Free People sales boost URBN's balance sheet

Urban Outfitters (URBN), which operates a portfolio of Anthropologie, Free People, FP Movement, Urban Outfitters and Nuuly, has announced its net sales for eleven months ending 31 December 2023.

Q4 results

Total company net sales for the two months ending 31 December, increased 10% compared to the same period the year prior. Total retail sales increased by 8%, driven by high single-digit positive growth in digital channel sales and low single-digit positive growth in retail store sales.

Brand breakdown:

• Free people sales were up by 20%
• Anthropologie sales were up by 14%
• Urban Outfitters sales were down, however, by 13%
• Nuuly sales were up by 71%, thanks to a 58% increase in subscribers

Overall, wholesale sales increased 15%, driven by an increase in Free People wholesale sales to department stores and speciality accounts, partially offset by a decrease in Urban Outfitters wholesale sales.

Fiscal Year results

For the eleven months ending 31 December, total company net sales were up by 8% compared to the year prior. Total retail sales increased by 6% driven by high single-digit positive growth in digital channel sales and mid-single-digit positive growth in retail store sales.

Wholesale sales decreased by 4%, driven by a decrease in Free People wholesale sales primarily due to a decrease in sales to department stores.

Notably, Nuuly segment net sales increased 92% driven by a 58% increase in our subscribers versus the end of the prior year's comparable period.

During the eleven months, the company opened a total of 26 new retail locations including 11 Free People stores, 7 Urban Outfitters stores, 7 Anthropologie stores and 1 Menus & Venues restaurant.

URBN closed 12 retail locations including 5 Urban Outfitters stores, 4 Anthropologie stores, and 1 Free People store. There was also one Urban Outfitters franchisee-owned store opened.