From CNBC: 2024-11-26 12:01:21

Abercrombie & Fitch reported strong holiday guidance after achieving its sixth consecutive quarter of double-digit sales growth. Despite the recent arrest of former CEO Mike Jeffries on sex trafficking charges, the company’s net income for the fiscal third quarter was $131.98 million, exceeding expectations. Sales rose 14% to $1.21 billion, with projected growth for the holiday quarter at 5% to 7%. CEO Fran Horowitz emphasized the company’s broad growth across regions and brands, with the Americas growing 14%, EMEA growing 15%, and APAC growing 32%. The Abercrombie and Hollister brands showed comparable sales growth of 11% and 21%, respectively. However, increased freight costs due to higher rates and air usage offset margin gains from strong full-price sales. Abercrombie is looking to international markets for growth and expanding into new categories to continue its momentum. Retailers are optimistic following President-elect Donald Trump’s victory, with improved consumer sentiment expected to drive spending. Despite concerns about Trump’s proposed tariffs, Abercrombie stated that only 5% to 6% of imports come from China and its exposure to Mexico and Canada is minimal.



Read more at CNBC: Abercrombie & Fitch (ANF) earnings Q3 2024