RH

RH Q4 2025 Earnings

Reported Apr 2, 2025 at 4:22 PM ET · SEC Source

Q4 25 EPS

$1.58

MISS 17.17%

Est. $1.91

Q4 25 Revenue

$812.4M

MISS 2.06%

Est. $829.5M

vs S&P Since Q4 25

-51.7%

TRAILING MARKET

RH -15.1% vs S&P +36.6%

Full Year 2025 Results

FY 25 EPS

$5.39

FY 25 Revenue

$3.18B

Market Reaction

Did RH Beat Earnings? Q4 2025 Results

RH delivered a disappointing fourth quarter, missing Wall Street expectations on both the top and bottom lines as the luxury home furnishings retailer navigated what CEO Gary Friedman described as the worst housing market in nearly 50 years. Adjusted… Read more RH delivered a disappointing fourth quarter, missing Wall Street expectations on both the top and bottom lines as the luxury home furnishings retailer navigated what CEO Gary Friedman described as the worst housing market in nearly 50 years. Adjusted diluted EPS came in at $1.58, falling short of the $1.91 consensus estimate by 17.17%, while revenue of $812.41 million trailed the $829.53 million analyst forecast by 2.06%, despite growing 10% year over year against a prior-year period that included an extra week. The revenue shortfall was partly attributed to mortgage rates spiking in mid-December, which softened demand heading into the new year, though RH Brand demand stabilized at up 19% in January. Shares suffered their largest single-day decline around the report amid broader market turbulence and a Citi downgrade tied to tariff concerns. Looking ahead, RH guided fiscal 2025 revenue growth of 10% to 13% and adjusted EBITDA margin of 20% to 21%, with international expansion, including a planned Paris gallery on the Champs-Élysées, expected to weigh on near-term operating margins by 160 to 200 basis points.

Key Takeaways

  • Product transformation driving RH Brand demand up 21% in Q4 on comparable 13-week basis
  • Revenue growth of 18% on comparable 13-week basis outperforming home furnishing peers
  • Adjusted operating income growth of 57% on comparable 13-week basis
  • Total demand increased 17% and RH Brand demand increased 21% on comparable 13-week basis in Q4
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RH YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

“The important work and substantial investments we've made over the past two years are now resulting in meaningful share gains and significant strategic separation, positioning the RH brand to expand its leadership position across the luxury home market over the next decade.”

— Gary Friedman, Q4 2025 Earnings Press Release