Purple Innov | 8-K: FY2025 Q2 Revenue Beats Estimate at USD 105.1 M

Revenue: As of FY2025 Q2, the actual value is USD 105.1 M, beating the estimate of USD 103.69 M.

EPS: As of FY2025 Q2, the actual value is USD -0.16, missing the estimate of USD -0.12.

EBIT: As of FY2025 Q2, the actual value is USD -5.03 M.

Segment Revenue

• Net revenue for the second quarter of 2025 was $105.1 million, a decline of 12.6% compared to $120.3 million in the second quarter of 2024.

Operational Metrics

• Gross profit for the second quarter of 2025 was $37.7 million, down from $48.9 million in the prior-year period, with a gross margin of 35.9%, a decrease of 480 basis points year-over-year.
• Operating expenses were $51.9 million, a decrease of 18.2% from $63.5 million in the prior year quarter, primarily due to reduced advertising spend and restructuring benefits.
• Net loss attributable to Purple Innovation, Inc. for the second quarter was - $17.3 million, compared to $0.0 in the prior year.
• Adjusted EBITDA for the second quarter was - $2.4 million, an improvement from - $4.1 million last year.

Cash Flow

• Net cash used in operating activities for the six months ended June 30, 2025, was - $27.1 million, compared to - $25.7 million in the same period of 2024.
• Cash and cash equivalents as of June 30, 2025, were $34.2 million, up from $29.0 million as of December 31, 2024.

Unique Metrics

• The Rejuvenate 2.0 collection, incorporating new DreamLayer grid technology, showed strong demand, more than doubling the launch of Rejuvenate 1.0 in direct-to-consumer channels.

Outlook / Guidance

• Purple Innovation reaffirms its 2025 outlook, expecting full-year revenue between $465 to $485 million and adjusted EBITDA ranging from flat to positive $10 million.
• The company anticipates sequential growth in the second half of the year, driven by the successful launch of Rejuvenate 2.0 and the expansion of its partnership with Mattress Firm.