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Neighborhood Intelligence (NXH) Q3 2026 Earnings Report

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MX:NXH Q3 2026 EPS Results

Actual EPS
-MXN 5.21
Consensus EPS
-MXN 8.99
Beat/Miss
Beat by +MXN 3.78
One Year Ago EPS
-MXN 1.30

MX:NXH Q3 2026 Revenue Results

Actual Revenue
MXN 9.47B
Expected Revenue
MXN 9.21B
Beat/Miss
Beat by +MXN 268.07M
YoY Revenue Growth
+98.03%

Earnings Announcement Details

Quarter
Q3 2026
Date
11/05/2026
Time
After Close
Conference Call
Thursday, November 5, 2026
MX:NXH Upcoming Earnings

Neighborhood Intelligence's next earnings date is estimated for February 24, 2027, based on past reporting schedules.

Q3 2026 Earnings Call Audio

MX:NXH Q3 2026 Earnings Call
0:00 / 0:00

Q3 2026 Earnings Slide Deck

Q3 2026 Earnings Call Summary

Q3 2026
Earnings Call Date:Nov 05, 2026|% Change Since:0.00%|
Earnings Call Sentiment|Positive

The call was broadly optimistic about the company's transformation, organic growth prospects, integration opportunities, cost savings and longer-term margin expansion. However, the company remains unprofitable, reported a year-over-year adjusted EBITDA decline, faces significant integration and restructuring work, and is operating against a severely weak housing and consumer affordability backdrop.

Company Guidance

For the fourth quarter, the company is expecting about 5% revenue growth over Q3, with continued growth in the core e-commerce business; looking ahead to 2027, it expects consolidated revenue to be approximately in a range of $2 billion to $2.1 billion, including modest organic growth of, call it, 5%, and is projecting gross margins to be between 33% and 34%, with a clear path to 37%; its longer-term objective is that every incremental $100 million of revenue contributes $30 million of the $34 million to the bottom line, with $4 million attributable to incentivizing staff, sales staff, general managers and senior management; core e-commerce margins are expected to be in the range of 23% to 24.5%, with about 1% to 1.25% of margin improvement over the next 12 to 24 months, integration and merger synergies are expected to develop over the next 6 to 9 months, and if leads, proper stocking and training, and housing-market normalization come together, Elfa could achieve double-digit growth over the next 4, 5 years.

  • Core E-Commerce Returned to Growth and EBITDA NeutralityCore e-commerce revenue grew approximately 9% year-over-year, the largest growth in 19 quarters, led by 75% growth at Overstock.com. The business reached adjusted EBITDA neutrality for the first time in many years.
  • Significant Consolidated Revenue GrowthThird-quarter revenue increased 98% year-over-year to $509 million, primarily driven by the mergers with Kirkland's, SFV Services and The Container Store.
  • Gross Margin ImprovementGross margin was 34.0%, an 870-basis-point increase versus the same period last year, primarily due to the mix benefit from The Container Store and Kirkland's, which carry structurally higher gross margins.
  • Core Bed Bath & Beyond Revenue GrowthCore Bed Bath & Beyond revenue increased by $23 million year-over-year, driven by a 7.4% increase in average order value and 1.5% growth in orders.
  • Improved Sales and Marketing EfficiencySales and marketing expense was $54 million and improved by 330 basis points as a percentage of revenue versus last year to 10.7%, primarily driven by the mix benefit of the acquired entities.
  • Retail Integration and Store ExpansionThe company is bringing the traditional Bed Bath & Beyond assortment and brand into more than 75 stores, with products being stocked and signage and branding expected to be completed in early 2027.
  • Encouraging Retail Merchandise TrendsManagement reported customer engagement and growth in general merchandise at The Container Store as Bed Bath & Beyond categories are introduced. At Kirkland's, a sharper focus on seasonal home decor is producing better merchandise margins and significant improvement in inventory productivity.
  • Global Sourcing and Assortment OpportunitiesKirkland's brought product development and global sourcing capabilities, including direct factory relationships. Management expects meaningful benefits from new sourcing and assortment programs beginning in the middle to latter part of 2027.
  • Distribution and Inventory Efficiency InitiativesThe company is consolidating distribution centers, simplifying product movement through its network and clearing dated and underperforming inventory identified during acquisition diligence to build a more efficient operation and make room for desired assortments.
  • Home Services Platform ExpansionSFV Services added experienced talent and an extensive installation network, strengthening the company's ability to install Elfa and Closet Works products and supporting expansion into additional home services, including painting and assembly.
  • Elfa and Home Services Margin PotentialManagement described the Elfa and SFV home services offering as a 60% margin business. Elfa product availability is improving, products are arriving daily at distribution centers, and the company has repriced products and rationalized SKUs.
  • Expanded Customer BaseThe completed acquisitions doubled the company's active customer base with very little duplication. Management also cited a broader database of more than 100 million customers as an important asset.
  • Cost Savings IdentifiedYear-to-date, the company eliminated more than $50 million in annualized SG&A costs and merger synergies and identified more than $40 million in additional annualized savings opportunities. Management expects integration and merger-synergy benefits to develop over the next 6 to 9 months.
  • Liquidity and Working Capital ResourcesThe company ended the quarter with $127 million in cash, cash equivalents and restricted cash, up $1 million, or 0.6%, from the second quarter. Management also cited $228 million in inventory and free-and-clear real estate, $110 million of equity in inventory and $118 million of ABL borrowings as part of its working-capital resources.
  • Lease Rationalization and Store Cost ReductionThe company expects to close 11 Container Store locations by year-end and is exiting 39 Kirkland's locations that were 4-wall negative, with natural lease expirations largely occurring in January 2027. The average lease amount of those locations is expected to fall off by approximately $55,000 to $60,000 when blended.
  • Bed Bath & Beyond Store Conversion ProgressThe first store expected to look like a traditional Bed Bath & Beyond location received a significant lease reduction and $650,000 in tenant allowance. Fully set stores were described as showing early positive trends, including revenue growth of 10%, 12% and 15% at certain locations, even before Elfa improvement.
  • Core E-Commerce Margin and Cost OpportunitiesCore e-commerce margins were described as being in the 23% to 24.5% range. The company reduced annual expense by $1 million from exiting office space and expects another $1 million of savings from technology streamlining.
  • Potential E-Commerce Margin ExpansionManagement expects returns of e-commerce orders to stores could provide approximately 1% to 1.25% of margin improvement over the next 12 to 24 months. The websites may also sell inventory held by Kirkland's and the stores without adding incremental supply-chain or inventory costs.
  • Overstock.com Scale and Marketing EfficiencyOverstock.com is on pace to exceed $300 million on an annualized basis. Management said its SG&A is one-fifth of what it was when Overstock generated $1.7 billion in a non-COVID year, and marketing efficiency improved during the quarter.
  • Fourth-Quarter and 2027 Growth FrameworkFor the fourth quarter, management expects approximately 5% sequential revenue growth over the third quarter. For 2027, the company expects consolidated revenue of approximately $2 billion to $2.1 billion, including modest organic growth.
  • Longer-Term Margin and Incremental Revenue FrameworkManagement expects 2027 gross margins to be between 33% and 34% and said it sees a clear path to 37%. It also expects that, from a $2 billion to $2.1 billion base, each incremental $100 million of organic revenue could contribute $30 million to the bottom line, with $4 million allocated to incentives.
  • No Further Acquisitions PlannedManagement said the company is not pursuing additional acquisitions and is prioritizing organic growth, better coordination among existing businesses and improved profitability.

MX:NXH Earnings History

MX:NXH earnings history
Report DateFiscal QuarterForecast / EPSLast Year's EPSEPS YoY ChangePress Release
Feb 24, 20272026 (Q4)-5.12--5.58――
Nov 05, 20262026 (Q3)-8.99-5.21-1.3-300.00% (-3.91)
Aug 04, 20262026 (Q2)-6.66-9.86-6.32-55.88% (-3.53)
Apr 27, 20262026 (Q1)-5.21-4.46-7.8142.86% (+3.35)
Feb 23, 20262025 (Q4)-8.19-5.58-16.9367.03% (+11.35)
Oct 27, 20252025 (Q3)-8.89-1.30-24.7494.74% (+23.44)
Jul 28, 20252025 (Q2)-6.62-6.32-14.1455.26% (+7.81)
Apr 28, 20252025 (Q1)-11.78-7.81-22.765.57% (+14.88)
Feb 24, 20252024 (Q4)-13.64-16.93-22.725.41% (+5.77)
Oct 24, 20242024 (Q3)-14.36-24.74-11.35-118.03% (-13.39)

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