Shares of Arhaus, Inc. (NASDAQ: ARHS) surged 15.97% in pre-market trading on Thursday following the release of the company's impressive third-quarter 2025 financial results and an upgraded full-year outlook.

The premium home furnishings retailer reported Q3 net revenue of $345 million, up 8% year-over-year and surpassing analyst estimates of $338.2 million. Adjusted EBITDA for the quarter came in at $31 million, also beating expectations of $29.1 million. The company's earnings per share of $0.09 exceeded the consensus estimate of $0.08.

Arhaus' strong performance was driven by successful new showroom openings and increased demand for its products. The company reported a comparable growth of 4.1% and a demand comparable growth of 7.4% for the quarter. John Reed, Co-Founder and CEO, highlighted September as the highest total demand month in Arhaus' history, underscoring the brand's strength and appeal to high-end clients.

In light of the robust results, Arhaus raised its full-year 2025 guidance. The company now expects net revenue between $1.35 billion and $1.38 billion, representing a growth of 6.2% to 8.6%. The updated outlook also includes a comparable growth forecast of 0% to 2.5%. This positive revision, coupled with the strong Q3 performance, appears to be driving investor enthusiasm and the significant pre-market stock price jump.