RH (NYSE:RH) Prepares for Q1 Fiscal 2025 Earnings Release

• RH anticipates a 12.6% year-over-year revenue increase due to product expansion and international rollout efforts.
• The company expects a quarterly loss of $0.09 per share, marking a 77.5% improvement compared to the same period last year.

RH, listed on the NYSE under the symbol RH, is preparing to release its first-quarter fiscal 2025 earnings on June 12, 2025. Wall Street anticipates an earnings per share (EPS) loss of $0.09, with projected revenue of approximately $819 million. RH is known for its luxury home furnishings and has been expanding its product line and international presence to drive growth.

The company expects a 12.6% year-over-year revenue increase, driven by product expansion and international rollout efforts. Analysts project revenues of $818 million, aligning with this growth expectation. Despite facing margin pressures from start-up costs, logistics, and promotional expenses, RH's revenue growth reflects its strategic initiatives.

In the previous quarter, RH's earnings and revenues fell short of the Zacks Consensus Estimate by 17.3% and 1.8%, respectively. However, the company experienced a 10% revenue increase and a 119.4% rise in earnings compared to the previous year. The adjusted operating margin improved by 220 basis points to 11.3%, showcasing RH's ability to enhance profitability despite challenges.

RH's anticipated quarterly loss of $0.09 per share for the quarter ending April 2025 marks a significant 77.5% improvement compared to the same period last year. Over the past 30 days, the consensus EPS estimate has been slightly revised upwards by 0.1%, indicating a positive reevaluation by analysts. These revisions often predict potential investor reactions and short-term stock price movements.

RH's financial metrics reveal a price-to-sales ratio is 1.12, and the enterprise value to sales ratio is 2.34, reflecting the company's valuation relative to its sales. Despite a high enterprise value to operating cash flow ratio of 436.05, RH maintains a current ratio of 1.43, suggesting good liquidity to cover short-term liabilities.