Abercrombie & Fitch FY sales grow but profit hit by increased costs

Abercrombie & Fitch reported nett income of $515m versus $574m for the 52 weeks, portion operating income fell to $699m from $741m.

While income accrued to $5.2bn from $4.9bn a twelvemonth earlier, truthful excessively did costs, rising to $2bn from $1.8bn.

For the 4th quarter, nett income fell to $174.7m from $189.7m, and operating income fell to $236m from $256m. Sales accrued to $1.7bn from $1.6bn.

Fran Horowitz, main enforcement officer, said, “Our grounds 4th fourth nett income marked our thirteenth consecutive 4th of growth, with some operating borderline and net per stock astatine the precocious extremity of expectations we shared successful aboriginal January.

"Reflecting connected fiscal 2025, I’m arrogant of our accomplishments. We delivered grounds nett income with 6% maturation and achieved our 3rd consecutive twelvemonth of double-digit operating margins, each portion continuing to fortify the concern done investments successful marketing, stores, people, and integer capabilities. Supported by $619m successful operating currency flow, we repurchased 5.4 cardinal shares, representing 11% of shares outstanding astatine the opening of the year, reinforcing our committedness to semipermanent worth instauration and shareholder returns.

"We entered fiscal 2026 with a beardown foundation, including 2 globally applicable brands, a proven operating model, and a robust equilibrium sheet, each managed by a world-class team. Our goals for 2026 are to turn nett sales, present different twelvemonth of double-digit operating borderline and turn net per share, each portion making strategical investments that volition substance our semipermanent planetary ambition.”

Going forward, A&F expects nett income maturation successful the scope of 1%-3% for Q1 and 3%-5% for the afloat year.

It expects an operating borderline of astir 7% for Q4 and successful the scope of 12%-12.5% for the year.

And it expects nett income per diluted stock successful the scope of $1.20-1.30 for Q4 and $10.20-$11.00 for the afloat year.

"Abercrombie & Fitch FY income turn but nett deed by accrued costs" was primitively created and published by Just Style, a GlobalData owned brand.

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