v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
Our chief operating decision maker (“CODM”) is our Chief Executive Officer (“CEO”), who reviews financial information presented on a consolidated basis for purposes of making decisions, assessing financial performance and allocating resources. We operate our business as one operating segment and therefore we have one reportable segment that offers an assortment of merchandise across a broad range of categories, including furniture, outdoor, bath, lighting, textiles, and décor. The assortment of merchandise can be purchased through our Retail and eCommerce sales channels.
The majority of our revenue is generated through sales to clients in the United States. Sales to clients outside of the United States are not significant. Further, no single client represents ten percent or more of our net revenue. There are no inter-segment transactions. Additionally, all property, furniture and equipment are located in the United States.
The accounting policies of our single operating segment are the same as those described within our summary of significant accounting policies in the Notes to the Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2025. The CODM assesses performance at the consolidated level and makes business decisions based on various key performance indicators, primarily net income, which is also reported on the condensed consolidated statements of comprehensive income as net and comprehensive income.
Our CODM uses net income to determine the allocation of resources for investments in retail Showrooms, information technology and systems infrastructure, as well as supply chain investments. Net income is also used as a method for planning and forecasting overall expected performance and for evaluating, on a quarterly and annual basis, actual results against such expectations.
Asset information is reported on the condensed consolidated balance sheets as total assets. However, asset information is not used for purposes of making decisions, assessing financial performance or allocating resources.
Refer to the condensed consolidated statements of cash flow for property, furniture and equipment expenditures, related depreciation and amortization and other significant noncash items.
The following table shows revenue by merchandise sales channel and segment expenses (amounts in thousands):
Six months endedThree months ended
June 30,June 30,
2026202520262025
Retail$584,609 $553,639 $320,202 $298,186 
eCommerce114,564 116,168 64,695 60,249 
     Total net revenue$699,173 $669,807 $384,897 $358,435 
Less costs and expenses(1):
Cost of goods sold412,665 405,993 212,824 210,208 
Corporate and administrative expenses(2)
117,769 108,251 61,018 53,642 
Selling expenses90,505 82,344 45,851 37,952 
Marketing expenses21,728 20,925 10,938 9,868 
Loss on disposal of assets
104 108 — — 
Interest income, net
(1,518)(1,317)(1,064)(744)
Other income
(892)(236)(45)(150)
     Income before taxes58,812 53,739 55,375 47,659 
Income tax expense16,943 13,791 15,729 12,593 
     Net and comprehensive income$41,869 $39,948 $39,646 $35,066 
(1) Significant costs and expenses include cost of goods sold, corporate and administrative expenses, selling expenses and marketing expenses.
(2) Corporate and administrative expenses primarily include warehouse expenses, equity based compensation costs, information technology, human resources and legal costs, insurance expenses, accounting fees and corporate sustainability costs.