BALLWIN — Goedeker’s notched another first quarter loss this week despite a surge in sales.
The appliance retailer reported a loss of $3.5 million, or 57 cents per share, for the period ending March 31, according to filings with the Securities and Exchange Commission.
The company lost $2.2 million, or 44 cents per share, in the same period last year.
The 58% drop in net income year-over-year came despite sales increasing 40% to $13.7 million.
An accompanying increase in the cost of goods sold plus rising personnel and administrative costs more than swamped the revenue boost.
Goedeker’s was founded in 1951 as a television repair shop in St. Louis. It sells furniture, appliances and home decor from its Ballwin showroom, but most of its sales are online.
The company was family owned until April 2019, when it was acquired for $6.2 million by 1847 Holdings of New York.
New management has since taken the company public. In October, it announced its purchase of Appliances Connection, a company multiple times its size.
The acquisition is expected to close in the second quarter of this year, according to a company news release.