Purple Innovation, Inc. Earnings Recaps
Q3 2025
Nov 5, 2025
Purple Innovation's Q3 2025 earnings show a revenue increase to $118.8 million, marking a turnaround after consecutive declines, alongside significant improvements in gross margin and adjusted EBITDA.
Key takeaways
- Achieved positive adjusted EBITDA, reflecting streamlined operations and cost-saving measures expected to yield annual savings of $25–30 million.
- Gross margin improved nearly 700 basis points sequentially to 43%, despite ongoing tariff pressures.
- Continued strong performance of the Rejuvenate 2.0 mattress collection, doubling revenue compared to its predecessor and boosting showroom sales by 6.5%.
- E-commerce revenue is down 10% but shows signs of recovery following recent site enhancements and improving traction on Amazon.
- Wholesale revenue grew 8% due to the expanding Mattress Firm partnership, aiding overall business stabilization.