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What To Expect From Arhaus’s (ARHS) Q2 Earnings

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Luxury furniture retailer Arhaus (NASDAQ: ARHS) will be announcing earnings results this Thursday before market hours. Here’s what to look for.

Arhaus met analysts’ revenue expectations last quarter, reporting revenues of $314.3 million, flat year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ EBITDA estimates but a slight miss of analysts’ gross margin estimates.

Is Arhaus a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Arhaus’s revenue to grow 2.3% year on year, slowing from the 15.7% increase it recorded in the same quarter last year.

Arhaus Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Arhaus has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Arhaus’s peers in the home furnishing and improvement retail segment, only Floor And Decor has reported results so far. It exceeded analysts’ revenue estimates, delivering year-on-year sales growth of 3%. The stock traded up 4.1% on the results.

Read our full analysis of Floor And Decor’s earnings results here.

There has been positive sentiment among investors in the home furnishing and improvement retail segment, with share prices up 5.3% on average over the last month. Arhaus’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $9 (compared to the current share price of $8.20).

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