How much of Lovesac’s revenue comes from haram?

Lovesac earns its revenue from designing and selling furniture. 

Its products include modular couches, premium foam beanbag chairs, and furniture-associated home decor accessories.

Practical Islamic Finance concludes:

None of Lovesac’s revenue comes from anything inherently haram.

Does Lovesac rely on interest to operate?

Year-to-Date
for period ended
8/01/2021
Fiscal year
ended
1/31/2021
Fiscal year
ended
2/02/2020
Interest Income (net) $646.84
Total Revenue$185,363$320,738 $233,377
Interest Expense (net)$89.56$67.38
Total Expenses$174,097$305,858 $249,186
Interest Income (net) / Revenue0.28%
Interest Expense (net) / Total Expense0.05%0.02%
*Numbers in thousands, U.S. dollars

Practical Islamic Finance concludes: 

Riba is used but not relied upon in Lovesac’s operations.

What is Lovesac’s Environmental, Social, and Governance (ESG) impact?

Environment

According to Lovesac, the company uses recycled kraft cardboard to ship its products.

Social

Lovesac has a Glassdoor rating of 3.4 out of 5.0 from over 200 current and previous employees compared to a 3.3 average for all other Glassdoor rated companies.

Governance

No notable governance highlights.

Practical Islamic Finance concludes: 

Lovesac has a net positive ESG impact.

Comfort Rating

From Lovesac’s business, financial, and ESG reviews, Practical Islamic Finance rates Lovesac stock as: 

Comfortable to invest in from a halal perspective.

Sources

Lovesac 2021 10-K 

Lovesac Q2 2021 10-Q 

Lovesac Reviews 

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