12:22 PM EDT, 03/19/2025 (MT Newswires) -- Williams-Sonoma ( WSM ) said Wednesday that its set up well for 2025 after reporting stronger-than-expected fiscal fourth-quarter results that were buoyed by a surprise increase in comparable sales.
The home goods retailer expects net revenue to be down 1.5% to up 1.5% due to the impact of an additional week last year. The consensus on FactSet is for $7.6 billion, which would indicate a drop from $7.71 billion reported for the year ended Feb. 2.
Comparable sales are seen flat to up 3%, versus analysts' expectations for a 0.9% rise.
"Looking to 2025, we are confident in our strategies and competitive positioning," Chief Executive Laura Alber said in a statement. "Despite an uncertain backdrop, we have been, and will continue to be, focused on returning to growth, enhancing our world-class customer service, and driving earnings. We are innovators and operators and are well set up for a great 2025."
Williams-Sonoma ( WSM ) isn't planning for "significant upside or downside" from the macro environment, Alber said on an earnings call, according to a FactSet transcript. "Our guidance reflects what we know today, incorporating our initiatives and the current tariffs of China at 20%, Mexico and Canada at 25% and the additional tariffs on metals and aluminum was 25%."
Over the long term, Williams-Sonoma ( WSM ) still expects mid- to high-single-digit annual net revenue growth.
The company's shares slid 6.2% in Wednesday trade, taking its year-to-date loss to nearly 13%.
Non-GAAP earnings for the quarter ended Feb. 2 rose to $3.28 per share from $2.72 a year earlier, surpassing Wall Street's $2.94 estimate. Net revenue increased to $2.46 billion from $2.28 billion, above the $2.36 billion consensus. The additional week contributed 510 basis points to sales in the most recent period.
Comparable brand revenue grew 3.1%, surprising expectations that called for a 1.4% decline.
Williams-Sonoma's ( WSM ) board approved a 16% increase in the quarterly cash dividend to $0.66 per share, payable May 24 to stockholders of record as of April 17.
Price: 161.26, Change: -11.02, Percent Change: -6.40