Williams Sonoma posts 4.6% revenue growth as tariff rate doubles to 29%, margin expands 70bps

Filed November 25, 2025 · Period ending November 2, 2025 · ~1 min read

Key Changes

• high

  Incremental tariff rate more than doubled from 14% to 29% since May 2025. Management warns they may not fully offset costs through pricing or sourcing changes, with potential material impact on earnings.

  MD&A: Tariff Environment verify on EDGAR →
• high

  Gross margin expanded 70 basis points to 46.1% driven by delayed tariff flow-through (temporary benefit), mitigation actions, and supply chain efficiencies. Tariff timing benefit will reverse as higher-cost inventory sells through.

  MD&A: Gross Margin verify on EDGAR →
• high

  Q3 revenue grew 4.6% with all major brands positive: Williams Sonoma brand led at 7.3% comp growth, emerging brands posted double-digit growth. Retail channel outperformed e-commerce 8.5% vs 1.9%.

  MD&A: Brand Performance verify on EDGAR →