452.0%Total SG&A as % of Net Sales47.5%58.3%(1080) bpsAdvertising & Marketing as % of Net Sales15.1%13.2%190 bpsBasic and Diluted EPS Loss($0.58)($0.67)(13.4%)Net loss($8.3)($9.1)(8.3%)Adjusted EBITDA($5.7)($4.7)22.1%Cash used in Operations($0.5)($8.2)(93.7%) 1 Estimated gross 25% tariff impact for the first quarter of fiscal ...