Williams-Sonoma (NYSE: WSM) announced second-quarter 2017 results on Aug. 23 after the market closed, with the home-furnishings retailer highlighting solid comparable-brand revenue growth and reaffirming its full-year outlook.
Let's have a closer look at what Williams-Sonoma accomplished over the past few months, as well as what investors can expect from the company.
Continue Reading Below
Williams-Sonoma results: The raw numbers
What happened with Williams-Sonoma this quarter?
- For perspective, Williams-Sonoma's guidance provided last quarter called for revenue in the range of $1.195 billion to $1.23 billion, and earnings per share in the range of $0.55 to $0.61.
- Comparable-brand revenue climbed 2.8% -- a nice acceleration from 0.1% growth last quarter, and within WSM's guidance range of 2% to 5% -- including:
- 1.2% growth at Pottery Barn.
- 1.9% growth at Williams-Sonoma.
- 10.1% growth at West Elm.
- 0.2% growth at PBteen.
- A 3.9% decline at Pottery Barn Kids.
- E-commerce revenue rose 5.2% year over year to $631 million, while retail revenue rose 2.1% to $571 million.
- The company repurchased 1,160,381 shares of common stock for $55 million during the quarter, at an average cost of $47.41 per share. That left $317 million remaining under Williams-Sonoma's current repurchase authorization.
What management had to say
Williams-Sonoma CEO Laura Alber added:
For the third quarter of 2017, Williams-Sonoma expects revenue in the range of $1.27 billion to $1.31 billion, once again assuming comparable-brand revenue growth of 2% to 5%. That should result in third-quarter earnings per diluted share of $0.80 to $0.87.
Finally, for the full fiscal year of 2017, Williams-Sonoma continues to expect revenue of $5.165 billion to $5.265 billion, comparable-brand revenue growth of 1% to 3%, and adjusted (non-GAAP) 2017 earnings of $3.45 to $3.65.
All things considered, this was another solid step in the right direction for Williams-Sonoma as it successfully navigates today's difficult retail environment.
10 stocks we like better than Williams-SonomaWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Williams-Sonoma wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of August 1, 2017