Restoration Hardware Holdings, Inc (NYSE:RH) shares rose as the company posted a strong earnings showing in its latest quarter.

For its fourth quarter of fiscal 2016, the company unveiled earnings of 86 cents per share, which beat the consensus estimate of 88 cents per share. Revenue also beat expectations at $587 million, which was better than the $585 million that Wall Street called for.

“2016 was a year of transformation and transition at RH,” CEO Gary Friedman said in a release. “We transformed our business from a promotional to a membership model that we believe will enhance our brand, streamline our operations, and vastly improve the customer experience.”

He added that Restoration Hardware began redesigning its supply chain network by transforming operations into fewer facilities, which will give the company the freedom to open a distribution center this year.

However, not all was swell for the company as same-store sales fell 18% year-over-year. In the year-ago period, this figure rose 9%.

Full-year GAAP net income was $5.4 million, which was better than the $91.1 million unveiled by Restoration Hardware a year ago.

For its fiscal 2016, GAAP and adjusted net revenues increased 1% compared to a 13% increase last year, while same-store sales fell 7% compared to an 11% increase last year.

RH stock posted a 4.6% gain over the course of trading on Wednesday, sending the stock up to $43.55 per share.