Williams-Sonoma, Inc., a top 100 retailer posted another strong quarter with gains in net revenues, income and earnings per share, led by its brands Pottery Barn and West Elm.
The San Francisco-based company’s net income for the three months ending in October was $2.193 billion. 30, up 8.1% compared with $2.048 billion in the same timeframe in 2021.
In terms of individual brands, Pottery Barn reported net revenues of $935 million, an increase of 19.6% over $789 million a year ago. West Elm experienced an increase of 4.2%, with Q3 2022 revenue of $600 million compared to Q3 2021. $580 million in the same quarter of 2021.
With a slight increase from the $249.5 million in 2021, net profits for the quarter totaled $251.7 million. Williams-Sonoma reported gains of $3.72 on a diluted per-share basis, up 13.07% from $3.29 and a gain of $3.72 overall.
“We are proud of another strong quarter generating an 8.1% comp, or a 25% two-year comp and an almost 50% three-year comp, with record EPS growth of 12% over last year to $3.72 per share,” said Williams-Sonoma, Inc.’s president and CEO, Laura Alber. “These outcomes are a reflection of ongoing backlog order fulfillment, high product margins, and strict cost management.”
Added Jeff Howe, chief financial officer, “In a difficult environment, we once again produced record revenues and profits. Our topline results show how we can increase market share. Our bottom-line results show how effective our operating model is at maintaining merchandise margin and reining in SG&A costs.”
Williams-Sonoma reported net revenues of $6.221 billion so far this year, an increase of 8.29% from $5.745 billion in 2021. In comparison to the $723.396 million reported three quarters into 2021, net profits through nine months were reported at $772.911 million, an increase of 6.84%. Compared to 2021, when diluted earnings per share were $9.40, they increased by 17.87% to $11.08.
Williams-Sonoma is maintaining its fiscal 2022 guidance of mid-to-high single digit net revenue growth in light of its reported earnings. Officials stated that they will provide 2023 guidance when the fourth quarter’s earnings are announced, and given the ambiguous macroeconomic environment, it will refrain from restating or updating guidance through the fiscal year 2024.
“Although the macro backdrop has become more uncertain, we believe our strong positioning, growth initiatives, and culture of financial discipline will allow us to outperform in any environment,” Alber said.
Source: read it here!
