Arhaus Boosts Sales Projection Following Strong Q4

January 9, 2023  by HFBusiness Staff in Business Strategy, Industry   

The retailer, which has 81 stores and a robust e-commerce business, now expects revenues to be $1.223 billion to $1.228 billion for the year. That’s up from a November projection of $1.173 billion to $1.193 billion.

In 2021, revenues totaled $797 million, so if actual 2022 revenues are in the low range of the latest projection, it would represent a top-line increase of about 47 percent.

“We are encouraged by the outstanding performance and continued momentum in our business in the fourth quarter resulting in expected full year 2022 record net revenue exceeding $1 billion and expected comparable growth of approximately 51 percent,” said John Reed, co-founder and CEO.

In November, the retailer projected comparable growth at 43 percent to 48 percent.

Arhaus did not issue a new earnings forecast, but in November said it was expecting net earnings of $109 million to $115 million. In 2021, net earnings totaled $83 million.

Reed said the company is keeping a close eye on current economic trends, but said he remains optimistic about further growth.

“Looking forward, while we are mindful of the current economic backdrop, we are excited about the multiple opportunities for growth that lie ahead as we expand our showroom footprint, accelerate our brand awareness, and continue to enhance our omni-channel and technology capabilities while making the necessary investments to support our growth and leverage our scale,” he said.