Both Hollister and Abercrombie delivered positive US comparable sales, resulting in a total company US comparable sales of positive 3 per cent against positive 6 per cent last year. This was offset by international comparable sales of negative 8 per cent against negative 3 per cent last year.
Gross profit rate of 60.1 per cent, was down 120 basis points on a reported basis and down 80 basis points on a constant currency basis as compared to last year. The net income was $0.10 per diluted share as compared to $0.35 last year on a reported basis.
“We achieved another quarter of constant currency revenue growth and positive US comps across brands, while maintaining tight expense management. Continued US momentum was offset by challenges across several of our key international markets as well as a complicated global operating environment, which weighed on overall results. Despite these challenges, we ended the quarter with a balanced inventory position and have seen good response to our new assortments as weather has turned more seasonal, giving us confidence in our product and messaging for the important holiday period, said Fran Horowitz, chief executive officer.
“While we are focused on the upcoming holiday season, we also continue to make progress against our long-term transformation initiatives including: delivering 34 new store experiences, keeping us on track for our goal of 85 for the year; continuing the global rollout of omni capabilities and new payment options, and building our customer and product-facing teams in the EMEA and APAC regions. These transformation initiatives, along with accelerating top line growth, are essential to achieving our 2020 profitability target.”
For fiscal 2019, the company expects net sales to be in the range of flat to up 1 per cent and comparable sales to be in the range of flat to up 1 per cent, against positive comparable sales of 3 per cent last year.
The gross profit rate is expected to be down approximately 100 basis points from the fiscal 2018 rate of 60.2 per cent.
For the fourth quarter of fiscal 2019, the company expects net sales to be in the range of flat to up 2 per cent, reflecting an adverse impact from changes in foreign currency exchange rates of approximately $5 million; comparable sales to be in the range of flat to up 2 per cent, against positive comparable sales of 3 per cent last year.
The gross profit rate is expected to be down approximately 150 basis points as compared to fiscal 2018 rate of 59.1 per cent.
Abercrombie & Fitch Co is a leading, global specialty retailer of apparel and accessories for men, women and kids through three renowned brands.
Fibre2Fashion News Desk (PC)
| On 21st Apr 2021
Three major luxury names—LVMH, Prada and Cartier, part of...
| On 21st Apr 2021
India's Cabinet chaired by Prime Minister Narendra Modi has given its ...
Circular fashion and textile technology group Infinited Fiber Company ...
Great step towards realising end goal of 'AtmaNirbhar Bharat'
Virtual reality would be the new normal
Good tidings expected for textile industry
Dhirubhai & Arvind Shah
It supplies synthetic fabrics to top international brands like M&S,...
Set up by Pradeep Sinha, a graduate engineer from Manipal
Rajesh Vig & Ritu Vig
Vig and Ritu Vig, promoters of the kidswear brand Happy Feet,...
Arevo, based in Silicon Valley in California, develops technology to...
German company Dilo Group is one of the leading equipment suppliers of...
Pranesh Sridharan & Berndt Koll
The Lenzing Group produces Lenzing Lyocell and Modal cellulosic fibres of...
Sandeep Gonsalves & Sarah Gonsalves
Sarah & Sandeep
Established in 2012, Sarah & Sandeep is a luxury menswear label...
Sarah Denise Cordery
Sarah Denise Studio
Manchester, England-based Sarah Denise Studio provides relevant fashion...
Sailesh Singhania Label
The Sailesh Singhania label was created to promote handwoven sarees and...
Letter to Editor
Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.
Subscribe today and get the latest information on Textiles, Fashion, Apparel.
Download Free Report
Rising Opportunities in Technical Textiles Market: 2020-2026
Thank you for showing interest in our free report on 'Rising Opportunities in Technical Textiles Market: 2020-2026'
You will receive an email shortly with a link to download the report and in case if you don't receive our email, you can write back to firstname.lastname@example.org.