12:47 PM EDT, 08/27/2025 (MT Newswires) -- Williams-Sonoma ( WSM ) raised its full-year top-line outlook Wednesday after the home goods retailer's fiscal second-quarter results surpassed Wall Street's expectations despite a weak housing market and tariff headwinds.
For fiscal 2025, the company now expects net revenue to rise 0.5% to 3.5%, compared with its prior guidance range indicating a 1.5% drop to 1.5% growth. Comparable brand revenue is now expected to increase 2% to 5% versus its previous guidance range of flat to 3% up. Analysts polled by FactSet are looking for comparable sales growth of 2.2%.
"We are encouraged by our strong sales trends so far in 2025, and therefore we are raising our top-line guidance," Chief Executive Laura Alber said on an earnings conference call, according to a FactSet transcript. "We are carefully taking select price increases on products with a focus on maintaining competitive pricing."
Williams-Sonoma ( WSM ) shares were down 1% in Wednesday afternoon trade. The stock has increased 6% so far this year.
Net revenue for the quarter ended Aug. 3 rose to $1.84 billion from $1.79 billion a year earlier and exceeded the $1.83 billion consensus forecast. Per-share earnings improved to $2 from $1.67, ahead of the Street's estimate of $1.78.
Consolidated comparable brand revenue grew 3.7%, topping analysts' estimate for a 2.6% increase. Comparable sales rose across brands, led by Pottery Barn Kids and Teen, and Williams Sonoma ( WSM ).
"We delivered these results amidst a weak housing market, high interest rates, and macroeconomic uncertainty, all while navigating an unprecedented level of volatility second straight quarter," Chief Financial Officer Jeff Howie told analysts. "Furniture and non-furniture categories both ran positive comps."
Recently, President Donald Trump said he was directing his administration to probe imports of furniture into the US that would result in higher tariffs by October, news outlets reported.
Williams-Sonoma ( WSM ) reiterated its long-term guidance of mid- to high-single-digit annual revenue growth Wednesday.
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