Restoration Hardware CEO Gary Friedman was on a call with analysts Wednesday afternoon talking about the furniture retailer’s clearance strategy and how the housing market could slow in this economic environment. Then he asked colleagues to get a “live read” of his business and checked how the company’s stock was doing.

“Oh really? Oh, shit, OK,” Friedman said. “It got hit when I think the tariff came out and everybody can see in our 10-K where we’re sourcing from so it’s not a secret.”

Shares of Restoration Hardware were down 41% in Thursday’s trading. The furniture company said in its annual report that 72% of its products were sourced from Asia in 2024, including 35% from Vietnam and 23% from China.