Research Desk Line-up: Chico's FAS Post Earnings Coverage
LONDON, UK / ACCESSWIRE / September 6, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Urban Outfitters, Inc. (NASDAQ: URBN), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=URBN, following the Company's reporting of its financial results on August 15, 2017, for the second quarter of the fiscal year 2018. The Company's Wholesale segment's revenue increased 10% on a y-o-y basis. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:
Get more of our free earnings reports coverage from other constituents of the Apparel Stores industry. Pro-TD has currently selected Chico's FAS, Inc. (NYSE: CHS) for due-diligence and potential coverage as the Company announced on August 30, 2017, its financial results for Q2 FY17 which ended on July 29, 2017. Register for a free membership today, and be among the early birds that get access to our report on Chico's FAS when we publish it.
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on URBN; also brushing on CHS. With the links below you can directly download the report of your stock of interest free of charge at:
For the three months ended July 31, 2017, Urban Outfitters' total revenue increased 2.0% to $872.93 million from $890.57 million in Q2 FY17. During Q2 FY18, the Company's Anthropologie Group's revenue decreased 1.1% to $362.45 million on a y-o-y basis; Free People's revenue increased 9.6% to $180.23 million on a y-o-y basis, and Food & Beverage's revenue increased 12.8% to $6.43 million on a y-o-y basis. The total revenue surpassed analysts' expectations of $863.87 million.
During Q2 FY18, Urban Outfitters' Retail segment's revenue decreased 3.1% to $790.63 million from $815.76 million in Q2 FY17. For the reported quarter, the Company's Wholesale segment's revenue increased 10% to $82.30 million from $74.81 million in Q2 FY17.
For the reported quarter, the Company's gross profit decreased 13.2% to $297.34 million from $342.51 million in Q2 FY17. The decrease was mainly due to underperformance in women's apparel and accessories, and expenses occurred in the penetration of direct to consumer channel and initial merchandise mark ups. For the reported quarter, the Company's gross margin decreased 440 basis points to 34.1% of revenue from 38.5% of revenue in Q2 FY17.
During Q2 FY18, Urban Outfitters' selling, general, and administrative expenses (SG&A) increased 30 basis points to 25.5% of revenue from 25.2% of revenue in Q2 FY17. The increase was due to a negative comparative retail segment revenue and an increased spending in digital marketing.
During Q2 FY18, Urban Outfitters' operating income decreased 36.4% to $75.18 million from $118.21 million in Q2 FY17. For the reported quarter, the Company's operating margin decreased 470 basis points to 8.6% of revenue from 13.3% of revenue in Q2 FY17.
For the reported quarter, the Company's effective tax rate was 35.1% compared to 35.5% in Q2 FY17.
During Q2 FY18, Urban Outfitters' net income decreased 35.1% to $49.92 million on a y-o-y basis from $76.92 million in Q2 FY17. For the reported quarter, the Company's diluted earnings per share (EPS) decreased 33.3% to $0.44 on a y-o-y basis from $0.66 in Q2 FY17. The diluted EPS surpassed analysts' expectations of $0.37.
During Q2 FY18, the Company repurchased and retired 5 million common shares for $91 million.
During H1 FY18, the Company opened stores at 12 new locations including 6 Free People stores, 4 Urban Outfitters stores, 1 Anthropologie Group store, and 1 Food & Beverage restaurant; and closed 6 locations including 3 Free People stores, 1 Urban Outfitters store, 1 Anthropologie Group store, and 1 Food & Beverage restaurant.
As on July 31, 2017, Urban Outfitters' cash and cash equivalents increased 13.8% to $276.76 million from $243.12 million in Q2 FY17.
During Q2 FY18, the Company's inventory decreased 55 basis points to $365.18 million from $367.20 million in Q2 FY17.
For the reported quarter, Urban Outfitters' accounts payable increased 18.5% to $159.76 million from $134.83 million in Q2 FY17.
For Q3 FY18, Urban Outfitters' expects SG&A to decline by 1%.
For FY18, the Company expects capital expenditure to be $90 million and plans to open 18 new stores and close 9 stores.
The Company estimates effective tax rate to be 36.5% for the fiscal year 2018.
On Tuesday, September 05, 2017, the stock closed the trading session at $21.87, climbing 3.65% from its previous closing price of $21.10. A total volume of 5.56 million shares have exchanged hands, which was higher than the 3-month average volume of 4.30 million shares. Urban Outfitters' stock price surged 13.43% in the last one month and 20.23% in the past three months. The stock is trading at a PE ratio of 14.63 and currently has a market cap of $2.51 billion.
Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email [email protected]. Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Email: [email protected]
Phone number: (917) 341.4653
Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Pro-Trader Daily