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Arhaus (MX:ARHS)
:ARHS
Mexico Market
EarningsQ2 2026 Earnings Report

Arhaus (ARHS) Q2 2026 Earnings Report

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MX:ARHS Q2 2026 EPS Results

Actual EPS$4.82
Consensus EPS$2.79
Beat/MissBeat by +$2.03
One Year Ago EPS$4.30

MX:ARHS Q2 2026 Revenue Results

Actual Revenue$6.63B
Expected Revenue$6.30B
Beat/MissBeat by +$331.28M
YoY Revenue Growth+7.38%

Earnings Announcement Details

QuarterQ2 2026
Date08/06/2026
TimeBefore Open
Conference CallThursday, August 6, 2026
MX:ARHS Upcoming Earnings
Arhaus's next earnings date is estimated for November 5, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:ARHS Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Aug 06, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call conveyed strong operational momentum and record revenue driven by broad‑based product demand, accelerating written sales, robust showroom expansion, improving inventory availability, a full tariff refund cash outcome, and continued execution on technology and channel initiatives. However, meaningful near‑term headwinds remain: tariffs (structural and ongoing), elevated fuel and shipping costs, and intentional SG&A/technology investments that depress near‑term margins. Management maintained prudent full‑year revenue guidance while updating profitability to reflect the one‑time tariff recovery and deliberate reinvestment of a portion of that benefit. On balance, the positive operational achievements, cash position, tariff refund realization, and beating guidance outweigh the cost pressures and near‑term profitability noise.
Company Guidance
Arhaus maintained full‑year net revenue guidance of $1.43–1.47 billion (up 3.7%–6.6%), comparable delivered sales flat to +3%, net income $71–80 million and adjusted EBITDA $160–171 million, while incorporating a discrete IEEPA tariff recovery (requested $37.8M; $32.7M receivable recognized; full cash refund received after recognizing $23.8M benefit in COGS in Q2, including $15.5M related to pre‑April inventory, plus a $14M reduction to inventory costs); management will reinvest $7–10M of the recovery into marketing and technology, expects roughly $10M to flow through to adjusted EBITDA, and anticipates additional ~$5–7M tariff flow‑through in Q3 and a similar amount in Q4. Q2 results were net revenue $385M (+7.4%), comparable written sales +12.5% (YTD +2.8%), comparable delivered sales +4% (YTD +1.4%), gross profit $172M (44.7% margin; 40.7% ex‑tariff), adjusted EBITDA $70M ($55M ex‑tariff), net income $40M, SG&A $118M (30.6% of sales), cash $226M, inventory $354M and client deposits ~$264M. Q3 guidance: net revenue $355–375M (+3%–8.8%), comp delivered -1% to +5%, net income $8–13M and adjusted EBITDA $26–34M; company also flags a 2026 tariff headwind of ~$30–40M, ~$10M each of elevated fuel and shipping costs for the year, a June delivery‑fee benefit of ~$5–6M annualized, and expected TMS/operational and technology savings to help margins over time.
Record Net Revenue
Net revenue of $385.0M in Q2 2026, up 7.4% year‑over‑year and above the high end of guidance — the highest net revenue in company history.
Acceleration in Written and Delivered Sales
Comparable written sales increased 12.5% in the quarter (year‑to‑date comparable written sales +2.8%); comparable delivered sales increased 4% in Q2 (YTD comparable delivered sales +1.4%), exceeding the high end of guidance for delivered sales.
Profitability and Earnings Beats (Including One‑time Items)
Gross profit $172.0M (+16.1% YoY); gross margin 44.7% (+330 bps YoY). Net income $40.0M (+13.1% YoY). Adjusted EBITDA $70.0M (+16.8% YoY), all above the high end of guidance.
IEEPA Tariff Refund Recognized and Received
Recognized a $23.8M benefit in cost of goods sold related to recovery of previously paid IEEPA tariffs (split: $15.5M related to inventory sold prior to April 2026; $8.3M related to inventory sold in the quarter). Company received a full tariff refund in cash (initial cash of $5.1M reported in quarter and subsequent receipt confirmed).
Strong Liquidity and Deposits
Ended Q2 with $226M in cash and cash equivalents. Client deposits approximately $264M, up 11.8% YoY, reflecting strong written demand.
Improving Inventory Position
Net merchandise inventory $354M (up 4.3% from Dec 31, 2025) with aged inventory down sequentially and year‑over‑year; best‑seller inventory improved and in‑stock levels strengthened across the network.
Showroom Expansion and Channel Momentum
Opened nearly 20,000 sq ft showroom in Ashburn, VA; relocated Westlake, OH and Charlotte, NC (Charlotte ~35,000 sq ft); expanded Park Meadows (Lone Tree, CO). Company expects ~10–14 showroom projects in 2026 and reports broad‑based showroom performance across regions and formats.
Trade & Interior Design Programs Gaining Traction
Relaunched trade program showing strong early response (thousands of new trade members monthly), and interior design channel continued to drive larger, higher‑value projects and deeper client engagement.
Operational and Technology Progress
Launched TMS; ERP and OMS implementations on track for Feb 2027 go‑live; pulled forward modern POS implementation to Q4 2026 — expected to improve selling capabilities and drive future productivity.
Updated Full‑Year Guidance and Capital Allocation
Maintained FY net revenue guidance of $1.43B–$1.47B (+3.7% to +6.6% YoY). Updated profitability guidance reflecting tariff recovery: net income $71M–$80M and adjusted EBITDA $160M–$171M. Company will reinvest a portion of tariff recoveries into marketing/catalogs and technology ($7M–$10M of incremental investments in 2026).

MX:ARHS Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Nov 05, 2026
2026 (Q3)
1.50 / -
1.55
2026 (Q2)
2.79 / 4.82
4.30512.00% (+0.52)
2026 (Q1)
0.29 / 0.34
0.534-35.48% (-0.19)
2025 (Q4)
1.62 / 1.91
2.428-21.28% (-0.52)
2025 (Q3)
1.38 / 1.55
1.20528.57% (+0.34)
2025 (Q2)
2.57 / 4.30
2.75556.25% (+1.55)
2025 (Q1)
1.05 / 0.53
1.894-71.82% (-1.36)
2024 (Q4)
2.10 / 2.43
3.788-35.91% (-1.36)
2024 (Q3)
1.38 / 1.21
2.411-50.00% (-1.21)
2024 (Q2)
2.03 / 2.76
4.994-44.83% (-2.24)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed