Filing Flows › RH (RH) › How it makes money
How RH (RH) makes money
RH (RH) made $922M of revenue in the second quarter fiscal 2027 (Q2 FY27), +3% from a year earlier. Of every dollar of revenue, 48¢ was left as gross profit, 12¢ was left as operating profit, 7¢ was left as net earnings.
Drawing the Sankey…
Where each dollar of revenue goes
| Line | Q2 FY27 | % of revenue |
|---|---|---|
| Revenue | $922M | 100.0% |
| Cost of revenue | $477M | 51.8% |
| Gross profit | $445M | 48.2% |
| Operating expenses | $337M | 36.6% |
| Operating profit | $108M | 11.7% |
| Income tax | $16.2M | 1.8% |
| Net earnings | $60.2M | 6.5% |
| Operating cash flow | $145M | 15.7% |
| Free cash flow | $99.6M | 10.8% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q2 FY27 | $922M | +3% |
| Q1 FY27 | $800M | -2% |
| Q4 FY26 | $843M | +4% |
| Q3 FY26 | $884M | +9% |
| Q2 FY26 | $899M | +8% |
| Q1 FY26 | $814M | +12% |
| Q4 FY25 | $812M | +10% |
From RH's 10-Q filed Sep 10, 2026 (on EDGAR).
Questions
How does RH make money?
RH (RH) made $922M of revenue in the second quarter fiscal 2027 (Q2 FY27), +3% from a year earlier. Of every dollar of revenue, 48¢ was left as gross profit, 12¢ was left as operating profit, 7¢ was left as net earnings.
What is RH's profit margin?
Net earnings were $60.2M, 6.5% of revenue, in the second quarter fiscal 2027; the operating margin was 11.7%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.