Abercrombie & Fitch reports sales of $698 mn in Q2 FY20

28 Aug '20

2 min read

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Abercrombie & Fitch, a global specialty retailer of apparel and accessories through three renowned brands, has reported 17 per cent sales decline to $698 million in its second quarter (Q2) for fiscal 2020 ended on August 1, 2020 compared to sales of $841.0 million in same period previous fiscal. However, digital sales jumped 56 per cent to $386 million.

“We are listening, learning and evolving, and staying nimble in this unprecedented period of turmoil and uncertainty,” Fran Horowitz, chief executive officer at Abercrombie & Fitch, said in a press release. “We ended the quarter with approximately $1.1 billion of liquidity, reflecting $187 million of operating cash flow generated in the second quarter.”

Gross profit for the quarter were $423.6 million (Q2 FY19: $498.6 million). Company reported an operating income of $14.1 million compared to operating loss $39.4 million. Net income for Q2 FY20 were $5.7 million.

Sales of Hollister brand for Q2 FY20 dropped 15 per cent to $429.2 million ($504.7 million). While Abercrombie sales slipped 20 per cent to $269.0 million ($336.3 million).

Sales in all the regions were down: US fell 16 per cent to $458.6 million ($543.4 million), EMEA sales were down 15 per cent to $171.2 million ($200.6 million), APAC sales decreased 38 per cent to $41.8 million ($67.3 million), International sales slipped 19 per cent to $239.6 million ($297.6 million).

“Looking ahead, the physical and mental health and safety of our customers, associates and communities remains a top priority. We will continue to be vigilant, thoughtfully managing operations while leveraging our strong liquidity position to strategically invest in critical functions that support our future global growth opportunities,” Horowitz said.

Fibre2Fashion News Desk (JL)

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