Urban Outfitters net sales rise 3 percent

Urban Outfitters has announced net income of 30 million dollars for the three months ended April 30, 2016 and earnings per diluted share of 0.25 dollar. Total company net sales increased 3 percent over the same quarter last year to 763 million dollars.

“We are pleased to announce record first quarter sales and improved gross profit margins,” said Richard A. Hayne, Chief Executive Officer, adding, “These results were driven by more compelling product assortments, improved inventory management and stronger marketing.”

Comparable retail sales up 1 percent

Comparable retail segment net sales, which include our comparable direct-to-consumer channel, increased 1 percent, which includes the benefit of a leap year. Comparable retail segment net sales increased 2 percent at Urban Outfitters, were flat at the Anthropologie Group and decreased 2 percent at Free People. Wholesale segment net sales increased 16 percent.

The gross profit rate increased by 100 basis points versus the prior year's comparable period. The company said, increase in gross profit rate was primarily driven by improvement in the Urban Outfitters and Anthropologie Group brands maintained margins, with Urban Outfitters delivering significantly lower markdowns compared to prior year. The increase was partially offset by a lower gross profit rate at the Free People brand which was primarily driven by higher markdowns.

During the three months ended April 30, 2016, the company opened a total of four new stores including three Free People stores and one Anthropologie Group store; and closed two stores including: one Urban Outfitters store and one Anthropologie Group store. During the three months ended April 30, 2016, the Company acquired six Vetri Family restaurants.

picture:urbanoutfitters.com