Williams-Sonoma reports Q2 web sales up 11% year-over-year

Williams-Sonoma Inc. reports web sales rose 11% in the second quarter of fiscal year 2007 to $237.4 million versus $213.8 million in the same quarter in fiscal 2006. The web far outstripped comparable store sales, which increased only 1.2% for the quarter, ended July 29, 2007, according to the company’s second quarter earnings report.

Total net revenue for the second quarter climbed 4.1% to $859.4 million compared with $825.5 million in the second quarter of fiscal 2006. Williams-Sonoma is No. 20 in the Internet Retailer Top 500 Guide.

Direct-to-customer net revenue, including both catalog and Internet sales, increased 2.8% in the second quarter of fiscal year 2007 to $372.4 million, compared with $362.2 million in the same quarter of fiscal 2006.

The company attributes the direct-to-consumer increase mainly to increases in net revenue generated in the West Elm, PBteen, Williams-Sonoma and Williams-Sonoma Home brands. The sales increase was partially offset by lost revenue in the Hold Everything brand, which was shut down early in 2006, and reduced revenue in the Pottery Barn Kids and Pottery Barn brands, the company says. Excluding Hold Everything, direct-to-customer net revenue for the second quarter of fiscal year 2007 increased 4% compared with Q2 of 2006.

Williams-Sonoma estimates that approximately 55% of company-wide non-gift registry Internet revenue in the direct-to-consumer channel is driven by customers who recently received a catalog.