Mattresses company Purple Innovation's Q3 revenue misses expectations

Purple Innovation

04/11/2025 21:45

Overview

Purple Innovation Q3 2025 revenue missed analyst expectations despite slight year-over-year growth

Company reports improved net loss and positive adjusted EBITDA, reflecting profitability turnaround

Rejuvenate 2.0 and Mattress Firm expansion drive product and brand momentum

Outlook

Company maintains 2025 revenue guidance of $465 mln to $485 mln

Purple Innovation expects 2025 adjusted EBITDA of breakeven to $10 mln

Company cites Rejuvenate 2.0 and Mattress Firm partnership as growth drivers

Result Drivers

REJUVENATE 2.0 - Success of Rejuvenate 2.0 product line contributed to product and brand momentum

MATTRESS FIRM EXPANSION - Expansion of Mattress Firm partnership supported growth in premium segment

RESTRUCTURING BENEFITS - Completion of restructuring program led to cost savings and improved gross margins

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$118.76 mln
$123.20 mln (5 Analysts)
Q3 Net Income
-$11.74 mln
Q3 Gross Profit
$50.85 mln
Q3 Operating Expenses
$62.97 mln
Q3 Operating Income
-$12.12 mln
Q3 Pretax Profit
-$11.69 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the home furnishings peer group is "buy."

Wall Street's median 12-month price target for Purple Innovation Inc is $3.30, about 75.8% above its November 3 closing price of $0.80

Press Release: ID:nPn5wQzf3a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)