The Lovesac Company delivered a modest top-line gain in QQ2 2025, with net sales of $156.6 million, up 1.3% year over year and 18% quarter over quarter, powered by continued market share gains and an expanding omnichannel footprint. Gross margins remained robust at 59.0%, but operating leverage was pressured by higher SG&A and promotional activity, resulting in an operating loss of $8.4 million and a net loss of $5.9 million for the quarter. Management emphasized a disciplined investment approach focused on product innovation, omnichannel enhancements, and an ecosystem strategy designed to deepen customer relationships and lift repeat purchases. Notable launches — PillowSac Accent Chair Frame (PACF) and AnyTable — strengthened Lovesac’s design-for-life platform, contributing to incremental market penetration and a rising share of existing customers across new product adjacencies. The company reaffirmed a cautious but constructive full-year outlook, maintaining a category decline assumption of 10% for FY25 and tightening net sales guidance to $700–$735 million, with adjusted EBITDA guidance of $52–$59 million. A first-ever share repurchase authorization of up to $40 million and a strengthened liquidity position via a credit facility extension to July 2029 underscore the company’s balance-sheet resilience and emphasis on capital returns amid a choppy macro backdrop.