What is the market's earnings forecast for Purple Innovation next quarter?

What were the key takeaways from Purple Innovation's earnings call?

What is the revenue and EPS growth rate for Purple Innovation year over year?

What is Purple Innovation's gross profit margin?

What guidance did Purple Innovation's management provide for the next earnings period?

What does Purple Innovation do and what are its main business segments?

What is Purple Innovation's latest dividend and current dividend yield?

What factors drove the changes in Purple Innovation's revenue and profit?

- **Revenue Resilience**: Q3 revenue $118.8M, flat year-over-year, with 8% wholesale growth and 6.5% showroom sales gain. 
- **Profitability Breakthrough**: 43% gross margin (vs. 36% Q2), breakeven EBITDA after restructuring savings. 
- **Strategic Growth**: Mattress Firm to drive $70M+ in 2026, Rejuvenate 2.0 doubling unit sales. 
- **Channel Momentum**: Showroom profitability at 76%, e-commerce improving with Amazon and website refresh. 
- **Financial Health**: $32.4M cash, 23.2% opex reduction, 2026 guidance for $465-485M revenue and breakeven-$10M EBITDA.

**【CEO Summary Section】**
- **Revenue Growth and Strategic Progress**: Q3 revenue of $118.8 million, slightly up year-over-year, driven by Rejuvenate 2.0 and Mattress Firm expansion. Positive adjusted EBITDA achieved, with a path to $70 million in 2026 from Mattress Firm. 
- **Product Success**: Rejuvenate 2.0 sold twice as many units as Rejuvenate 1.0, with 3,000+ units sold at $5,800 average price. Showroom sales grew 6.5%, with 76% of showrooms profitable. 
- **Channel Performance**: Wholesale up 8% on expanded distribution; e-commerce down 10% but improving with Amazon and website refresh. 
- **Gross Margin Improvement**: 43% in Q3 (vs. 36% Q2), sustained by restructuring savings and tariff mitigation. 
- **Strategic Alternatives**: Ongoing review of transactions to maximize shareholder value, with no updates yet.

**【CFO Financial Commentary】**
- **Financial Highlights**: Q3 net revenue $118.8M, gross profit $50.9M (42.8% margin). Adjusted EBITDA breakeven vs. -$6.4M last year. Operating expenses down 23.2% to $63M, benefiting from $25-30M annual cost savings. 
- **Balance Sheet**: $32.4M cash, up from $29M last quarter. Inventory $65.8M, up 15.7% year-over-year. 
- **Guidance**: Full-year revenue $465-485M, EBITDA breakeven-$10M. Q4 expects top-line growth from holiday sales, Costco, and Mattress Firm expansion.

**【Q&A Highlights】**
- **Market Trends**: CEO notes industry softness post-Labor Day, but Purple outperforming peers with 12% showroom comps. 
- **Margin Sustainability**: CFO targets 40%+ gross margin, with breakeven at $40M/month revenue. 
- **2026 Outlook**: Mattress Firm slots to reach 12,000 by March 2026, with $70M+ revenue contribution. 
- **E-commerce Strategy**: Website refresh and Amazon growth driving premium product mix shift. 
- **Showroom Expansion**: 76% profitable showrooms vs. 56% last year, with focus on premium pricing and technology storytelling.

Purple Innovation, Inc. (PRPL) Q3 2025 Earnings Call Transcript

- **Revenue Resilience**: Q2 $105M (-12.6% YoY) with Rejuvenate 2.0 outpacing supply and Mattress Firm expansion.
- **Gross Margin Recovery**: 36% Q2 dip expected to rebound to >40% by year-end via tariff mitigation and efficiency gains.
- **Strategic Growth**: 
  - Mattress Firm rollout (3,800 slots by mid-August).
  - Costco expansion to 450 clubs for year-end show.
  - Grid Cloud Pillow launched in 1,200 Walmart stores.
- **Back Half Outlook**: Mid-single-digit YoY growth, positive EBITDA in H2, and $465-485M full-year revenue guidance reaffirmed.

**【CEO Summary Section】**
- **Q2 Revenue**: $105 million (-12.6% YoY, + slight QoQ increase), driven by Rejuvenate 2.0 demand outpacing supply and Mattress Firm expansion.
- **Rejuvenate 2.0 Success**: Sold 1,300+ units at $6,000 ASP, 80% via showrooms; 2x Rejuvenate 1.0 launch volume.
- **Gross Margin Challenge**: 36% (vs. >40% prior 4 quarters), due to tariffs and launch costs; expects rebound to >40% by year-end.
- **Strategic Momentum**: 
  - Mattress Firm rollout nearing completion (3,800 slots by mid-August).
  - Costco expansion to 450 clubs for year-end furniture show.
  - New pillow line (Grid Cloud) launched in 1,200 Walmart stores.
- **Back Half Outlook**: Mid-single-digit YoY revenue growth, positive EBITDA in H2, and showroom channel profitability in 2025.

**【CFO Financial Commentary】**
- **Revenue Breakdown**: 
  - Direct-to-Consumer: $58.9M (-13.3% showroom, -11.5% e-commerce).
  - Wholesale: $46.2M (-13.4% YoY, sequential improvement).
- **Gross Profit**: $37.7M (-22.9% YoY), impacted by tariffs and launch costs.
- **Operating Expenses**: $51.9M (-18.2% YoY), driven by cost savings initiatives.
- **Adjusted EBITDA**: -$2.4M (vs. -$4.1M YoY), improving sequentially.
- **Balance Sheet**: $34.2M cash, $60.9M inventory (-12.6% YoY).
- **Full Year Guidance**: Revenue $465-485M, EBITDA flat to +$10M.

**【Q&A Key Highlights】**
- **Q3 Momentum**: Mid-single-digit YoY growth, driven by Rejuvenate 2.0 shipments and Mattress Firm expansion.
- **Gross Margin Recovery**: >40% by year-end, with $10M+ tariff mitigation efforts.
- **New Retailer Partnership**: Modest Q3/Q4 impact, significant '26 contribution.
- **Cash Priorities**: Store expansion, internal investments, and cash cushion.
- **Tariff Pricing**: 2%+ price increases on select products, no consumer pushback observed.


Purple Innovation, Inc. (PRPL) Q2 2025 Earnings Call Transcript

- **Showroom strength**: 7% revenue growth (11% comparable sales) vs. 24% decline in wholesale.\n- **Gross margin milestone**: 40.3% adjusted gross margin (+550 bps YoY).\n- **$70M+ partnership**: Expanded Mattress Firm agreement to 12,000 slots, targeting 2026+ revenue.\n- **Tariff risk**: $10M annualized impact, partially mitigated by sourcing strategies.\n- **Guidance reaffirmed**: $465-485M revenue, flat to +$10M EBITDA.\n- **H2 growth drivers**: Rejuvenate 2.0 rollout and Mattress Firm expansion.

**【CEO Summary Section】**
- Q1 2025 revenue of $104.2 million (-13% YoY) in line with guidance, driven by 7% growth in the showroom channel (11% comparable sales).\n- Adjusted EBITDA improved by $8 million YoY, with gross margin exceeding 40% for the 4th consecutive quarter (+550 bps YoY).\n- Major partnership with Mattress Firm expanded to 12,000 slots across all stores, targeting $70 million+ incremental net revenue starting 2026.\n- Rejuvenate 2.0 mattress launch shows early momentum, with Rejuvenate slot count up 60% YoY at non-Mattress Firm retailers.\n- Tariff exposure estimated at $10 million annually, with mitigation strategies underway.\n- Full-year guidance reaffirmed: $465-485 million revenue, flat to +$10 million adjusted EBITDA.\n\n**【CFO Financial Commentary】**\n- Q1 2025 net revenue: $104.2 million (-13.2% YoY).\n- DTC channel: Showrooms +7.4%, e-commerce -8.2%.\n- Adjusted gross margin: 40.3% (+550 bps YoY).\n- Operating expenses: $55.5 million (-14.4% YoY).\n- Adjusted EBITDA: -$4.7 million (vs. -$13.2 million YoY).\n- Borrowed $20 million to support Mattress Firm partnership and innovation.\n- Balance sheet: $21.6 million cash, $60.2 million inventory.\n\n**【Q&A Highlights】**\n- **Mattress Firm partnership**: 12,000 slots across all stores, incremental $70 million+ net revenue starting 2026.\n- **Tariff impact**: $10 million annualized, with mitigation strategies to offset ~portion.\n- **2025 outlook**: Q2 pressured by macro/tariffs, sequential growth expected in H2 from Rejuvenate 2.0 and Mattress Firm rollout.\n- **Strategic alternatives**: Board review ongoing, no updates to share.\n\n**【Key Strategic Pillars】**\n1. **Innovation**: Rejuvenate 2.0 launch with DreamLayer technology.\n2. **Differentiation**: Showroom channel outperforms industry by 10+ percentage points.\n3. **Gross Margin**: 40%+ gross margin target, $25-30 million savings from manufacturing consolidation.\n\n**【Risks】**\n- Tariff-related cost increases ($10 million annualized).\n- Consumer demand uncertainty (Q2 softness noted).\n- E-commerce conversion challenges (-8% YoY).\n\n**【Upcoming Catalysts】**\n- Rejuvenate 2.0 wholesale rollout.\n- Mattress Firm partnership ramp-up (Q3-Q4 2025).\n- Costco promotional events.\n- Pillow business expansion (60%+ slot growth).

Purple Innovation (PRPL)-6 May 25-2025 Q1 Earnings call transcript

- **Gross Margin Triumph**: Q4 2024 gross margin jumps to 42.9% (+970bps YoY), driven by manufacturing consolidation and cost controls. 
- **Cost Savings Acceleration**: $25-30M annualized EBITDA savings, with $7-10M in COGS savings and $4M in opex savings materializing in 2025. 
- **Rejuvenate 2.0 Momentum**: Showroom launch April 15, targeting 50%+ slot growth in wholesale by Q3. 
- **2025 Outlook**: Revenue $465-485M, EBITDA flat to +$10M, with Q2+ savings and Rejuvenate-driven growth. 
- **Resilience Amid Challenges**: Positive cash flow ($6M Q4), reduced inventory ($56.9M vs +15% YoY), and $29M cash on hand. 


**【CEO Summary Section】**
- **Revenue Growth**: Q4 2024 revenue of $129M, down 11.6% YoY, but sequential improvement driven by holiday demand. Showrooms grew 4.2% YoY, while e-commerce and wholesale faced headwinds. Full-year revenue $487.9M (-4.4% YoY). 
- **Gross Margin Expansion**: Q4 gross margin 42.9% (+970bps YoY), driven by manufacturing consolidation, sourcing improvements, and inventory liquidation. Full-year adjusted gross margin 40.3% (+310bps YoY). 
- **Cost Savings**: $25-30M annualized EBITDA savings from plant consolidation, with $7-10M in cost of sales savings and $4M in opex savings realized in 2024. 
- **Product Launches**: Rejuvenate 2.0 mattress line launching Q2 in showrooms, followed by wholesale rollout. New Grid Cloud pillow at $149 price point targeting new customers. 
- **Strategic Focus**: 3 pillars - technology innovation (Gel Grid 2.0), differentiation messaging, and gross margin prioritization. 2025 revenue guidance $465-485M, EBITDA flat to +$10M. 

**【CFO Financial Commentary】**
- **Q4 2024 Results**: Adjusted EBITDA $2.9M (vs -$9.8M YoY), net loss $8M (vs -$15.8M YoY). Cash flow positive $6M, ending with $29M cash. 
- **Full Year 2024**: Adjusted EBITDA -$20.8M (vs -$54.7M YoY), adjusted loss per share -$0.57 (vs -$0.69 YoY). Inventory down 15% YoY to $56.9M. 
- **2025 Outlook**: Q1 revenue $102-107M, EBITDA -$6-9M. 2025 EBITDA flat to +$10M, driven by cost savings and Rejuvenate 2.0 launch. 

**【Q&A Highlights】**
- **Cost Savings Timing**: $7-10M in COGS savings and $4M in opex savings to flow through 2025. 
- **Rejuvenate Launch**: Showroom launch April 15, e-commerce minimal impact, wholesale rollout over 3-5 months. 
- **Industry Challenges**: Consumer demand softness in Q1, cautious outlook but confident in cost structure. 
- **Tariff Impact**: $2-5M exposure, manageable through supply chain adjustments. 
- **Strategic Alternatives**: Board evaluating options amid industry consolidation, no impact on 2025 execution. 


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