Restoration Hardware CEO Reacts to 39% Stock Plunge Amid Tariff Crisis

Restoration Hardware CEO Gary Friedman expressed shock during an earnings call as the company's stock plummeted nearly 40% following President Trump's announcement of new tariffs on imports, particularly affecting their Asia-sourced products. Friedman candidly remarked, 'Oh shit,' upon seeing the market reaction, which was compounded by the company's disappointing earnings report. The tariffs imposed include a 46% duty on Vietnamese goods and a 54% tariff on Chinese imports, significantly impacting the retailer that sources 72% of its products from Asia. Despite the drastic stock decline, Friedman maintained a level of optimism about the administration's negotiation strategy and the company's inventory position. He acknowledged the broader challenges faced by the home furnishings industry amid the trade war. Restoration Hardware's significant loss not only impacted its stock but also Friedman's billionaire status, as his fortune dropped nearly 39% to an estimated $750 million.