Arhaus reports Q2 EPS 25c, consensus 15c

Reports Q2 revenue $358M, consensus $333.64M. CEO John Reed said: “We achieved the highest quarterly net revenue in Arhaus (ARHS)’ history, exceeding $358M, reflecting an increase of 15.7%. During the quarter, we successfully brought operations of our Dallas Distribution Center in-house which ramped ahead of schedule. This transition enabled us to convert strong Q1 demand into net revenue more efficiently, and at a higher volume, than expected. As a result, Comparable growth was 10.5%. While Q2 demand comparable growth was (3.6)%, due to macro headwinds, July rebounded sharply, with Demand comparable growth up an impressive 15.7%, highlighting strong client engagement and the enduring appeal of our products. Year-to-date, including July, Demand comparable growth was up 2.2%. Additionally, I’m proud to announce the launch of our Arhaus Bath Collection. This thoughtful expansion into a deeply personal space in the home reflects our commitment to timeless design, artisan craftsmanship, and functional beauty. With a resilient high-end client base, debt-free balance sheet, and a clear strategic plan, we are navigating the current environment from a position of strength, focused on what we can control: disciplined execution, intentional growth, and continued investment in the systems, products, and talent that will drive our next phase”.