Williams Sonoma Q1 revenue rises on strong West Elm performance

Proactive

Thu, May 21, 2026 astatine 10:34 AM CDT 2 min read

Williams Sonoma Inc (NYSE:WSM) posted first-quarter 2026 gross of $1.81 billion, up 4.4% twelvemonth implicit twelvemonth and somewhat up of expert estimates of $1.80 billion, arsenic comparable income maturation crossed each 4 large brands signaled wide request for premium location furnishings.

Net income was $231.4 million, level compared to the prior-year period, portion operating borderline came successful astatine 16.2%, down 60 ground points twelvemonth implicit twelvemonth owed to higher selling, wide and administrative costs.

The institution bushed net per stock estimates by astir $0.13, oregon astir 7%.

West Elm was the standout performer with comparable income maturation of 8.5%, which Jefferies analysts attributed successful portion to archetypal buzz surrounding a collaboration with influencer Emma Chamberlain. The Williams Sonoma marque posted 5% comparable growth, Pottery Barn Kids and Teen roseate 4.5%, and Pottery Barn added 1%.

Gross borderline of 43.9% came successful up of consensus, arsenic proviso concatenation efficiencies and occupancy disbursal leverage offset merchandise borderline pressure. SG&A arsenic a percent of income was 27.8%, missing estimates owed to higher employment and wide and administrative expenses.

Operating currency travel roseate 31.4% to $156.3 million, and the institution returned $373 cardinal to shareholders during the quarter.

Inventories accrued 9% twelvemonth implicit twelvemonth to $1.46 billion, which the institution characterized arsenic supporting aboriginal growth.

For fiscal 2026, Williams Sonoma maintained its gross maturation outlook of 2.7% to 6.7% and an operating borderline scope of 17.5% to 18.1%. Jefferies noted the guidance assumes elevated lipid prices, nary tariff refunds, and each existing tariffs remaining successful place.

The institution besides announced a enactment alteration astatine Pottery Barn, promoting Jennifer Kellor to president. Monica Bhargava is nary longer with the company.