Arhaus(US:ARHS)2025-05-08 10:33Financial Performance - First quarter 2025 net revenue increased by 5.5% to $311 million compared to the same period in 2024[4] - Net income decreased by 67.6% to $5 million in the first quarter 2025 compared to the same period in 2024[4] - Adjusted EBITDA for the first quarter 2025 decreased by 36.2% to $19 million compared to the same period in 2024[4] - Comparable growth for the first quarter was (1.5)%, while demand comparable growth was 4.1%[4] - Net revenue for Q1 2025 was $311,372, an increase of 5.1% compared to $295,162 in Q1 2024[20] - Net and comprehensive income decreased to $4,882 in Q1 2025 from $15,099 in Q1 2024, representing a decline of 67.7%[22] - Adjusted EBITDA for Q1 2025 was $18,572, down from $29,110 in Q1 2024, a decrease of 36.0%[22] Cash and Assets - As of March 31, 2025, cash and cash equivalents totaled $214 million, with no long-term debt[8] - Cash and cash equivalents at the end of Q1 2025 were $214,394, up from $197,511 at the end of Q4 2024, an increase of 8.9%[18] - Total current assets increased to $552,758 in Q1 2025 from $531,043 in Q4 2024, a rise of 4.2%[18] Client Deposits - Client deposits increased by 19.2% to $263 million from December 31, 2024, to March 31, 2025[8] - Client deposits increased significantly to $263,206 in Q1 2025 from $220,873 in Q4 2024, a rise of 18.9%[18] Expenses - Gross margin for the first quarter 2025 was $116 million, reflecting a 0.4% increase year-over-year[4] - Selling, general and administrative expenses rose to $110,058 in Q1 2025, compared to $96,693 in Q1 2024, an increase of 13.7%[20] Future Outlook - The updated full-year 2025 net revenue guidance is between $1.29 billion and $1.38 billion[10] - The company expects net income for Q2 2025 to be between $48 million and $68 million[10] - The company plans to complete approximately 12 to 15 total showroom projects in 2025, including 4 to 6 new showrooms[6][10]