Williams-Sonoma (NYSE: WSM) reported Q1 EPS of $1.93, $0.12 better than the analyst estimate of $1.81. Revenue for the quarter came in at $1.81 billion versus the consensus estimate of $1.8 billion.

OUTLOOK

We are reiterating our fiscal 2026 and long-term guidance.
In fiscal 2026, we expect annual net revenues in the range of +2.7% to +6.7%, with comps in the range of +2.0% to +6.0%; and an operating margin between 17.5% to 18.1%.
Our guidance assumes (i) oil prices will remain elevated for fiscal 2026, (ii) no refund of tariffs paid, (iii) the impact of tariffs will be front-loaded in the first half of fiscal 2026 as the tariffs flow through our weighted average cost of goods sold, and (iv) all tariff rates currently in place remain for fiscal 2026, including the Section 232 tariffs, the current Section 301 tariffs and the Section 122 tariffs.
For fiscal 2026, we expect annual interest income to be approximately $25 million and our effective tax rate to be approximately 25.5%.
Over the long term, we continue to expect mid-to-high single-digit annual net revenue growth with an operating margin in the mid-to-high teens.

For earnings history and earnings-related data on Williams-Sonoma (WSM) click here.