There was a time when home decor specialist Restoration Hardware
After closing out last year with a modest quarterly profit, Restoration Hardware is back where it usually is three quarters into the year -- in the red. And while there's some comfort in knowing that the company achieved a 9% spike in comps on a 21% jump in revenues -- and while the market seems pleased today -- a narrower loss is still a loss.
It shouldn't be that way. Rival Pier 1 Imports
The housing market is booming and rock-bottom interest rates have folks scrambling to refinance and remodel. Yet, Restoration Hardware is guiding analysts to expect another loss in the current quarter. If the company peddled fruitcakes or tinsel, this would make perfect sense. It doesn't, and that just doesn't make sense. The company is trying to cater to spring cleanings, summer projects, and autumn makeovers, and all it has nailed is gift-wrapped winters?
That's not much of a present to investors. It better not stay that way.
If you're thinking of going to Restoration Hardware after you've found perfect digs, have you checked out our Home Center? If not, are you handy around the house? All this and more -- in the Building/Maintaining a Home discussion board. Only on Fool.com.
Longtime Fool contributor Rick Munarriz thinks baseball players are homesick. Why else would they always be trying to go home? He does not own shares in any company mentioned in this story.