Rh ( (RH) ) has released its Q1 earnings. Here is a breakdown of the information Rh presented to its investors.
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RH, a leading luxury home furnishings retailer, has reported its financial results for the first quarter of 2025, showcasing strong growth despite challenging market conditions. The company, known for its high-end furniture and interior design services, operates in the retail and hospitality sectors with a focus on creating immersive brand experiences.
In the first quarter of 2025, RH achieved a 12% increase in GAAP net revenues, reaching $814 million. The company reported a GAAP operating margin of 6.9% and an adjusted operating margin of 7.0%. Additionally, RH generated a positive free cash flow of $34 million, reflecting its strategic investments and operational efficiency.
Key highlights from the report include significant demand growth in RH’s international markets, particularly in Europe, where RH Munich and RH Dusseldorf saw a 60% increase in demand. The company is also preparing for the opening of RH Paris, expected to be a flagship location. RH’s strategic focus on expanding its product offerings and enhancing its platform has positioned it for continued growth, even in a challenging housing market.
Looking ahead, RH maintains a positive outlook for fiscal 2025, with expected revenue growth of 10% to 13% and an adjusted EBITDA margin of 20% to 21%. The company plans to continue its global expansion, with new gallery openings in iconic locations, and aims to capitalize on its brand strength and market opportunities. RH’s management remains confident in its ability to navigate economic uncertainties and drive long-term shareholder value.