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Williams-Sonoma profits up

Larry Thomas -- Furniture Today, November 28, 2011

SAN FRANCISCO - Retailer Williams-Sonoma said third-quarter profits jumped 18.9% due to strong performances by its Pottery Barn, West Elm and Pottery Barn Kids brands.
     Sales rose 6.3% to $867.2 million.
     "Innovative merchandising, personalized and event-triggered marketing, and a higher level of customer engagement drove these better-than-expected results as we continued to attract new customers to our brands," said Laura Alber, president and CEO.
     "As we enter into the fourth quarter, we are encouraged by the positive consumer response to our seasonal and holiday merchandise assortments, our strong value proposition, and our greatly enhanced multichannel shopping experience. We believe all of these initiatives will allow us to continue to deliver leading results in the housewares and home furnishings categories."
     Profits for the quarter ended Oct. 30 totaled $43.4 million, or 41 cents per share. That compares with $36.5 million, or 34 cents per share, in last year's third quarter.
     Williams-Sonoma said its direct-to-customer revenues, which includes catalog and ecommerce sales, rose 9.9% to $390 million, while revenues from traditional retail stores was up 3.6% to $478 million. The company said comparable-brand revenue growth - a measure that includes comparable-store revenues and all direct-to-consumer revenues - rose 7% at Pottery Barn and shot up 27% at West Elm.
     For the nine months ended Oct. 30, profits jumped 31.7% to $114.3 million, or 1.07 per share. Nine-month sales were $2.45 billion, an increase of 6.2% from the nine months ended Oct. 31, 2010.
     As of Oct. 30, the company had 268 Williams-Sonoma stores, 201 Pottery Barn locations, 84 Pottery Barn Kids locations and 36 West Elm stores.

Williams-Sonoma
Owns Pottery Barn, Pottery Barn Kids, Pbteen and West Elm Earnings per share are fully diluted.
13 weeks ended 10/30	2011	2010	Change
Revenues	$867,176,000	$815,516,000	6.3%
Operating income	68,744,000	56,162,000	22.4%
Net income	43,421,000	36,350,000	19.5%
Earnings per share	0.41	0.34	20.6%
39 weeks ended 10/30	2011	2010	Change
Revenues	$2,452,751,000	$2,308,707,000	6.2%
Operating income	184,529,000	139,820,000	32.0%
Net income	114,345,000	86,827,000	31.7%
Earnings per share	1.07	0.79	35.4%

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Williams-Sonoma's Q3 profits jump 18.9%

Nov 18, 2011

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