Restoration Hardware pops after sales forecast beats expectations
The high-end furniture retailer said it saw first-quarter net revenues in a range of $530 million to $545 million, beating the forecast for $485.1 million according to Bloomberg.
For the fourth quarter, Restoration Hardware reported adjusted earnings per share of $0.68 and net revenues of $586.7 million, both in line with its earlier guidance.
"We made several strategic investments and changes to our business last year, which temporarily depressed financial results in the short term, that we believe will strengthen our brand and position the business for accelerated growth in fiscal 2017 and beyond," said Gary Friedman, the company's CEO, in the earnings statement.
After lowering its outlook on full-year EPS last quarter, the company attributed weakness to slow sales around the election and late delivery of its Fall 2016 catalogs.
Restoration Hardware shares gained 10% in after-hours trading. They rose 2% in the 12 months through Tuesday's market close.