Urban Outfitters - URBN Reports Record Q4 Sales and Strong Earnings Growth
February 28, 2024 at 09:58 am EST
Share
PHILADELPHIA- Urban Outfitters, Inc. (NASDAQ:URBN), a leading lifestyle products and services company which operates a portfolio of global consumer brands including the Anthropologie, Free People, FP Movement, Urban Outfitters and Nuuly brands, today announced net income of $47.8 million and earnings per diluted share of $0.50 for the three months ended January 31, 2024. For the year ended January 31, 2024, net income was $287.7 million and earnings per diluted share were $3.05.
For the three months ended January 31, 2024, adjusted net income was $65.7 million and adjusted earnings per diluted share were $0.69. For the year ended January 31, 2024, adjusted net income was $306.7 million and adjusted earnings per diluted share were $3.25. Adjusted net income and earnings per diluted share for the three months and year ended January 31, 2024, excludes store impairment and lease abandonment charges, an asset impairment charge and a change in revenue recognition method for Nuuly. See 'Reconciliation of Non-GAAP Financial Measures' included at the end of this release.
Total Company net sales for the three months ended January 31, 2024, increased 7.3% to a record $1.49 billion. Total Company adjusted net sales for the three months ended January 31, 2024, increased 8.0% to a record $1.50 billion. Total Retail segment net sales increased 6.2%, with comparable Retail segment net sales increasing 4.9%. The increase in Retail segment comparable net sales was driven by high single-digit positive growth in digital channel sales and low single-digit positive growth in retail store sales. Comparable Retail segment net sales increased 18.9% at Free People and 12.0% at Anthropologie and decreased 13.6% at Urban Outfitters. Wholesale segment net sales increased 3.3% driven by a 7.8% increase in Free People wholesale sales primarily due to an increase in sales to department stores, partially offset by a $1.9 million decrease in Urban Outfitters wholesale sales. Nuuly segment net sales increased by $20.3 million. Nuuly segment adjusted net sales increased by $29.4 million. The Nuuly segment adjusted net sales increase was primarily driven by a 56% increase in average active subscribers in the current quarter versus the prior year quarter.
For the year ended January 31, 2024, total Company net sales increased 7.5% to a record $5.15 billion. Total Company adjusted net sales for the year ended January 31, 2024, increased 7.7% to a record $5.16 billion. Total Retail segment net sales increased 6.0%, with comparable Retail segment net sales increasing 5.0%. The increase in Retail segment comparable net sales was driven by mid single-digit positive growth in digital channel sales and mid single-digit positive growth in retail store sales. Comparable Retail segment net sales increased 21.4% at Free People and 12.3% at Anthropologie and decreased 13.8% at Urban Outfitters. Wholesale segment net sales decreased 4.6% driven by a 4.8% decrease in Free People wholesale sales primarily due to decreases in sales to department stores and closeout account partners. Nuuly segment net sales increased by $106.2 million. Nuuly segment adjusted net sales increased by $115.3 million. The Nuuly segment adjusted net sales increase was primarily driven by an 82% increase in average active subscribers in the current year versus the prior year period.
'We are pleased to report record fourth quarter sales driven by strength at the Anthropologie, Free People, FP Movement and Nuuly brands,' said Richard A. Hayne, Chief Executive Officer. 'Positive customer response to our early spring offerings bodes well for continued sales growth in the first quarter,' finished Mr. Hayne.
Net sales by brand and segment for the three and twelve-month periods were as follows:
See full release at: http://investor.urbn.com/news-releases/news-release-details/urbn-reports-record-q4-sales-and-strong-earnings-growth
Urban Outfitters, Inc. is a lifestyle products and services company. The Company through three segments: Retail, Wholesale and Nuuly. The Retail segment includes its store and digital channels and includes its Anthropologie, Free People, FP Movement and Urban Outfitters brands. In addition to retail stores, it offers its products and services directly to its customers through its Websites, mobile applications, social media and third-party digital platforms, catalogs and customer contact centers. The Wholesale segment primarily designs, develops, and markets apparel, intimates, activewear and shoes. The Wholesale segment sells through department and specialty stores worldwide, digital businesses and its Retail segment. The Company operates a Wholesale segment under the Free People, FP Movement and Urban Outfitters brands. The Nuuly segment consists of the Nuuly brand, which includes Nuuly Rent and Nuuly Thrift. Nuuly Rent is a monthly womenâs apparel subscription rental service.
URBAN OUTFITTERS, INC. 
