The upscale American home furnishings brand RH (formerly Restoration Hardware) announced on Friday that it will release its financial results for the first quarter of fiscal year 2026 after the market closes on June 11, 2026.
The company also stated it will host a conference call with investors and analysts that same afternoon to discuss the details of the earnings report and its business outlook.
Market Expectations for the Quarter
Public information indicates market expectations for RH's performance this quarter are relatively pessimistic. Analyst consensus forecasts show that RH's first-quarter earnings per share are expected to be a loss of $2.09. This expectation reflects the company is still under pressure from the dual headwinds of a sluggish U.S. housing market and rising tariff costs.
Performance in the Previous Quarter
Looking back at the last fiscal quarter, RH delivered disappointing results for the fourth quarter of fiscal 2025. Revenue for that quarter was $842.6 million, and adjusted earnings per share declined from $1.58 in the same period the previous year to $1.53, both falling short of market expectations and causing the stock price to plummet over 19% at one point.
At the time, RH's CEO Gary Friedman attributed the challenges to the worst housing market in nearly 50 years and the high uncertainty stemming from geopolitical tensions.
Recent Strategic Initiatives
However, recent business expansion moves by RH have provided some positive signals for the market. The company's expansion in Europe continues to progress, with new galleries expected to open in London and Milan in 2026, following the successful openings of the RH England and Paris galleries.
These immersive brand experience spaces are seen as a core part of RH's strategy to build a global luxury brand image and expand into international markets.
Additionally, the launch of the high-end custom furniture brand RH Estates has been postponed from the second half of 2025 to the second quarter of this year. The official debut of this brand and its market reception will be a key focus during the upcoming earnings call.
Long-Term Outlook
Despite facing macroeconomic headwinds, RH achieved an 8% revenue growth and positive free cash flow for the full 2025 fiscal year. Management has reaffirmed its long-term targets of 4% to 8% revenue growth for fiscal 2026 and an acceleration to 10% to 12% by 2027.
Investors will be closely watching for signs of performance improvement in the latest quarter, as well as the impact of tariffs and housing market trends on the company's profit outlook.
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