• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Stock

Abercrombie expects a strong holiday quarter as growth run continues

by November 27, 2024
written by November 27, 2024

Abercrombie & Fitch isn’t giving up its crown anytime soon. 

The apparel company issued strong holiday guidance on Tuesday after posting its sixth straight quarter of double-digit sales growth and another quarter of results that topped expectations. The recent arrest of the company’s former CEO, Mike Jeffries, on charges of sex trafficking did not appear to affect results.

Here’s how Abercrombie did in its fiscal third quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:

The company’s reported net income for the three-month period that ended Nov. 2 was $131.98 million, or $2.50 per share, compared with $96.2 million, or $1.83 per share, a year earlier. 

Sales rose to $1.21 billion, up around 14% from $1.06 billion a year earlier. 

For the all-important holiday shopping quarter, Abercrombie is expecting sales growth of 5% to 7%, ahead of the 4.8% growth that analysts had expected, according to LSEG. For the full year, the company is expecting sales to rise between 14% and 15%, higher than the 12% to 13% range it previously anticipated. That new outlook is higher than the 12.1% growth analysts had expected, according to LSEG. 

Despite the better-than-expected guidance, Abercrombie shares dropped about 3% in premarket trading.

In a news release, CEO Fran Horowitz struck a positive note, leaving out the concerns she’d mentioned in the previous quarter about the “increasingly uncertain environment.” 

“With broad-based growth across regions and brands, we continue to execute at a high level, leveraging our regional playbooks and operating model. Each of our regions grew double-digits in the quarter, with the Americas growing 14%, EMEA growing 15% and APAC growing 32%,” said Horowitz.

The Abercrombie and Hollister brands posted comparable sales growth of 11% and 21%, respectively. Horowitz noted the strong performances lapped growth of 26% for Abercrombie and 7% for Hollister last year.

Under Horowitz’s direction, Abercrombie has become one of the retail industry’s biggest winners. As it laps the strong performance it posted last year, it’s continuing to build on those numbers.

To keep gaining momentum, Horowitz is looking to international markets for growth. Abercrombie has also gone into new categories, such as its wedding collection and recent partnership with the NFL. It’s also focused on developing its Hollister chain, which caters to Gen Z shoppers, and ensuring the brand is differentiated from Abercrombie, which caters to millennials. 

During the quarter, sales at Hollister were up 14%, accounting for nearly half of all revenue. 

As retailers gear up for Black Friday and the duration of the holiday shopping season, it appears as if some of the dim sentiment clouding the back half of the year has evaporated after President-elect Donald Trump’s victory. 

For example, Abercrombie and Dick’s Sporting Goods — which both reported earnings on Tuesday — struck cautious tones when reporting earnings over the summer, but that sentiment was replaced with bullishness now that the election is over. 

Consumer sentiment has improved since Trump’s election and analysts are hopeful that certainty in the election results — regardless of who won — will be a boon for spending.

This post appeared first on NBC NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Legal challenges on administrative reach expected in Trump’s deregulatory scheme, experts say
next post
Retailers saw a dismal fall quarter. The election seems to be turning things around.

related articles

Krispy Kreme stock plunges after doughnut chain pauses...

May 8, 2025

UnitedHealthcare sued by shareholders over reaction to CEO’s...

May 8, 2025

NBA star Russell Westbrook launches AI-enabled funeral planning...

May 7, 2025

AMD CEO calls China a ‘large opportunity’ and...

May 7, 2025

Judge allows lawsuit over Burger King’s Whopper ads...

May 7, 2025

Amazon’s Zoox robotaxi unit issues software recall after...

May 6, 2025

Rite Aid files for second bankruptcy in two...

May 6, 2025

Skechers to be acquired by 3G Capital in...

May 6, 2025

Temu halts shipping direct from China as de...

May 4, 2025

Jeff Bezos discloses plan to sell up to...

May 3, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • Ethereum is waiting for a breakthrough above the EMA 200

    September 11, 2024
  • Warren explains her applause to Trump’s ‘Pocahontas’ jab during his speech to Congress

    March 6, 2025
  • Ranked choice voting dealt blow by voters, rejected in numerous states

    November 15, 2024
  • Trump selects South Dakota Gov Kristi Noem to run Department of Homeland Security

    November 13, 2024
  • Trump announces more nominations, including Devin Nunes, Troy Edgar and Bill White

    December 15, 2024

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,442)
  • Investing (604)
  • Stock (735)

Latest Posts

  • AUDUSD and AUDNZD: AUDUSD exceeds last week’s high

    August 19, 2024
  • Heritage flips script on fired director of Project 2025 after ‘disconcerting’ revelations surface

    September 27, 2024
  • Israel warns US defense chief Iran aggression has ‘reached all-time high’

    August 26, 2024

Recent Posts

  • Musk has ‘no business’ in Pentagon, Dems say amid report he’d get top secret China briefing

    March 21, 2025
  • TSMC Sales Growth Slows Amid Global Challenges

    February 10, 2025
  • Warning to Trump nuke negotiators about deceptive Iranian version of the ‘Art of the Deal’

    April 30, 2025

Editor’s Pick

  • Jim Jordan says YouTube ‘censored’ Joe Rogan interview with Trump

    October 31, 2024
  • Fed Governor Christopher Waller sees central bank ‘getting closer’ to an interest rate cut

    July 17, 2024
  • Biden says selecting Harris as running mate was ‘best decision I made’ after VP’s concession speech

    November 7, 2024
  • About us
  • Contacts
  • Privacy Policy
  • Terms and Conditions
  • Email Whitelisting

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock