Arhaus (NASDAQ:ARHS) Issues Earnings Results

06 Nov 2026, 04:41 by Danessa Lincoln · The Markets Daily

Arhaus (NASDAQ:ARHS – Get Free Report) posted its earnings results on Thursday. The company reported $0.05 EPS for the quarter, missing analysts’ consensus estimates of $0.08 by ($0.03), FiscalAI reports. Arhaus had a net margin of 4.91% and a return on equity of 17.23%. The business had revenue of $368.12 million for the quarter, compared to analysts’ expectations of $370.56 million. During the same period last year, the business posted $0.09 EPS. The company’s revenue for the quarter was up 6.8% on a year-over-year basis.

Here are the key takeaways from Arhaus’ conference call:

Arhaus reported record third-quarter revenue of $368 million, up 6.8%, and comparable written sales rose 13.9%. The company raised its full-year revenue and delivered-sales outlook, while maintaining its profit guidance.
Demand was broad-based, with new-customer acquisition up more than 20% in September and growth in larger orders, custom products, and design-assisted sales. Management said September’s new customers had average order values more than 30% above existing customers, though it noted the cohort is still being evaluated.
Profitability declined: net income fell 36% to $7.8 million, while adjusted EBITDA decreased 12.3% to $27 million and its margin contracted 170 basis points. Higher marketing and technology spending, legal costs, variable compensation timing, fuel and transportation costs, and new-showroom expenses weighed on results.
Arhaus is investing in catalogs, digital commerce, and technology, and targets raising e-commerce to 25% of revenue over five years. Management expects transportation efficiencies and other initiatives to support margin improvement, but cited ongoing fuel and freight pressures and said fourth-quarter results depend partly on delivery capacity.

Arhaus Stock Performance

NASDAQ ARHS traded down $0.21 on Thursday, hitting $12.94. 4,352,843 shares of the company’s stock traded hands, compared to its average volume of 1,804,093. The firm’s 50-day moving average price is $9.80 and its two-hundred day moving average price is $8.39. The firm has a market capitalization of $1.83 billion, a PE ratio of 26.30, a P/E/G ratio of 3.73 and a beta of 2.24. The company has a current ratio of 1.33, a quick ratio of 0.60 and a debt-to-equity ratio of 0.13. Arhaus has a 1-year low of $5.57 and a 1-year high of $13.36.

Arhaus News Roundup

Here are the key news stories impacting Arhaus this week:

Positive Sentiment: Comparable Written Sales rose 13.9% year over year, while Comparable Delivered Sales increased 2.6%, offering evidence of continued demand. Arhaus Reports Third Quarter 2026 Financial Results
Neutral Sentiment: Revenue rose 6.8% to about $368 million, but came in slightly below analysts’ $370.6 million estimate. Arhaus Q3 results
Negative Sentiment: Adjusted earnings were $0.05 per share, below the $0.08 consensus and down from $0.09 a year earlier. Net income fell 36% to $8 million and adjusted EBITDA declined 12.3% to $27 million. SG&A expenses rose 14.8%, faster than gross margin’s 8.2% increase, adding to concern about profitability. Arhaus Reports Third Quarter 2026 Financial Results
Negative Sentiment: CEO John Reed and the 2018 Reed Dynasty Trust disclosed sizable share sales across November 3–4. The transactions were made under pre-arranged Rule 10b5-1 plans, which may temper their significance, but the sales could still weigh on sentiment. SEC filing for CEO transactions SEC filing for trust transactions

Analyst Ratings Changes

ARHS has been the topic of a number of recent research reports. Morgan Stanley increased their price objective on shares of Arhaus from $9.00 to $10.00 and gave the company an “equal weight” rating in a research note on Friday, August 7th. Craig Hallum raised shares of Arhaus from a “hold” rating to a “buy” rating and set a $12.00 price objective for the company in a research note on Thursday, August 6th. Robert W. Baird set a $10.00 target price on Arhaus in a report on Friday, August 7th. Wall Street Zen upgraded Arhaus from a “sell” rating to a “hold” rating in a report on Monday, July 20th. Finally, Piper Sandler raised Arhaus from a “neutral” rating to an “overweight” rating and increased their target price for the company from $9.00 to $13.00 in a research report on Tuesday, October 20th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $10.78.

Read Our Latest Report on Arhaus

Insider Transactions at Arhaus

In other news, major shareholder 2018 Reed Dynasty Trust sold 77,695 shares of the stock in a transaction on Wednesday, November 4th. The shares were sold at an average price of $13.03, for a total value of $1,012,365.85. Following the sale, the insider owned 64,927 shares in the company, valued at $845,998.81. This represents a 54.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Alton F. Doody III sold 3,500 shares of the firm’s stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $8.47, for a total transaction of $29,645.00. Following the transaction, the director directly owned 87,113 shares of the company’s stock, valued at approximately $737,847.11. This trade represents a 3.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 278,896 shares of company stock worth $3,508,782 over the last 90 days. 1.18% of the stock is currently owned by company insiders.

Arhaus Company Profile

(Get Free Report)

Arhaus, Inc is a lifestyle-focused retailer of luxury and artisan-inspired furniture and home furnishings. The company offers products for living rooms, bedrooms, dining areas, offices and outdoor spaces, along with lighting, rugs, textiles, wall art, mirrors, décor and other home accessories.

Arhaus combines retail showrooms with e-commerce and interior design services, providing products intended to support a coordinated approach to home furnishing. Its collections are developed through collaborations with designers and craftspeople and may incorporate materials such as reclaimed wood, natural stone, upholstery fabrics and other distinctive finishes.