Hour Loop shares surge 22.80% after-hours on Q3 results showing 7.6% revenue growth and improved operational efficiency despite tariff challenges.

Hour Loop surged 22.80% in after-hours trading following the release of its third-quarter 2025 results, which highlighted resilience amid economic and tariff challenges. The company reported a 7.6% revenue increase to $33.4 million and a $0.53 million net income, driven by strategic inventory management and operational efficiency gains that reduced operating expenses to 49.2% of revenue. CEO Sam Lai emphasized the company’s ability to adapt to tariff pressures through product portfolio reshaping and logistical flexibility, while noting that structural improvements in cost management supported profitability. Despite a modest gross margin decline to 51.4% due to tariffs and price adjustments, the results underscored the durability of Hour Loop’s operating model. The lack of full-year guidance due to ongoing tariff uncertainty did not dampen investor sentiment, as the earnings beat and operational discipline aligned with long-term growth expectations.