By Sabela Ojea

RH reported fourth-quarter revenue that missed both guidance and Wall Street expectations, and said it will work to mitigate the impact of higher tariffs on imports.

The Corte Madera, Calif. furniture retailer on Wednesday reported net income for the three-months ended Feb. 1 of $13.9 million, or 69 cents a share, compared with $11.4 million, or 57 cents a share, for the same period a year earlier.

Stripping out one-time items, the company's earnings per share came in at $1.58. Analysts polled by FactSet had forecast adjusted earnings of $1.92 a share.

Revenue rose 10% to $812.4 million amid a 17% increase in total demand, missing the $829.6 million forecast by Wall Street. The company had most recently guided for a rise in revenue of 18% to 20% from the same period a year earlier amid views for a rise in demand of 20% to 22%.

Shares of RH fell 14% to $214 in post-market trading following the results. Through Wednesday's close the stock is down 36% this year.

The company is in the midst of turning around the business to bring out what it called a more inspiring and disruptive RH brand while facing higher tariffs on imported goods.

For the fiscal first quarter, RH expects revenue growth of 16% and full-year growth of about 15%.

RH does not expect a negative impact on results related to previously disclosed increases in tariffs on products from China, Canada or Mexico, Chief Executive Gary Friedman said.

"As it relates to reciprocal and other tariffs that will be announced today, as we've done with prior tariffs, we will be working with our manufacturing partners to mitigate the impact to both our margins and costs to our customers," Friedman said.

Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix

(END) Dow Jones Newswires

April 02, 2025 16:45 ET (20:45 GMT)

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