San Francisco-based home goods chain Williams-Sonoma reported a higher-than-expected quarterly profit, aided by fewer discounts and strong online sales in the holiday season.
The company, operator of Williams-Sonoma cookware stores and the Pottery Barn furnishings chain, also raised its quarterly cash dividend by 41 percent to 31 cents a share, and approved a new $750 million stock repurchase program. Its shares rose 5.2 percent to $47.55 in after-hours trading on Tuesday.
In the years after the 2007-09 recession, the company has focused on selling more through its website and catalog, helping it become the e-commerce leader among home furnishings chains.
Sales at its direct-to-consumer business, which
Net earnings rose to $133.7 million, or $1.34 a share, from $122.6 million, or $1.17 a share, a year earlier. Analysts were looking for $1.29 a share, according to Thomson Reuters I/B/E/S.
Sales rose 10.9 percent to $1.41 billion in the quarter, ended Feb. 3, while analysts expected $1.40 billion.