Bob's Discount Furniture (NYSE:BOBS) Issues Earnings Results

Key Points

• Bob’s Discount Furniture reported third-quarter EPS of $0.28, matching analysts’ consensus, while revenue rose 10.3% year over year to $680.44 million.
• Adjusted EBITDA increased 18% to $75.5 million, and e-commerce sales grew about 28%. The company opened a record 11 stores during the quarter.
• Fuel and inventory costs weighed on margins: gross margin fell 30 basis points to 45.7% excluding a tariff refund, and full-year gross margin is expected to decline 20–30 basis points; revenue and adjusted EBITDA outlooks were maintained.

Bob's Discount Furniture (NYSE:BOBS - Get Free Report) released its quarterly earnings data on Thursday. The company reported $0.28 earnings per share for the quarter, hitting analysts' consensus estimates of $0.28, Zacks reports. The company had revenue of $680.44 million for the quarter. The business's revenue was up 10.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.29 earnings per share.

Here are the key takeaways from Bob's Discount Furniture's conference call:

• Third-quarter revenue rose 10.3% to $680 million, with comparable sales up 3.8%; adjusted EBITDA increased 18% to $75.5 million, and adjusted EBITDA margin expanded to 11.1%.
• Omnichannel sales continued to gain traction: e-commerce sales grew approximately 28%, reaching 17.6% of revenue, while customers using both stores and digital channels spent nearly 20% more per order than average.
• Bob’s opened a record 11 stores in the quarter, bringing the year-to-date total to 20; management said newer store cohorts are generally exceeding expectations and reiterated its target of 10% unit growth in 2027.
• Fuel and inventory costs pressured gross margin, which fell 30 basis points to 45.7% excluding a tariff refund; management now expects full-year gross margin to decline 20–30 basis points, though it maintained its revenue and adjusted EBITDA outlook.

Bob's Discount Furniture Price Performance

NYSE:BOBS traded up $0.99 during midday trading on Thursday, reaching $19.32. The company had a trading volume of 2,532,366 shares, compared to its average volume of 733,668. Bob's Discount Furniture has a 12-month low of $9.73 and a 12-month high of $23.49. The company has a current ratio of 0.90, a quick ratio of 0.28 and a debt-to-equity ratio of 0.14. The stock's fifty day simple moving average is $15.46 and its 200-day simple moving average is $15.03.

Wall Street Analyst Weigh In

Several research analysts have recently commented on the company. Weiss Ratings upgraded Bob's Discount Furniture from a "sell (d+)" rating to a "hold (c-)" rating in a report on Monday, August 17th. Royal Bank Of Canada reissued an "outperform" rating on shares of Bob's Discount Furniture in a report on Monday, October 26th. Evercore set a $18.00 price objective on shares of Bob's Discount Furniture in a report on Tuesday, October 13th. Finally, Robert W. Baird set a $19.00 price objective on shares of Bob's Discount Furniture in a research report on Friday, August 7th. Eleven investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $23.83.

Bob's Discount Furniture Company Profile

Bob's Discount Furniture is a U.S. furniture retailer that sells a broad selection of furniture and home furnishings at value-oriented prices. Its merchandise includes living room, bedroom, dining room and home office furniture, as well as mattresses, rugs, lighting, décor and other household products.

The company was founded in 1991 by Robert “Bob” Kaufman in Newington, Connecticut. Bob's operates an omnichannel retail model that combines a network of showrooms with online shopping and related delivery and service capabilities.

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