Urban Outfitters reports 12.4 percent rise in Q1 net sales

Urban Outfitters, Inc. reported net income of 41 million dollars against 12 million dollars and earnings per diluted share of 0.38 dollar compared to 0.1 dollar for the three months to April 30, 2018. Total company net sales for the period increased 12.4 percent over the same period last year to a record $856 million.

“We are pleased to report record first quarter sales driven by a 10 percent increase in comparable retail segment sales and a 13 percent increase in wholesale sales,” said Richard A. Hayne, the company’s Chief Executive Officer in a media release, adding, “Even more exciting is our 280 percent jump in first quarter EPS, a result of strong sales, healthy margin improvement, SG&A leverage and a lower tax rate.”

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Highlights of Urban Outfitters’ Q1 results

Comparable retail segment net sales increased 10 percent, driven by double-digit growth in the digital channel and positive retail store sales. By brand, comparable retail segment net sales increased 15 percent at Free People, 10 percent at the Anthropologie Group and 8 percent at Urban Outfitters. Wholesale segment net sales increased 13 percent.

For the three months, the gross profit rate increased by 130 basis points versus the prior year’s comparable period driven by lower markdowns at all three brands and leverage in store occupancy cost due to growth in Retail segment comparable net sales. The company opened four new locations including: two Free People stores and two Urban Outfitters stores; and closed one Urban Outfitters store during the period under review.

Picture:Facebook/urban outfitters