RH (RH) reported Q3 EPS of $5.67, $0.91 better than the analyst estimate of $4.76. Revenue for the quarter came in at $869 million versus the consensus estimate of $841.93 million.
FISCAL 2022 OUTLOOK:
As noted in our previous shareholder letter, we expect our business trends will continue to deteriorate as a result of accelerating weakness in the housing market over the next several quarters and possibly longer due to the Federal Reserve’s anticipated monetary policy and the cycling of record COVID-driven sales and backlog reductions.
Based on our current trends, we now expect fiscal 2022 revenue growth of (3.5%) to (4.5%) versus our prior outlook of (3.5%) to (5.5%), and adjusted operating margin in the range of 21.5% to 22.0% versus our prior outlook of 21.0% to 21.5%.
While we expect the next several quarters to pose a short-term challenge as we cycle the extraordinary growth from the COVID-driven spending shift and shed less valuable market share, we believe our long-term investments will enable us to continue driving industry-leading results.