Neighborhood Intelligence Q3 revenue beats estimates on Kirkland’s and The Container Store acquisitions
NXH•Neighborhood Intelligence’s third-quarter revenue nearly doubled to $509.31 million, beating the $494.90 million estimate, while its net loss and loss per share also beat expectations. The company identified $40 million in additional annualized cost savings and expects 2027 revenue of $2.0 billion to $2.1 billion.
1. Quarterly results
Revenue was $509.31 million, compared with the $494.90 million analyst consensus. The company reported a net loss of $26.14 million and a loss per share of $0.28, both better than estimates, while operating income of negative $62.07 million missed the consensus estimate of negative $44.15 million. Revenue growth was primarily driven by the acquisitions of Kirkland’s and The Container Store.
2. Outlook and savings
Neighborhood Intelligence expects 2027 revenue of $2.0 billion to $2.1 billion and gross margin of 33% to 34%. Management sees a longer-term path to 37% gross margin and expects full integration and synergy benefits to develop over six to nine months. The company identified another $40 million in annualized savings; core e-commerce revenue rose 9%, led by 75% growth at Overstock.com.
