Urban Outfitters Inc., headquartered in Philadelphia, celebrates a remarkable quarter ending October 31 with record-breaking revenues and an impressive 120% surge in earnings. This outstanding performance is attributed to substantial double-digit sales increases at the Free People and Anthropologie banners.
The quarterly report reveals a 9% increase in total net sales, reaching an unprecedented $1.28 billion. The retail segment experienced a substantial 7.3% boost in net sales, driven by a remarkable 5.6% increase in comparable retail segment net sales. Notably, the digital channel witnessed a high single-digit surge, complemented by a solid mid single-digit rise in retail store sales.
Free People and Anthropologie emerged as stars in comparable retail sales, showcasing increases of 22.5% and 13.2%, respectively. Despite a 14.2% dip in comparable retail sales at Urban Outfitters, the overall performance demonstrates the company’s resilience and strategic prowess across its segments.
The Wholesale segment experienced a 3.6% decrease in sales, primarily due to a 3.5% dip in Free People sales linked to reduced transactions with department stores and close-out account partners. On a positive note, the Nuuly segment saw a substantial boost, with net sales surging by $30.2 million, driven by an impressive 68% increase in subscribers.
In this triumph, net income for the quarter soared to $83 million, with earnings per diluted share standing at $0.88. This signifies an exceptional 120% growth compared to the prior-year period when net income was $37 million, and earnings per diluted share were $0.40.
Richard Hayne, Chief Executive Officer, expressed pride in the achievement, stating, «We are proud to report record third-quarter sales that helped drive a 120% increase in EPS. As we enter the holiday season, the consumer continues to react positively to our assortments and marketing campaigns at four out of five of our brands, leaving us confident we can sustain revenue and earnings growth in the fourth quarter.»
Urban Outfitters Inc. not only breaks records but sets a new standard for success in the retail landscape, showcasing its dominance in the market with unparalleled financial achievements. Explore our diverse offerings at Free People, Anthropologie, and beyond, as we redefine excellence in the retail experience.