Business
The Lovesac Company Announces Fourth Quarter and Fiscal 2020 Financial Results
Fiscal 2020 Net Sales Increased 40.7%Fiscal 2020 Comparable Sales Increased 43.4% STAMFORD, Conn., April 16, 2020 (GLOBE NEWSWIRE) -- The Lovesac Company
About this update from The Lovesac Company
[{"type":"text","content":"Fiscal 2020 Net Sales Increased 40.7%Fiscal 2020 Comparable Sales Increased 43.4%\n STAMFORD, Conn., April 16, 2020 (GLOBE NEWSWIRE) -- The Lovesac Company (Nasdaq: LOVE) (“Lovesac” or the “Company”) today announced its financial results for the fourth quarter and fiscal year 2020, which ended February 2, 2020. Shawn Nelson, Chief Executive Officer, stated, “We are pleased with our fourth quarter results, which were in line with our January update. Our pressing priority now, however, is vigilantly safeguarding the health and safety of our associates and customers during the rapidly-evolving COVID-19 pandemic. As previously announced, we extended our March 17th temporary showroom closures until further notice, have implemented work from home policies, and continue to enforce strict sanitization procedures across our operations.” Mr. Nelson added, “While our showrooms remain closed, we are leveraging our distinct DTC competitive and online advantages that replicate Lovesac’s in-store experience, and, as a result, we have experienced a surge in e-commerce demand. We are adapting traditional, social and digital marketing strategies in real-time to support this opportunity. Preserving our financial health and flexibility is also a key priority, and we are aggressively managing all expenses, working capital and capital expenditures. These efforts, combined with our strong net cash balance, position us to weather this period and resume our full growth trajectory as soon as the situation permits.” Key Measures for Fourth Quarter and Full Year Fiscal 2020 Ending Feb 2, 2020:(Dollars in millions, except per share amounts) Quarter Ended February 2, 2020Quarter Ended February 3, 2019% Inc (Dec)Year Ended February 2, 2020Year Ended February 3, 2019% Inc (Dec)Net Sales$92.2$64.243.6%$233.4$165.940.7%Gross Profit1$45.2$35.527.2%$116.7$90.928.4%Gross Margin149.0%55.3%(6.3%)50.0%54.8%(4.8%)Total Operating Expense$39.8$27.346.0%$132.5$97.935.3%SG&A$27.8$21.429.7%$98.1$76.428.4%Advertising & Marketing$10.5$5.2101.6%$29.2$18.459.0%Total SG&A as % of Net Sales30.2%33.4%(3.2%)42.1%46.1%(4.0%)Advertising & Marketing as % of Net Sales11.4%8.1%3.3%12.5%11.1%1.4%Basic and Diluted EPS Income (Loss)$0.37$0.62(40.3%)($1.07)($3.28)67.4%Adjusted Basic and Diluted EPS Income (Loss) 2 $0.37$0.63(41.3%)($1.04)($0.19)(447.4%)Adjusted EBITDA2$8.0$10.0(19.8%)$(3.7)...