RH Earnings: RH Stock Soars 18% on Strong Forward Guidance
Confident Investing Starts Here:
California-based RH, formerly known as Restoration Hardware, reported adjusted earnings per share (EPS) of $0.13, which was well ahead of the Wall Street consensus that called for a loss of -$0.07. Revenue in the first three months of the year totaled $814 million, which was slightly below estimates of $818 million.
In terms of guidance, RH maintained its Fiscal 2025 outlook that calls for revenue growth of 10% to 13%, and a margin of up to 21%. Management said they also anticipate $350 million in free cash flow this year. In the current second-quarter, revenue is forecast to grow between 8% and 10%, even as the company absorbs near-term pressure from import tariffs and international expansion costs.
RH's profitability. Source: Main Street Data
Difficult Housing Market
In the earnings release, management said they are operating in 'the worst housing market in almost 50 years.' Still, RH managed to increase its net revenues 12% year-over-year while maintaining 7% adjusted operating margins. CEO Gary Friedman said RH's expanding physical footprint, especially in Europe, continues to drive the company forward.
International performance remains a bright spot for the furniture maker. RH England reported a 47% demand increase in Q1, while RH Munich and Düsseldorf in Germany saw combined growth of 60%. Customer demand in Paris, London, and Milan is expected to grow following gallery openings in those cities over the next year.
While tariff risks remain, RH's management team said they are responding by shifting much of the company's sourcing out of China. RH stock has declined 55% this year.
Is RH Stock a Buy?
The stock of RH has a consensus Moderate Buy rating among 17 Wall Street analysts. That rating is based on 10 Buy, six Hold, and one Sell recommendations issued in the last three months. The average RH price target of $268.47 implies 51.79% upside from current levels. These ratings are likely to change after the company's financial results.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Forbes
27 minutes ago
- Forbes
80 First Tee Teens Selected To Compete During PGA TOUR Champions' PURE Insurance Championship At Pebble Beach
First Tee and PGA TOUR Champions are proud to announce the 80 exceptional teens selected to compete in the 2025 PURE Insurance Championship Impacting First Tee, to be held September 19–21 at the iconic Pebble Beach Golf Links and Spyglass Hill Golf Course. Marley Pedrique poses after the final round of the final round of the 2025 First Tee National Championship at the Walker Course at South Bend University in South Bend, Ind. on Thursday, June 26, 2025. (Jason E. Miczek/First Tee) The annual tournament is hosted by PURE Insurance and the Monterey Peninsula Foundation and broadcast internationally on Golf Channel. It uniquely pairs First Tee participants with PGA TOUR Champions professionals and amateurs from the business world for a week of competition and mentorship. The teens, ages 15 to 18, represent 48 First Tee chapters nationwide and will compete for the male and female pro-junior titles. Participants were chosen based on both their golf skills and personal growth through First Tee's youth development programs. This year's class boasts an average GPA of 3.89 and nearly seven years of involvement with First Tee. 'The PURE Insurance Championship is more than a golf tournament — it's a celebration of the dedication, perseverance and character of First Tee juniors," said Katie Krum, Chief Marketing Officer at PURE Insurance. 'Having experienced firsthand the lasting impact of youth sports, I am proud to support such a worthy cause and thrilled to share that we have extended our title sponsorship commitment through 2029 and continue championing these inspiring young leaders.' The 2025 junior field was announced live on Golf Channel, featuring an interview with Dylan Au, an alumnus of First Tee – Greater Seattle, who competed in the 2024 PURE Insurance Championship alongside Fred Couples. Au will begin pre-med classes at the University of Washington this fall. First Tee - Greater Seattle's Dylan Au poses alongside his playing partner Fred Couples at the 2024 PURE Insurance Championship at Pebble Beach. In addition, Marley Pedrique of First Tee – Florida Gold Coast earned an exemption into the tournament by finishing third at the 2025 First Tee National Championship, held in June at the University of Notre Dame's Warren Course. 'This moment represents years of hard work and dedication for these 80 teens,' said Greg McLaughlin, CEO of First Tee. 'Thanks to our partners at PURE Insurance, PGA TOUR Champions, Pebble Beach Resorts, the Monterey Peninsula Foundation and Golf Channel for supporting this event. It is a week filled with incredible golf, mentorship and invaluable life lessons.' This year's PGA TOUR Champions field will include legends such as David Duval, Ernie Els, Vijay Singh and defending champion Paul Broadhurst. Clint Eastwood returns as chairman of the PURE Insurance Championship. Tournament play begins Friday on both Pebble Beach Golf Links and Spyglass Hill Golf Course. Following Saturday's rounds, the top 24 juniors will advance to Sunday's final round at Pebble Beach, where one male and one female First Tee participant will be crowned champions. The junior field for 2025 PURE Insurance Championship can be viewed here.
Yahoo
27 minutes ago
- Yahoo
Lucid Shatters World Record With 749-Mile Drive On A Single Charge
The widespread adoption of electric vehicles has long been hindered by a two-headed dragon: the lack of public charging infrastructure and the typical driver's range anxiety. These obstacles push automakers to find ways to improve range and show off their progress. A Lucid Air Grand Touring took the Guinness World Record for the longest trip in an EV on a single charge last weekend. The luxury sedan completed an impressive 749-mile journey between St. Moritz, Switzerland and Munich, Germany, shattering the previous record by nearly 100 miles. Behind the wheel of the Lucid was Umit Sabanci, a London-based entrepreneur who has the eccentric hobby of breaking Guinness World Records. In 2017, Sabanci set the record for visiting the most countries in 24 hours by scheduled transportation. He and a friend darted to 13 countries across Europe. In 2022, he completed the fastest circumnavigation of the Earth by scheduled flights. Sabanci flew a three-flight itinerary from and to Los Angeles International Airport in 46 hours and 23 minutes via Doha, Qatar and Brisbane, Australia. Sabanci previously worked with Lucid. He broke the record driving to the most countries on a single charge in June 2024. The vanity record breaker drove 567 miles southward through the Netherlands, Belgium, Luxembourg, Germany, France, Switzerland, Austria, Liechtenstein and Italy. In a statement regarding the single-charge distance record, he said: "When I completed the nine-country journey in 2024, it was just the beginning. This new achievement takes that journey even further. I'm proud to be part of a movement that proves electric mobility isn't just the future; it's already redefining what's possible today." Read more: These Are The Cars Our Readers Wish Would Depreciate Faster If his background didn't show it, he isn't an elite-level EV hypermiling tuner. The run was done in collaboration with Lucid. The California-based manufacturer likely provided the modifications and expertise necessary to extend the drive far beyond the Lucid Air Grand Touring's EPA-estimated range of 516 miles. Lucid has stripped the record from a privately run Mercedes-Benz EQS 450+. The previous record of 645 miles was set just last month and broke the symbolic 1,000-kilometer barrier. One can only hope that competition for bragging rights between manufacturers will drive the record even further out and lead to technology that will become standard across all EVs. It's hard to believe that we're only three years removed from Mercedes-Benz Vision EQXX's unveiling. The German automaker built a hyper-efficient electric concept car to prove that an electric vehicle could have 1,000 kilometers of range. However, the one-off car was designed as a bland, blobby teardrop to minimize drag, taking function over form to the extreme. Now, we're seeing typically styled electric cars blasting past the 1,000-km mark. It's impressive to see how far EVs have progressed in recent years, and hopefully, this level of development won't stop. Want more like this? Join the Jalopnik newsletter to get the latest auto news sent straight to your inbox... Read the original article on Jalopnik.
Business Wire
31 minutes ago
- Business Wire
FHLB Dallas and Origin Bank Celebrate Awarding $2M in Affordable Housing Program Funds to Support The Wellspring's Holly Haven
MONROE, La.--(BUSINESS WIRE)--A new campus slated to open early 2027 to assist families experiencing homelessness in Monroe, Louisiana, received much needed support in the form of a $2 million Affordable Housing Program (AHP) grant from the Federal Home Loan Bank of Dallas (FHLB Dallas), awarded through member Origin Bank. The banks celebrated awarding the funds to The Wellspring Alliance for Families Inc. (The Wellspring) during a ceremonial check presentation today. The AHP grant will support the development of Holly Haven, a private-living housing campus designed to serve unsheltered families and individuals, including those escaping domestic violence. 'This grant is crucial to the construction of a facility with private living spaces where families and individuals escaping trauma can find not just safety but also privacy and dignity,' said The Wellspring's President and CEO Caroline Cascio. 'Holly Haven will launch a new era of service delivery for The Wellspring and we are grateful to FHLB Dallas and Origin Bank for their support of this development, which will create a pathway to stability and self-sufficiency for families in Northeast Louisiana.' The Holly Haven campus will house two private-living facilities, one on the north side and the other on the south side of Holly Street in Monroe. Together, the two facilities will offer 28 units, some of which will adjoin to accommodate larger families. Both facilities will be equipped to meet the basic needs of those in residence and will be adjacent to service sites, including case management, safety planning and support groups for adults and children. 'We're proud to support The Wellspring and the creation of a facility that will offer both adults and children in our community a safe haven during trying times of their lives,' said Origin Bank's Senior Vice President, Commercial Relationship Manager Rick Guillot. 'This project aligns with Origin's purpose of enriching the lives of people in our community.' AHP funds are awarded through FHLB Dallas member institutions and assist FHLB Dallas members in financing the purchase, construction and rehabilitation of owner-occupied, rental or transitional housing and housing for homeless individuals. The funds must be used to benefit households with incomes at or below 80 percent of the median income for the area. 'Whether in bustling urban centers or underserved rural communities, everyone deserves a place to feel secure and supported,' said Greg Hettrick, senior vice president and director of Community Investment at FHLB Dallas. 'We're proud to fund a project that will offer families in this community a vital lifeline, close to home, during times of crisis.' In 2024, FHLB Dallas awarded $21.7 million in AHP General Fund grants to Louisiana-based affordable housing projects. The grants will help create 684 new or rehabilitated housing units. FHLB Dallas will announce 2025 grant awardees this fall. Learn more about the FHLB Dallas Affordable Housing Program. About Origin Bank Deeply rooted in Origin's history is a culture committed to providing personalized, relationship banking to businesses, municipalities and personal clients to enrich the lives of the people in the communities it serves. Origin offers a broad range of financial services and currently operates more than 55 banking centers located throughout Texas, Louisiana, Mississippi, Alabama and Florida. About the Federal Home Loan Bank of Dallas The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank System created by Congress in 1932. FHLB Dallas, with total assets of $109.9 billion as of March 31, 2025, is a member-owned cooperative that supports housing and community development by providing competitively priced loans and other credit products to approximately 800 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. For more information, visit
