CORTE MADERA -- Revenue for the parent company of high-end furnishings retailer RH (NYSE: RH), on Wednesday reported fiscal first-quarter revenue was 24 percent higher than a year before, and that rosy report sent the company's stock price soaring.
Restoration Hardware Holdings, Inc. reported $176.4 million in revenue for the quarter, ended May 3, following a 38 percent year-over-year revenue increase seen during the first quarter of 2013.
Quarterly net income was $1.8 million, compared with a $200,000 net loss in the same three months of 2013.
"The business momentum and strong trends we are seeing thus far in 2014 give us further confidence in our financial outlook for the year," said Gary Friedman, chairman and CEO, in a written statement. "We are increasing our net revenue guidance for 2014 to grow in the range of 20 percent to 22 percent, and expect adjusted net income to grow in the range of 33 percent to 37 percent."
The forecast for "adjusted" second-quarter net income is $25.4 million to $26.2 million, or 62 cents to 64 cents per share. The company expects adjusted income of $91.9 million to $94.3 million for the fiscal year, or $2.24 to $2.30 per share.
The company also provided "adjusted" results that excluded one-time costs for litigation, stock-based executive compensation and the costs of returning to public ownership. Adjusted net income was $7.2 million for the period, up 217 percent from the first quarter of 2013. Adjusted earnings per share were 18 cents, up from 6 cents in the prior year period.
The company has 69 retail stores throughout the United States and Canada.
Shares in RH were trading at $71.35 when the New York Stock Exchange closed on Wednesday, up 2.82 percent. The financial information was reported after the session ended. In after-hours trading, the price had jumped $9.49 a share, or 13.4 percent, to $80.84 by 2:54 p.m. Pacific Time.