Urban Outfitters posts record sales quarter, earnings surge 120%

By

Benjamin Fitzgerald

Published
Nov 22, 2023

Urban Outfitters Inc. announced on Tuesday record-breaking revenues for the quarter ending October 31, on the back of double-digit sales increases at its Free People and Anthropologie banners.

The Philadelphia-based company said total quarterly net sales increased 9% to a record $1.28 billion. Total retail segment net sales increased 7.3%, with comparable retail segment net sales increasing 5.6%, driven by high single-digit positive growth in digital channel sales and mid single-digit positive growth in retail store sales.

Comparable retail sales increased 22.5% at Free People and 13.2% at Anthropologie, but decreased 14.2% at Urban Outfitters. Wholesale segment sales decreased 3.6%, driven by a 3.5% decrease in Free People sales due to a decrease in sales to department stores and close out account partners.

Nuuly segment net sales increased by $30.2 million primarily driven by a 68% increase in subscribers, said the company.

Net income grew to $83 million with earnings per diluted share of $0.88 for the three months, compared to net income of $37 million and earnings per diluted share of $0.40 for the prior-year period, for growth of 120%.

“We are proud to report record third quarter sales that helped drive a 120% increase in EPS,” said Richard Hayne, chief executive officer.

“As we enter the holiday season the consumer continues to react positively to our assortments and marketing campaigns at four out of five of our brands which leaves us confident we can continue to drive revenue and earnings growth in the fourth quarter."