Williams-Sonoma Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −9.39%.
Did WSM Beat Earnings? Q4 2025 Results
Williams-Sonoma closed fiscal 2024 on a strong note, reporting Q4 earnings per share of $3.28 on revenue of $2.46 billion, with comparable brand revenue rising 3.1% as the company posted a record Q4 operating margin of 21.5%, up 140 basis points year over year. A key driver was an extra 14th week in the fiscal calendar, which the company estimates contributed roughly 510 basis points to quarterly revenue growth, while standout seasonal offerings and a meaningful rebound in both retail and online furniture sales helped the quarter exceed expectations. For the full fiscal year, adjusted operating margin reached a record 17.9%, even as comparable brand revenue slipped 1.6% amid persistent furniture demand headwinds. Williams Sonoma led all brands with 5.7% comparable growth in Q4, while Pottery Barn posted a modest 0.5% decline. Looking ahead, management guided fiscal 2025 net revenue in a range of -1.5% to +1.5%, with comparable brand growth of flat to 3.0% and operating margin between 17.4% and 17.8%, expressing confidence that its supply chain flexibility and growing AI investments position it well despite ongoing tariff uncertainty.
- Comparable brand revenue growth of +3.1% in Q4
- Record Q4 operating margin of 21.5%, up 140bps year over year
- Higher merchandise margins of +40bps in Q4
- Occupancy leverage of +80bps in Q4
- Supply chain efficiencies of +10bps in Q4
- Strong improvement in both retail and online furniture sales
- Standout seasonal offerings and impactful collaborations
- Benefit from 14th week contributing approximately 510bps to Q4 revenue growth
- Full-year supply chain efficiencies of +130bps and higher merchandise margins of +170bps
- ROIC of 54.0% in fiscal 2024, up from 45.0% in fiscal 2023
“We are proud of our strong finish to 2024. In Q4, our comp came in above expectations at positive 3.1%. We exceeded profitability estimates with an operating margin of 21.5% and earnings per share of $3.28. This success was fueled by the strength of our operating model, our standout seasonal offerings, our impactful collaborations, and a strong improvement in both retail and online furniture sales. On the full year, our comp ran down 1.6%. We delivered a record annual operating margin of 17.9% with full-year earnings per share of $8.50.”
Williams Sonoma CEO, on the earnings call
Forward Guidance & Outlook
For fiscal 2025 (52-week year), Williams-Sonoma expects annual net revenues in the range of -1.5% to +1.5% versus fiscal 2024 (reflecting the loss of the 53rd week), with comparable brand revenue growth in the range of flat to +3.0%. Operating margin is expected between 17.4% and 17.8%, inclusive of an approximately 20 basis point impact from the 53rd week in fiscal 2024. Over the long term, the company continues to expect mid-to-high single-digit annual net revenue growth with an operating margin in the mid-to-high teens.
WSM YoY Financials
WSM Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.