Restoration Profit Tops View; Q1 Outlook Weak Due To West Coast Port Disruption

(RTTNews) - Home furnishings retailer Restoration Hardware Holdings Inc (RH) on Thursday reported fourth-quarter net earnings of $42.5 million or $1.02 per share compared with $26.6 million or $0.65 per share last year.

Revenues for the quarter were up 24% at $582.7 million compared with $471.7 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $1.01 per share on revenues of $582.9 million for the quarter. Analysts' estimates typically exclude special items.

Operating margin for the quarter rose to 12.9% from 12.4% last year.

For the first quarter, the company expects adjusted earnings of $0.18 to $0.20 per share on revenues of $415 million to $420 million. Analysts expect earnings of $0.23 per share on revenues of $437.8 million.

CEO Gary Friedman noted that while its business has been hurt by the West Coast port disruption in the first quarter of this year, it believes that most of the revenue and earnings would consequently shift forward and help its second-quarter results.

For the full year 2015, the company expects adjusted earnings of $2.95 to $3.10 per share on revenues of $2.13 billion to $2.17 billion. Analysts expect earnings of $3.00 per share on revenues of $2.24 billion.

The company's stock slid $2.82 or 3.03% at $90.32 in after-hours trade on the New York Stock Exchange.