URBN reports record-breaking Q3 despite major sales dip at Urban Outfitters
URBN, which operates a portfolio of global consumer brands including Anthropologie, Free People, FP Movement, Urban Outfitters and Nuuly, has today announced a record third-quarter net income of £81.63 million ($102.9 million).
For the three months ending 31 October 2024, the company reported sales were up by 6.3% to a record £1.08 billion ($1.36 billion).
Brand breakdown:
- Anthropologie – sales up by 5.8%.
- Free People – sales up by 5.3%.
- Urban Outfitters – sales down by 8.9%.
- Nuuly – sales up by 48.4% (driven by a 51% increase in average active subscribers).
Wholesale segment net sales increased 17.4%, driven by a 20.3% increase in Free People wholesale but partially offset by Urban Outfitters.
For the nine months ending 31 October 2024, total company net sales increased 6.7% to a record £3.1 billion ($3.91 billion). Total retail segment net sales increased 4%, driven by mid-single-digit positive growth in digital channel sales and low single-digit positive growth in retail store sales.
Brand breakdown:
- Anthropologie – sales up by 7.5%.
- Free People – sales up by 9.3%.
- Urban Outfitters – sales down by 10.6%.
- Nuuly – sales up by 53.9%.
Wholesale segment net sales increased 12.3%, again driven by a 15.1% increase in Free People wholesale sales.
Richard A. Hayne, Chief Executive Officer at URBN, said: "We are pleased to announce record third-quarter sales and earnings, both of which exceeded our expectations. These results were driven by outperformance across all three business segments – Retail, Subscription and Wholesale.
"Additionally, we're optimistic about the outlook for Holiday demand and believe total comparable sales could be similar to our third quarter results."
