What RH told the SEC could break it.

69% of RH's fiscal 2025 product purchases (by dollar volume) were sourced from Asia — 39% from Vietnam, 13% from China, the rest mainly Indonesia and India — concentrating sourcing in a region exposed to trade and geopolitical disruption.

“Based on total dollar volume of purchases for fiscal 2025, 69% of our products were sourced from Asia, including 39% from Vietnam, 13% from China and the remainder predominantly from Indonesia and India, 21% from North America, including 13% from the United States, as well as 10% from Europe and other countries.”

A significant subset of RH's Asia-sourced products has been affected by tariffs imposed in 2018, 2019 and 2025; 2025 Chinese-origin tariffs spiked before partial suspension, and a 2026 USMCA review adds further trade uncertainty.

“A significant subset of our products sourced from Asia has been affected by increased tariffs imposed in 2018, 2019 and 2025 and may be subject to further increased tariffs.”

RH buys substantially all merchandise from third-party vendors, many of which are sole sources for particular products, on an order-by-order basis with no long-term contractual assurance of supply, pricing, or access to new products.

“Many such vendors are the sole sources for particular products, and we generally transact business with such vendors on an order-by-order basis without any long-term or other contractual assurances of continued supply, pricing or access to new products with our vendors.”

RH's corporate headquarters and other operations are in Northern and Southern California, vulnerable to fires and earthquakes; intensifying wildfire frequency/severity could disrupt operations.

“In particular, our corporate headquarters is located in Northern California and other parts of our operations are located in Northern and Southern California, each of which is vulnerable to the effects of disasters, including fires and earthquakes that could disrupt our operations and affect our results of operations, and there is evidence that extreme weather, extended droughts and shifting climate patterns have intensified the frequency and severity of wildfires in California.”