Urban Outfitters Christmas sales up to USD577 million

Urban Outfitters set a landmark on Thursday when it announced record net sales for the Christmas holiday period. During the two months ended last December 31, 2011, total company net sales for the two months increased to $577

million or a 11%.

"We are pleased to announce an 11% increase in our holiday sales," said Glen T. Senk, Chief Executive Officer. "The highly promotional environment coupled with our goal to reduce our overall inventory levels by the end of the fourth quarter led to more promotional offerings than originally anticipated." continued Mr. Senk.

Urban Outfitters, Inc. (Nasdaq:URBN), a lifestyle speciality retail company operating under the Anthropologie, Free People, BHLDN, Terrain and Urban Outfitters brands, reported total net sales for the two months increased to $577 million or 11% over the same period last year.

Comparable retail segment net sales, which include direct-to-consumer channels, increased 4% while comparable store net sales were flat. Comparable retail segment net sales increased 3% at Urban Outfitters and Anthropologie and 9% at Free People. Direct-to-consumer comparable net sales jumped 17% for the period with all brands posting double digit growth. Wholesale segment net sales were down 1%.

For the 11-month period ended December 31, 2011, total Company net sales increased to $2.3 billion or 9% over the same period last year. Comparable retail segment net sales were flat while comparable store net sales decreased 4%. Direct-to-consumer comparable net sales rose 15% for the period and wholesale segment net sales increased 11%.

During the 11 months ended December 31, 2011, the Company opened a total of 50 new stores including: 18 new Urban Outfitters stores, 13 new Anthropologie stores, and 18 new Free People stores and 1 BHLDN store. The Company will release fourth quarter and fiscal year 2012 sales results on February 9, 2012.

Despite the record sales, Urban Outfitters' stock had its "underperform" rating reaffirmed by equities research analysts at Zacks Investment Research in a research note issued to investors on Thursday. The analysts currently have a $26.00 price target on the stock.

Separately, analysts at FBR Capital set a $32.00 price target on shares of Urban Outfitters in a research note to investors on Tuesday, December 20th. Analysts at Collins Stewart initiated coverage on shares of Urban Outfitters in a research note to investors on Tuesday, December 20th. They set a "neutral" rating and a $28.00 price target on the stock. Also, analysts at Sterne Agee reiterated a "neutral" rating on shares of Urban Outfitters in a research note to investors on Wednesday, December 14th.