For all people asking the question "Why is RH Pre-announcing?"
Here you go...
The company wants to let everyone know that business is a-ok.
They are looking at a a comp pf 24% compared to the Street at 19%.
That translates to 24% sales growth -- the top end of the guided range.
EPS is $1.00-$1.01 -- vs prior guide of $0.99-$1.01.
All numbers are preliminary -- meaning that they're probably headed a bit higher.
This week, management is in the process of planning and goal setting on key initiatives for 2H15. So they had preliminary info as to how the quarter turned out for a broader internal group. Our sense is that they had to announce this info to all of us in conjunction.
In addition, RH is not reporting earnings until late March. The company knows from past experience that large windows of time without financial information given to the Street is rarely a good thing. They're trying to fix that.
So, if you're caught off guard by the release...we see where you're coming from. But absolutely don't freak out. This is good news. The story is on track. And the catalyst calendar for 2015 will be explosive.
