Abercrombie & Fitch Co. (ANF) reported Q2 EPS of $2.32 and sales of $1.21B, exceeding estimates. Hollister sales surged 19% to $656.7M, while Abercrombie brand sales dropped 5%. ANF raised its FY25 sales growth outlook to 5-7% due to strong brand momentum. Shares of ANF dropped 11.3% in the past three months.

Sales in the Americas rose 8%, EMEA sales fell 1%, and APAC sales gained 12%. Net sales fell 5% for Abercrombie brand and rose 19% for Hollister. Abercrombie’s gross margin contracted 230 bps to 62.6% in Q2.

Abercrombie ended Q2 with $572.7 million in cash, no net long-term borrowings, and stockholders’ equity of $1.3 billion. The company repurchased about 0.6 million shares for $50 million in Q2. Abercrombie raised its full-year sales outlook and expects EPS between $10-$10.50 for FY25.

Read more at Zacks Investment Research: Abercrombie Q2 Earnings Top Estimates, Hollister Brand Up 19% – August 27, 2025