Bob's Discount Furniture Wants 500 Stores by 2035
Bob's Discount Furniture is growing while its competitors shrink. The Manchester, Connecticut-based retailer reported strong fourth-quarter results in its first earnings call since going public in February, with revenue climbing 8.2% to $648.8 million. Full-year net revenue jumped 16.8% to $2.4 billion, and net income rose to $121.7 million from $87.9 million the prior year.
CEO Bill Barton told analysts the company plans to open about 20 new stores in 2026 and sees a path to more than 500 locations by 2035, roughly two and a half times its current 209-store footprint across 26 states.
"We do not just open stores, we develop markets," Barton said.
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Bob's entered North Carolina and Vermont in 2025, opening six stores in North Carolina alone, with performance exceeding expectations. Four more North Carolina locations are planned for 2026.
The growth stands out in a furniture sector that's been punished since the pandemic buying surge faded. High interest rates, inflation and tariffs squeezed demand across the industry. Columbus, Ohio-based American Signature Furniture filed for Chapter 11 in November and may liquidate. Bob's has moved in the opposite direction, gaining market share and pulling in wealthier customers.
"Even though furniture is a discretionary purchase, it's not optional, right? Every home in America has furniture," Barton said. "In the distressed macro environments, value is even more important. We really see how we pick up market share in challenging times."
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The company saw a meaningful increase in new customers earning over $150,000, with those higher-income shoppers trading up from good to mid-tier pricing.
Bob's has shifted its sourcing away from China, now manufacturing primarily in Vietnam and the United States, with smaller operations in Thailand, Malaysia and Cambodia.
For fiscal 2026, the company projects net revenues between $2.6 billion and $2.63 billion, with comparable sales growth of 1.5% to 2.5% and capital expenditures of $110 million to $115 million.