eve Sleep bounces higher as losses drop

AIM-listed mattress manufacturer eve Sleep (LON:EVE) saw its share price increase by 8.21% to 2.11p (as of 15:45 GMT) as full-year EBITDA losses dropped by 43%. Revenues dropped as management said that they’d be focusing on reducing cash burn and improving profitability over short-term sales growth.

CEO James Sturrock commented: “We are delivering on our priorities of reducing losses and stemming cash burn as we prioritise profitability over sales growth at any cost. We continue to create award winning products to improve customer’s sleep wellness, as evidenced by our latest Which? Best Buy award for our premium hybrid mattress, while removing unprofitable sales and marketing.

We are well placed to make further significant progress in 2020, with a differentiated brand position, a broader product range than peers and ongoing improvements to the customer experience, supported by a lower cost base, a substantial cash balance and no debt“.