RH (NYSE:RH) shares lost more than 8% after hours on third quarter earnings that significantly missed expectations.
The luxury furniture retailer posted an adjusted loss of $0.42, compared to expectations of a $1.19 per share profit. Revenue was $751 million, short of Street expectations of $757 million.
“Net revenues of $751 million were at the mid-point of our guidance for the quarter, and adjusted operating margin of 7.3% was slightly below expectations due to higher than anticipated expenses, including international openings as well as costs related to our pending acquisition of the New York Guesthouse property and unsuccessful efforts to secure the iconic One Ocean Drive Miami Beach location.” the company said in a letter to shareholders.
Looking ahead, RH (NYSE:RH) guided for current quarter revenue of $3.06 billion to $3.08 billion, compared to expectations of $3.08 billion.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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