Abercrombie & Fitch Co. has recently released its 10-Q report, detailing its operations as an omnichannel retailer with a presence in the United States, Europe, the Middle East, Asia, the Asia-Pacific, and Canada. The company offers a range of apparel, personal care products, and accessories for men, women, and kids under various brands, including Abercrombie & Fitch, abercrombie kids, Hollister, and Gilly Hicks. It sells products through its stores, wholesale, franchise, licensing arrangements, and e-commerce platforms. Abercrombie & Fitch Co. was founded in 1892 and is headquartered in New Albany, Ohio.
The 10-Q report includes "Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations," which provides insights into the company’s operating performance. The report emphasizes the use of non-GAAP financial measures to assess the company’s performance and develop expectations for future operating performance. Abercrombie & Fitch Co. uses comparable sales to understand year-over-year changes in net sales, excluding revenue other than store and digital sales.
The company also provides financial information on a constant currency basis to enhance investors’ understanding of underlying business trends and operating performance by removing the impact of foreign currency exchange rate fluctuations. Reconciliations of non-GAAP financial metrics on a constant currency basis to financial measures calculated and presented in accordance with GAAP are included for the thirteen and twenty-six weeks ended August 3, 2024, and July 29, 2023.
Additionally, the report includes EBITDA and Adjusted EBITDA as supplemental measures used by the company's executive management to assess its performance. EBITDA is defined as net income before interest, income taxes, and depreciation and amortization, while Adjusted EBITDA is EBITDA adjusted for asset impairment. Reconciliations of non-GAAP EBITDA and Adjusted EBITDA to financial measures calculated and presented in accordance with GAAP are provided for the thirteen and twenty-six weeks ended August 3, 2024, and July 29, 2023.
The 10-Q report provides a comprehensive overview of Abercrombie & Fitch Co.'s financial performance and strategic measures, offering valuable insights for investors and stakeholders. Following these announcements, the company's shares moved -5.0%, and are now trading at a price of $130.93. Check out the company's full 10-Q submission here.
