10-Q · May 22, 2026
Williams-Sonoma, Inc. reported Q1 2026 results with revenue of $1.80 billion, up 4.4% year-over-year, and an EPS of $1.93, reflecting a growth of 4.3%. The company experienced solid performance across its brand…
Earnings analysis · 10-Q
WSM earnings analysis
Filed August 28, 2026 · Our reading of the company's report
The latest report
Williams-Sonoma delivered $1.960 billion of second-quarter revenue and $2.84 of GAAP diluted EPS, exceeding consensus by 2.32% and $0.81, respectively, while comparable brand revenue rose 6.2%. GAAP operating margin was…
Read full summary
Williams-Sonoma delivered $1.960 billion of second-quarter revenue and $2.84 of GAAP diluted EPS, exceeding consensus by 2.32% and $0.81, respectively, while comparable brand revenue rose 6.2%. GAAP operating margin was 22.9%, although tariff refunds were a material contributor and management's full-year outlook assumes no tariff-refund benefit. The company raised fiscal 2026 revenue, comparable-revenue and non-GAAP operating-margin guidance, supporting a bullish trend despite tariff, inflation and geopolitical risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $2.84
- Operating margin
- 22.9%
What stood out
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Revenue and Comps Beat Estimates
Second-quarter revenue was $1.960 billion, 2.32% above the $1.916 billion consensus estimate. Comparable brand revenue increased 6.2%.
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Strong EPS Outperformance
GAAP diluted EPS was $2.84 versus the $2.03 consensus estimate, a $0.81 beat. Non-GAAP EPS was $2.10.
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Margin and Outlook Improvement
GAAP operating margin reached 22.9%, supported in part by tariff refunds. Management nevertheless raised fiscal 2026 non-GAAP operating-margin guidance to 17.8%-18.2%.
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Full-Year Guidance Raised
Fiscal 2026 net revenue-growth guidance was raised to 4.7%-7.2%, while comparable revenue-growth guidance was raised to 4.0%-6.5%.
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No Credit Facility Borrowings
The company had no borrowings under its Credit Facility during the second quarter of fiscal 2026, reducing current variable-rate debt exposure.
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Repurchase Capacity Remains
The September 2024 repurchase authorization had approximately $50.756 million remaining as of August 2, 2026, with no shares repurchased during the reported fiscal periods.
What to watch
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Tariff Refund Benefit May Not Recur
The quarter's 22.9% GAAP operating margin benefited from tariff refunds, while the full-year outlook assumes no benefit from tariff refunds or related interest. This creates a risk that reported margin performance will normalize below the quarter's level.
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Inflation and Cost Pressure
Management identifies inflation from supply-chain disruptions, shipping and transportation costs, oil costs, labor costs and geopolitical events as a continuing risk, and states that future inflation could materially affect results. The outlook assumes approximately $25 million of annual interest income, which may not offset cost pressure.
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Growing Foreign-Exchange Exposure
The filing reports continued foreign-exchange volatility and notes that a hypothetical 10% change in applicable exchange rates would not have materially affected historical statements, but says exposure may increase as the company expands globally.
Management's outlook
Fiscal 2026 revenue-growth guidance was raised to 4.7%-7.2%, comparable revenue growth guidance to 4.0%-6.5%, and non-GAAP operating-margin guidance to 17.8%-18.2%. The outlook assumes no benefit from tariff refunds or related interest and approximately $25 million of annual interest income.
Earlier filings 4
10-K · March 26, 2026
Williams‑Sonoma positions itself as a digital‑first, design‑led omni‑channel home retailer focused on three priorities: "accelerating growth, delivering world‑class customer service and driving earnings." The 10‑K…
10-Q · November 25, 2025
Williams‑Sonoma reported Q3 net revenues of $1,882,814 (in thousands), up $82,146 (in thousands) year‑over‑year, with diluted EPS of $1.96. Gross profit was $867,733 (in thousands) (≈46.1% margin) and operating income…
10-Q · November 22, 2024
Williams‑Sonoma reported quarterly net revenues of $1,800,668 (for the thirteen weeks ended October 27, 2024), down from $1,853,650 a year ago, while delivering margin expansion and higher EPS. Gross profit increased to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.