Williams-Sonoma, Inc. announces first quarter 2014 results Comparable brand revenues grow 10% Operating income grows 17%, EPS increases 20% to $0.48 Raises financial guidance for fiscal year 2014

Williams-Sonoma, Inc. (NYSE: WSM) today announced operating results for the 13 weeks ended May 4, 2014 (“Q1 14”) versus the 13 weeks ended May 5, 2013 (“Q1 13”).

1^st QUARTER 2014 RESULTS

Laura Alber, President and Chief Executive Officer, commented, “Innovative, high-quality product, personalized service, relevant marketing and strong execution across all brands drove these better than expected results. With 50% of our revenue in the direct channel this quarter, we believe our multi-brand, multi-channel platform is driving consistent market share gains and providing us with a sustainable competitive advantage.”

Alber continued, “We are executing against all of our growth strategies, investing in our business while improving our profitability, and returning capital to our stockholders. Looking towards the balance of 2014, we are confident in our strategies and believe we are well positioned to deliver on both our near and longer term goals.”

Comparable brand revenue growth in Q1 14 increased 10.0% on top of 7.2% in Q1 13 as shown in the table below:

Direct-to-customer (DTC) net revenues in Q1 14 increased 17.2% to $491 million from $419 million in Q1 13 and generated 50% of total company net revenues in Q1 14, compared to 47% in Q1 13.

Retail net revenues in Q1 14 increased 3.1% to $483 million from $469 million in Q1 13, primarily driven by West Elm and Pottery Barn, partially offset by a decrease in our international franchise operations.

Operating margin in Q1 14 was 7.6% compared to 7.2% in Q1 13. Excluding unusual business events in Q1 13, non-GAAP operating margin was 7.5%:

EPS in Q1 14 increased 20.0% to $0.48 from $0.40 in Q1 13. Excluding unusual business events in Q1 13, non-GAAP EPS grew 17.1% from $0.41.

Merchandise inventories at the end of Q1 14 increased 28.6% to $850 million from $662 million at the end of Q1 13. Excluding the impact of additional inventory in transit due to taking ownership of our inventory earlier in the supply chain in Q1 14 versus Q1 13, merchandise inventories increased 17.2% on a comparable basis.

STOCK REPURCHASE PROGRAM

During Q1 14, we repurchased 840,761 shares of common stock at an average cost of $63.41 per share and a total cost of approximately $53 million. As of May 4, 2014, there was approximately $458 million remaining under the three-year, $750 million stock repurchase program announced in March 2013.

FISCAL YEAR 2014 FINANCIAL GUIDANCE

2^nd Quarter 2014 Guidance

CONFERENCE CALL AND WEBCAST INFORMATION

Williams-Sonoma, Inc. will host a live conference call today, May 21, 2014, at 2:00 P.M. (PT). The call, hosted by Laura Alber, President and Chief Executive Officer, will be open to the general public via live webcast and can be accessed at www.williams-sonomainc.com/webcast. A replay of the webcast will be available at www.williams-sonomainc.com/webcast.

SEC REGULATION G — NON-GAAP INFORMATION

This press release includes non-GAAP SG&A, operating income, operating margin and diluted EPS. These non-GAAP financial measures exclude the impact of employee separation charges in Q1 13. We have reconciled these non-GAAP financial measures with the most directly comparable GAAP financial measures in the text of this release and in Exhibit 1. We believe that these non-GAAP financial measures provide meaningful supplemental information for investors regarding the performance of our business and facilitate a meaningful evaluation of our quarterly actual results and FY 14 guidance on a comparable basis with prior periods. Our management uses these non-GAAP financial measures in order to have comparable financial results to analyze changes in our underlying business from quarter to quarter. These non-GAAP measures should be considered as a supplement to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that, if they do not fully materialize or are proven incorrect, could cause our results to differ materially from those expressed or implied by such forward-looking statements. Such forward-looking statements include statements relating to: our market share positioning and competitive advantage; the execution of our strategies; our future financial guidance, including Q2 14 and FY 2014 guidance; our three-year stock repurchase program; and our proposed store openings and closures.

The risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements include: accounting adjustments as we close our books for Q1 14; continuing changes in general economic conditions, and the impact on consumer confidence and consumer spending; new interpretations of or changes to current accounting rules; our ability to anticipate consumer preferences and buying trends; dependence on timely introduction and customer acceptance of our merchandise; changes in consumer spending based on weather, political, competitive and other conditions beyond our control; delays in store openings; competition from companies with concepts or products similar to ours; timely and effective sourcing of merchandise from our foreign and domestic vendors and delivery of merchandise through our supply chain to our stores and customers; effective inventory management; our ability to manage customer returns; successful catalog management, including timing, sizing and merchandising; uncertainties in e-marketing, infrastructure and regulation; multi-channel and multi-brand complexities; our ability to introduce new brands and brand extensions; challenges associated with our increasing global presence; dependence on external funding sources for operating capital; disruptions in the financial markets; our ability to control employment, occupancy and other operating costs; our ability to improve our systems and processes; changes to our information technology infrastructure; general political, economic and market conditions and events, including war, conflict or acts of terrorism; and other risks and uncertainties described more fully in our public announcements, reports to stockholders and other documents filed with or furnished to the SEC, including our Annual Report on Form 10-K for the fiscal year ended February 2, 2014 and all subsequent current reports on Form 8-K. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we assume no obligation to update these forward-looking statements.

ABOUT WILLIAMS-SONOMA, INC.

Williams-Sonoma, Inc. is a specialty retailer of high-quality products for the home. These products, representing eight distinct merchandise strategies – Williams-Sonoma (cookware and wedding registry), Pottery Barn (furniture and wedding registry), Pottery Barn Kids (kids’ furniture and baby registry), PBteen (girls’ bedding and boys’ bedding), West Elm (modern furniture and room decor), Williams-Sonoma Home (luxury furniture and decorative accessories), Rejuvenation (lighting and hardware) and Mark and Graham (personalized gifts and gifts for the home) – are marketed through e-commerce websites, direct mail catalogs and 589 stores. Williams-Sonoma, Inc. currently operates in the United States, Canada, Australia and the United Kingdom, offers international shipping to customers worldwide and has an unaffiliated franchisee that operates 27 stores in the Middle East.