US luxury retailer Urban Outfitters' Q4 FY21 sales dip 7% to $1.08 bn

13 Apr '21

2 min read

Pic: Urban Outfitters/ Anthropologie

Urban Outfitters (URBN), a US-based lifestyle retail company, has reported 6.9 per cent sales decline to $1.08 billion in its fourth quarter (Q4) FY21 ended on January 31, 2021 compared to sales of $1.16 billion in the same period previous fiscal. However, company’s net income during Q4 FY21 rose to $28.6 million (Q4 FY20: $19.5 million).

“As we begin our new fiscal year, we are encouraged by the positive sales results all three brands delivered in North America quarter-to-date,” Richard A Hayne, chief executive officer at Urban Outfitters, said in a press release. “We’re particularly excited by the recent uptick in demand for ‘going-out’ type apparel and believe this bodes well for our spring and summer seasons.”

Gross profit for Q4 FY21 was $289.0 million ($333.8 million), while selling, general and administrative expenses were $254.3 million ($281.3 million). The company’s income from operations were down to $34.7 million ($38.5 million).

By brand, sales of Urban Outfitters dropped to $428.1 million ($449.9 million), and Anthropologie Group sales slipped to $431.3 million ($491.1 million). However, Free People sales marginally grew to $219.2 million ($215.7 million) and Nuuly sales were $6.6 million ($5.9 million). Sales of Menus & Venues decreased to $2.9 million ($6.7 million).

Retail segment sales during the reported quarter dipped to $1.01 billion ($1.09 billion) due to negative retail store net sales as stronger conversion rates could not offset the reduced store traffic caused by the coronavirus pandemic and related occupancy restrictions. Wholesales segment sales were $67.8 million ($73.0 million).

Fibre2Fashion News Desk (JL)

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