Restoration Hardware explodes more than 30% after crushing earnings and raising guidance (RH)
Kathryn Barnard/Restoration Hardware
Restoration Hardware on Wednesday announced a forecast for third-quarter and full year adjusted earnings that flew past its previous expectations, sending its shares sharply higher in extended trading.
The high-end furniture retailer said it saw third-quarter earnings in a range of $0.68 to $0.80, beating the forecast for $0.38 according to Bloomberg.
For the full-year, RH said it sees earnings of $2.43 to $2.67, handily beating its previous estimate of $1.67 to $1.94.
"While we continue to expect strong revenue growth, expanding operating margins, and significant free cash flow in the second half of fiscal 2017, we are taking a cautiously optimistic approach to our outlook given the uncertain macro environment in addition to the many initiatives and investments we are undertaking," Gary Friedman, RH chairman and CEO said in the earnings statement.
The company announced second-quarter adjusted earnings of $0.65 on revenue of $615.3 million, which were ahead of the $0.47 and $606.9 million that was expected by the Bloomberg consensus.
Restoration Hardware shares gained 32% in after-hours trading. They rose 109% year-to-date through Wednesday's market close.
Markets Insider