Restoration Hardware Beats on Bottom Line, Misses Big on Top

Restoration Hardware posted second quarter earnings of $0.67 a share on revenue of $434 million. Wall Street analysts were looking for $0.64 a share on sales of $454 million. Last year, the retailer earned $0.49 a share on $382 million in revenue. Restoration achieved a record operating margin of 11.3% in Q2, a 240 basis point improvement versus last year. Comparable brand revenue for the quarter increased 13% on top of a 30% increase a year ago. The company is forecasting net revenue in the range of $475 million to $485 million for Q3 2014 with adjusted diluted EPS in the range of $0.46 to $0.48. TheStreet's Gregg Greenberg has details from New York.