Williams- Sonoma Boosts ’01 Guidance

Williams-Sonoma Inc. on Monday raised its earnings estimate for fiscal 2001 because of cost controls and merchandise that appealed to customers eager to spend money on their living space.

The San Francisco company, which runs the Williams-Sonoma, Pottery Barn and Hold Everything chains, also said profit for fiscal 2002 would hit the upper end of Wall Street’s expectations.

Williams-Sonoma and home-oriented retailers such as Pier 1 Imports Inc. and Bed Bath & Beyond have benefited from people spending more time at home since the Sept. 11 attacks on the United States, and analysts see that momentum continuing this year.

Williams-Sonoma now expects earnings of $1.31 to $1.32 a share for the 12 months ended in January, up from both its previous forecast of $1.25 to $1.28 and prior-year profit of 99 cents.

The company’s stock rose $1.06, or 2.4%, to $45.15 on the New York Stock Exchange. The shares have more than doubled from a low of $21.37 in the aftermath of the attacks.

For fiscal 2002, Williams-Sonoma said it expected earnings of $1.52 to $1.56 a share. Analysts on average expected $1.51, with a range of $1.46 to $1.57.

Williams-Sonoma said it would close 16 stores this year and open 66 new ones, including 23 Williams-Sonoma and 25 Pottery Barn Kids locations.