Shares of Casper Sleep fell more than 5% Tuesday despite the mattress retailer reporting a loss for the second quarter that was narrower than Wall Street expectations. The company posted a net loss of $24.2 million, shrinking from $26.9 million last year. Analysts forecast a loss of 76 cents in the latest quarter.
On Tuesday, Casper Sleep shares traded at $9.02, down 5.94%, and have slumped 33% since their February 6 initial public offering.
“We achieved record e-commerce revenues in the second quarter, while making significant progress toward profitability, which is well ahead of our expectations,” said CEO Philip Krim.
“Our adaptable multi-channel business has allowed us to continue to meet the needs of more consumers and capture market share in a challenging environment,” Krim added.
The company temporarily closed its North American retail stores beginning on March 17, 2020 due to the COVID-19 outbreak and began reopening them on May 14, 2020. Casper Sleep ended the second quarter with a retail presence of 59 stores versus 32 a year ago.
“As this quarter’s performance demonstrated, we are executing against our strategic and operational plan and we expect to continue delivering growth, gaining market share, achieving operating leverage and improving profitability," said Krim.
Latest Videos From TheStreet and Jim Cramer:
- Coronavirus Update: Russia Approves World's First COVID-19 Vaccine
- What Investors Are Optimistic About Tuesday
- Why a Twitter-TikTok Deal Is Highly Unlikely
- Jim Cramer Says Only Vaccine Can Help Marriott Stock
- Here's What's In Trump's Executive Orders on Coronavirus Relief
- Should You Give Financial Support to Family Amid the Pandemic?