RH Inc., formerly known as Restoration Hardware, reported Tuesday financial results that showed strong demand for its luxury products.
“Demand has accelerated rapidly, with February up 73%, and the first two
weeks of March up 96%, before the closure of our Galleries, Restaurants and Centers a year ago, ”said RH Chief Executive Gary Friedman in a letter to shareholders. Demand for its main RH store business increased 36% in the fourth quarter, while overall demand rose 29%.
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rose more than 8.6% after hours, after falling 4.6% in the regular session to close at $ 485.11.
The Corte Madera, a Calif.-based retailer, said. High furniture and higher quarter-quarter net income of $ 271.8 million, or $ 4.31 a quarter, compared to $ 220.4 million, or $ 2.66 a share, in the year-over-year period. Enhanced earnings were $ 5.07 installment, adjusted for non-monetary compensation, asset disadvantages and more. Revenue rose to $ 812.4 million from $ 665 million in the fourth year ago. Analysts conducted by FactSet had forecast earnings of $ 4.75 a share on revenue of $ 797.4 million.
For the full year, RH reported earnings of $ 271.8 million, or $ 9.96 billion, of $ 2.85 billion in revenue.
Despite concerns that retailer production will not be able to meet demand due to coronavirus pandemic and other causes, RH expects revenue growth in the first quarter to be at least 50%, and it is forecast 2021 revenue growth of 15% to 20%.
The company also said it continues to take opportunities in hospitality and home building, and plans to open four new design galleries with restaurants and bars this year in San Francisco, Dallas, Oak Brook, Ill., And Jacksonville, Fla.
Shares of RH are up nearly 11% so far this year, and up more than 375% in the past 52 weeks.