Furniture Expert Call Takeaways: High-End Remains The Strongest Vertical

Research evidence excerpt

Furniture Expert Call Takeaways: High-End Remains The Strongest Vertical

TD SECURITIES (USA) LLC INDUSTRY UPDATE

May 13, 2026

■Retailing/Specialty Stores: Luxury Brands Furniture Expert Call Takeaways: High-End

■Retailing/Specialty Stores: Specialty Retail

Remains The Strongest Vertical

Max Rakhlenko, CFA THE TD COWEN INSIGHT

646 562 1423

We hosted luxury furniture executives to discuss the state of the industry, tariffs, and promo

max.rakhlenko@tdsecurities.com

backdrop. Higher-income consumers are resilient and continue to shop despite macro

Lauren Leatham uncertainty & rising prices. We expect prices will not come down in the N-T and see 232 tariffs

646 562 1462 as a smaller incremental headwind for many. Tastes are evolving toward traditional furniture.

lauren.leatham@tdsecurities.com

Call positive for WSM, RH, ARHS.

Amanuel Seife

646 562 1406 We recently hosted Jason Phillips, CEO of Phillips Collection, Ed Teplitz, President, Theodore

amanuel.seife@tdsecurities.com Alexander USA, and Kyle Johansen, Executive Director, HOM Furniture for a fireside chat.

Please contact us or your salesperson for a replay.

Top Takeaways:

(1) Higher Income Consumer Remains Strong. Conversations with experts highlighted that

despite some small delays in purchasing due to weather and macro uncertainty, the luxury

furniture consumer continues to spend and isn't dissuaded by rising furniture prices. The

luxury consumer was described as "healthy and shopping," and the sector is outperforming

lower verticals. That said, customers are responding well to promotions, even on the high-

end (although it is more about motivating clients to close outstanding transactions), and the

promo environment is likely to persist the rest of the year.

(2) Higher Prices Are Here To Stay.