Lovesac Co. Financials
This page shows Lovesac Co. (LOVE) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 9 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
A high-gross-margin model is being squeezed below the gross line, with overhead absorbing most of the operating economics.
From FY2024 to FY2026, gross margin stayed resilient, but operating margin nearly vanished from4.3% to0.8% . Gross profit moved from$401.0M to$393.2M , so the squeeze looks driven mainly by overhead growth rather than a breakdown in product-level economics.
Cash conversion looks stronger than net income suggests: FY2026 operating cash flow of
The liquidity buffer is still usable, but it is thinner than earlier in the cycle: current ratio eased from 2.1x in FY2022 to 1.6x in FY2026. Cash rebounded to
Financial Health Signals
Scored against operating companies for FY2026. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Lovesac Co.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Lovesac Co. has an operating margin of 0.8%, meaning the company retains $1 of operating profit per $100 of revenue. This results in a moderate score of 45/100, indicating healthy but not exceptional operating efficiency. This is down from 2.0% the prior year.
Lovesac Co.'s revenue grew a modest 2.4% year-over-year to $697.1M. This slow but positive growth earns a score of 31/100.
Lovesac Co. has a moderate D/E ratio of 1.44. This balance of debt and equity financing earns a leverage score of 38/100.
Lovesac Co.'s current ratio of 1.55 indicates adequate short-term liquidity, earning a score of 42/100. The company can meet its near-term obligations, though with limited headroom.
Lovesac Co. has a free cash flow margin of 3.8%, earning a moderate score of 43/100. The company generates positive cash flow after capital investments, but with room for improvement.
Lovesac Co.'s ROE of 2.0% shows moderate profitability relative to equity, earning a score of 46/100. This is down from 5.8% the prior year.
Lovesac Co. scores 2.13, placing it in the grey zone between 1.81 and 2.99. This signals moderate financial risk that warrants monitoring.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Lovesac Co. passes 4 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Lovesac Co. generates $12.03 in operating cash flow ($49.3M OCF vs $4.1M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
Lovesac Co. generated $697.1M in revenue in fiscal year 2026. This represents an increase of 2.4% from the prior year.
Lovesac Co.'s EBITDA was $20.3M in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 27.5% from the prior year.
Lovesac Co. reported $4.1M in net income in fiscal year 2026. This represents a decrease of 64.7% from the prior year.
Lovesac Co. earned $0.28 per diluted share (EPS) in fiscal year 2026. This represents a decrease of 59.4% from the prior year.
Cash & Balance Sheet
Lovesac Co. generated $26.2M in free cash flow in fiscal year 2026, representing cash available after capex. This represents an increase of 45.9% from the prior year.
Lovesac Co. held $57.0M in cash against $0 in long-term debt as of fiscal year 2026.
Lovesac Co. had 15M shares outstanding in fiscal year 2026. This represents a decrease of 1.2% from the prior year.
Margins & Returns
Lovesac Co.'s gross margin was 56.4% in fiscal year 2026, indicating the percentage of revenue retained after direct costs. This is down 2.0 percentage points from the prior year.
Lovesac Co.'s operating margin was 0.8% in fiscal year 2026, reflecting core business profitability. This is down 1.2 percentage points from the prior year.
Lovesac Co.'s net profit margin was 0.6% in fiscal year 2026, showing the share of revenue converted to profit. This is down 1.1 percentage points from the prior year.
Lovesac Co.'s ROE was 2.0% in fiscal year 2026, measuring profit generated per dollar of shareholder equity. This is down 3.8 percentage points from the prior year.
Capital Allocation
Lovesac Co. invested $7.0M in research and development in fiscal year 2026. This represents a decrease of 16.7% from the prior year.
Lovesac Co. spent $6.0M on share buybacks in fiscal year 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 69.9% from the prior year.
Lovesac Co. invested $23.1M in capex in fiscal year 2026, funding long-term assets and infrastructure. This represents an increase of 10.0% from the prior year.
LOVE Income Statement
| Metric | Q1'27 | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $138.2M-44.3% | $248.2M+65.3% | $150.2M-6.5% | $160.5M+16.0% | $138.4M-41.3% | $235.8M+57.3% | $149.9M-4.3% | $156.6M |
| Cost of Revenue | $66.2M-35.0% | $101.8M+54.4% | $65.9M-5.7% | $69.9M+9.2% | $64.0M-30.7% | $92.3M+48.2% | $62.3M-3.0% | $64.2M |
| Gross Profit | $72.0M-50.8% | $146.4M+73.8% | $84.2M-7.0% | $90.6M+21.8% | $74.4M-48.2% | $143.5M+63.7% | $87.6M-5.1% | $92.4M |
| R&D Expenses | $2.1M+320.0% | $500K-78.3% | $2.3M+9.5% | $2.1M-4.5% | $2.2M+46.7% | $1.5M-34.8% | $2.3M-4.2% | $2.4M |
| SG&A Expenses | $68.6M+0.3% | $68.3M-8.8% | $75.0M+4.0% | $72.1M+7.4% | $67.1M-2.6% | $68.9M-4.0% | $71.7M-2.6% | $73.7M |
| Operating Income | -$17.4M-136.7% | $47.4M+399.7% | -$15.8M-79.1% | -$8.8M+41.0% | -$15.0M-133.5% | $44.7M+678.7% | -$7.7M+7.7% | -$8.4M |
| Interest Expense | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | -$5.6M-136.6% | $15.3M+403.8% | -$5.0M-143.5% | -$2.1M+45.3% | -$3.8M-130.1% | $12.6M+701.8% | -$2.1M-15.2% | -$1.8M |
| Net Income | -$11.1M-134.2% | $32.4M+407.0% | -$10.6M-58.7% | -$6.7M+38.7% | -$10.8M-132.6% | $33.2M+774.1% | -$4.9M+15.9% | -$5.9M |
| EPS (Diluted) | $-0.76 | N/A | $-0.72-60.0% | $-0.45+38.4% | $-0.73 | N/A | $-0.32+15.8% | $-0.38 |
LOVE Balance Sheet
| Metric | Q1'27 | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $501.0M-6.3% | $534.7M+7.9% | $495.5M+0.4% | $493.7M+2.1% | $483.7M-9.1% | $532.3M+6.5% | $499.7M+3.9% | $481.1M |
| Current Assets | $199.0M-15.9% | $236.6M+27.2% | $186.0M-2.0% | $189.8M+4.6% | $181.5M-26.4% | $246.6M+17.5% | $209.9M+8.1% | $194.2M |
| Cash & Equivalents | $57.0M-44.0% | $101.9M+329.4% | $23.7M-30.6% | $34.2M+27.1% | $26.9M-67.9% | $83.7M+35.7% | $61.7M-14.5% | $72.1M |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $144K0.0% | $144K0.0% | $144K0.0% | $144K0.0% | $144K0.0% | $144K0.0% | $144K0.0% | $144K |
| Total Liabilities | $295.4M-6.5% | $316.0M+3.2% | $306.2M+3.4% | $296.2M+4.9% | $282.5M-10.6% | $315.9M+4.2% | $303.2M+8.7% | $278.9M |
| Current Liabilities | $128.4M-12.7% | $147.1M+7.4% | $137.0M+9.5% | $125.1M+10.7% | $113.1M-27.1% | $155.1M+9.9% | $141.1M+22.6% | $115.1M |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $205.5M-6.0% | $218.7M+15.5% | $189.3M-4.1% | $197.5M-1.9% | $201.2M-7.0% | $216.4M+10.1% | $196.5M-2.8% | $202.1M |
| Retained Earnings | $10.4M-56.4% | $23.9M+389.5% | -$8.2M-457.3% | $2.3M-74.2% | $8.9M-65.4% | $25.8M+258.9% | $7.2M-53.8% | $15.6M |
LOVE Cash Flow Statement
| Metric | Q1'27 | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$35.4M-142.4% | $83.4M+1809.1% | -$4.9M-140.1% | $12.2M+129.4% | -$41.4M-194.0% | $44.0M+1144.4% | -$4.2M-168.2% | $6.2M |
| Capital Expenditures | $5.0M+2.2% | $4.9M-7.1% | $5.3M+22.3% | $4.3M-49.5% | $8.6M+62.2% | $5.3M+122.2% | $2.4M-60.8% | $6.1M |
| Free Cash Flow | -$40.4M-151.4% | $78.5M+870.9% | -$10.2M-230.0% | $7.8M+115.7% | -$50.0M-229.0% | $38.7M+687.4% | -$6.6M-5641.2% | $119K |
| Investing Cash Flow | -$5.3M-0.8% | -$5.3M+4.9% | -$5.5M-23.4% | -$4.5M+48.3% | -$8.7M-60.0% | -$5.4M-111.1% | -$2.6M+58.4% | -$6.2M |
| Financing Cash Flow | -$4.2M-27793.3% | -$15K+61.5% | -$39K+89.7% | -$379K+94.4% | -$6.8M+59.2% | -$16.5M-353.9% | -$3.6M-1548.9% | -$221K |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | $2.4M | $0 | $0 | $0-100.0% | $6.0M-63.6% | $16.5M+380.9% | $3.4M | $0 |
LOVE Financial Ratios
| Metric | Q1'27 | Q4'26 | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 52.1%-6.9pp | 59.0%+2.9pp | 56.1%-0.3pp | 56.4%+2.7pp | 53.8%-7.1pp | 60.9%+2.4pp | 58.5%-0.5pp | 59.0% |
| Operating Margin | -12.6%-31.6pp | 19.1%+29.6pp | -10.5%-5.0pp | -5.5%+5.3pp | -10.8%-29.8pp | 19.0%+24.1pp | -5.1%+0.2pp | -5.3% |
| Net Margin | -8.0%-21.1pp | 13.1%+20.1pp | -7.0%-2.9pp | -4.1%+3.7pp | -7.8%-21.9pp | 14.1%+17.4pp | -3.3%+0.5pp | -3.7% |
| Return on Equity | -5.4%-20.2pp | 14.8%+20.4pp | -5.6%-2.2pp | -3.4%+2.0pp | -5.4%-20.8pp | 15.4%+17.9pp | -2.5%+0.4pp | -2.9% |
| Return on Assets | -2.2%-8.3pp | 6.1%+8.2pp | -2.1%-0.8pp | -1.4%+0.9pp | -2.2%-8.5pp | 6.2%+7.2pp | -1.0%+0.2pp | -1.2% |
| Current Ratio | 1.55-0.1 | 1.61+0.3 | 1.36-0.2 | 1.52-0.1 | 1.60+0.0 | 1.59+0.1 | 1.49-0.2 | 1.69 |
| Debt-to-Equity | 1.440.0 | 1.44-0.2 | 1.62+0.1 | 1.50+0.1 | 1.40-0.1 | 1.46-0.1 | 1.54+0.2 | 1.38 |
| FCF Margin | -29.2%-60.8pp | 31.6%+38.4pp | -6.8%-11.7pp | 4.9%+41.0pp | -36.1%-52.5pp | 16.4%+20.8pp | -4.4%-4.5pp | 0.1% |
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Frequently Asked Questions
What is Lovesac Co.'s annual revenue?
Lovesac Co. (LOVE) reported $697.1M in total revenue for fiscal year 2026. This represents a 2.4% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Lovesac Co.'s revenue growing?
Lovesac Co. (LOVE) revenue grew by 2.4% year-over-year, from $680.6M to $697.1M in fiscal year 2026.
Is Lovesac Co. profitable?
Yes, Lovesac Co. (LOVE) reported a net income of $4.1M in fiscal year 2026, with a net profit margin of 0.6%.
What is Lovesac Co.'s EBITDA?
Lovesac Co. (LOVE) had EBITDA of $20.3M in fiscal year 2026, measuring earnings before interest, taxes, depreciation, and amortization.
What is Lovesac Co.'s gross margin?
Lovesac Co. (LOVE) had a gross margin of 56.4% in fiscal year 2026, indicating the percentage of revenue retained after direct costs of goods sold.
What is Lovesac Co.'s operating margin?
Lovesac Co. (LOVE) had an operating margin of 0.8% in fiscal year 2026, reflecting the profitability of core business operations before interest and taxes.
What is Lovesac Co.'s net profit margin?
Lovesac Co. (LOVE) had a net profit margin of 0.6% in fiscal year 2026, representing the share of revenue converted into profit after all expenses.
What is Lovesac Co.'s return on equity (ROE)?
Lovesac Co. (LOVE) has a return on equity of 2.0% for fiscal year 2026, measuring how efficiently the company generates profit from shareholder equity.
What is Lovesac Co.'s free cash flow?
Lovesac Co. (LOVE) generated $26.2M in free cash flow during fiscal year 2026. This represents a 45.9% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Lovesac Co.'s operating cash flow?
Lovesac Co. (LOVE) generated $49.3M in operating cash flow during fiscal year 2026, representing cash generated from core business activities.
What are Lovesac Co.'s total assets?
Lovesac Co. (LOVE) had $501.0M in total assets as of fiscal year 2026, including both current and long-term assets.
What are Lovesac Co.'s capital expenditures?
Lovesac Co. (LOVE) invested $23.1M in capital expenditures during fiscal year 2026, funding long-term assets and infrastructure.
How much does Lovesac Co. spend on research and development?
Lovesac Co. (LOVE) invested $7.0M in research and development during fiscal year 2026.
What is Lovesac Co.'s current ratio?
Lovesac Co. (LOVE) had a current ratio of 1.55 as of fiscal year 2026, which is generally considered healthy.
What is Lovesac Co.'s debt-to-equity ratio?
Lovesac Co. (LOVE) had a debt-to-equity ratio of 1.44 as of fiscal year 2026, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Lovesac Co.'s return on assets (ROA)?
Lovesac Co. (LOVE) had a return on assets of 0.8% for fiscal year 2026, measuring how efficiently the company uses its assets to generate profit.
What is Lovesac Co.'s Altman Z-Score?
Lovesac Co. (LOVE) has an Altman Z-Score of 2.13, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Lovesac Co.'s Piotroski F-Score?
Lovesac Co. (LOVE) has a Piotroski F-Score of 4 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Lovesac Co.'s earnings high quality?
Lovesac Co. (LOVE) has an earnings quality ratio of 12.03x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Lovesac Co.?
Lovesac Co. (LOVE) scores 41 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.