Williams-Sonoma Q2 comparable brand revenue +6.2%; fiscal 2026 outlook raised

Williams-Sonoma, Inc. (NYSE: WSM) reported net revenues of $1.96 billion for the 13 weeks ended August 2, 2026, compared with $1.84 billion in the 13 weeks ended August 3, 2025. Comparable brand revenue rose 6.2%. GAAP diluted EPS was $2.84; non-GAAP diluted EPS was $2.10. The figures are from the company’s August 26, 2026 earnings release, furnished the same day as Exhibit 99.1 to a Form 8-K under Item 2.02.

The company said it is raising fiscal 2026 guidance and that the outlook assumes no benefit from tariff refunds or related interest. In fiscal 2026, it now expects annual net revenues in the range of +4.7% to +7.2%, comps in the range of +4.0% to +6.5%, and a non-GAAP operating margin between 17.8% and 18.2%. Results are preliminary. The Form 10-Q has not been filed.

Comparable brand revenue growth was 6.2% in the second quarter, versus 3.7% a year earlier. The release defines comparable brand revenue on a 13-week basis and includes business-to-business revenues. Pottery Barn comparable brand revenue was 5.1% (net revenues $770.81 million). West Elm was 6.4 (net revenues 496.25 million). Williams Sonoma was 7.6 (net revenues 268.83 million), including Williams Sonoma Home. Pottery Barn Kids and Teen was 3.5 (net revenues 297.44 million), compared with 5.3 a year earlier. Other net revenues were 126.43 million; the release does not report an Other comparable-brand line. Chief Executive Officer Laura Alber said: “We delivered a very strong second quarter. In Q2, our comp came in at 6.2%, with total revenue growth of 6.7%, and we drove an operating margin of 17.3% with earnings per share of $2.10. Every brand delivered again in the quarter, driven by strong execution across our brands, our channels, and our team.” The 6.7% total-revenue figure is Alber’s spoken line, not a table row.

GAAP operating income was $449 million, with an operating margin of 22.9%, or $338 million and 17.3% on a non-GAAP basis. GAAP gross margin was 51.6%, +450 basis points to last year, which the release traces in part to IEEPA tariff refunds. During the quarter the company recorded a reduction of cost of goods sold of $167.8 million related to refunds received for previously expensed tariffs and related interest income of $6.3 million, partly offset by a $47.5 million vendor-concession provision and a $10.0 million discretionary 401(k) contribution. As of August 2, 2026, it deferred $29.3 million of the tariff refund income as a reduction of merchandise inventories, which it anticipates recognizing as a reduction to cost of goods sold in the third quarter of fiscal 2026. Substantially all of the initial refund claim of $197.8 million has been collected, with a remaining receivable of $3.2 million. The company has not filed its Form 10-Q, and it said all results described in the release should be considered preliminary and subject to change.

The guidance-assumption sentence, printed in full, is: “Our guidance assumes (i) all tariffs currently in place will remain for fiscal 2026, including the Section 232 tariffs, the existing Section 301 tariffs, the new Section 301 tariffs announced on July 23rd, and the latest tariffs between Canada and the United States, (ii) oil prices will remain elevated for the remainder of the year, and (iii) no benefit from tariff refunds or related interest.” The release does not say whether the $29.3 million of deferred tariff refund income anticipated in third-quarter cost of goods sold sits inside or outside that “no benefit” assumption. This page does not resolve that. The release does not state fiscal 2026 EPS guidance, a GAAP operating-margin range, or brand-level annual guidance.