Bob’s Discount Furniture posted first-quarter revenue growth despite weaker consumer demand and difficult weather conditions, while continuing to push ahead with an aggressive long-term expansion strategy.
The furniture retailer reported net revenue of $578.1 million for the quarter ended March 29, up 8.5% year over year, driven by new store openings and modest comparable sales growth.
Comparable sales increased 1.2%, supported by higher conversion rates and larger average order values across stores and e-commerce. The gains were partially offset by lower in-store traffic during periods affected by severe winter weather.
Bob’s opened five stores during the quarter and ended the period with 214 locations across 26 states. The company remains on track to open around 20 stores during fiscal 2026.
CEO Bill Barton said the retailer continues to see a “clear and actionable path” to operating more than 500 stores by 2035.
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“Despite adverse weather and broader industry headwinds, Bob’s continued to gain market share,” Barton said in the company’s earnings release.
“Our results reflect the power of our merchandising strategy, omni-channel capabilities, and disciplined approach to new market expansion.”
Net income declined sharply to $2.5 million, or $0.02 per share, compared with $13.1 million, or $0.12 per share, a year earlier. Adjusted earnings per share fell to $0.09 from $0.13.
The decline in profitability was driven by costs tied to new store openings, higher marketing expenses and a one-time $2 million termination fee related to an advisory agreement with the company’s controlling shareholder.
Bob’s reaffirmed its full-year outlook, forecasting fiscal 2026 revenue between $2.6 billion and $2.63 billion and comparable sales growth of 1.5% to 2.5%.
The results come as furniture retailers continue to face pressure from softer discretionary spending and a challenging housing market, even as some chains pursue growth through store expansion and omnichannel investments.
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