Lovesac Co. (NAS:LOVE) shares soared 11.6% in Thursday premarket trading after the furniture company reported fiscal second-quarter earnings that far exceeded expectations. Net income totaled $8.4 million, or 52 cents per share, after a loss of $1.1 million, or 8 cents per share, last year. Sales of $102.4 million were up from $61.9 million last year. The FactSet consensus was for EPS of a penny and sales of $113.0 million. Sales got a boost from the reopening of pop-up shops and shop-in-shop locations after closures last year due to COVID-19, and the addition of an online pop-up shop on the Costco Wholesale Corp. (NAS:COST) website. Stamford, Conn.-based Lovesac is known for its foam beanbag chairs called Sacs and modular couches called Sactionals. Shawn Nelson, the company's chief executive, said in a statement that the third quarter is "off to a strong start" and expressed confidence that its supply chain could manage the current "tight" environment. Lovesac shares have run up 17.1% for the year to date while the S&P 500 index (S&P:SPX) has gained 20.2% for the period.
Sept. 9, 2021, 7:26 a.m. EDT