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Abercrombie & Fitch Co. Reports Record Sales

Abercrombie & Fitch Co. has reported its third-quarter fiscal 2025 results, showcasing a record net sales of $1.3 billion, which is a 7% increase from the same period last year. This marks the 12th consecutive quarter of growth for the company. The net sales growth was driven by a 7% increase in the Americas and EMEA segments, partially offset by a 6% decline in the APAC segment.

Hollister Brands experienced significant growth of 16%, while Abercrombie Brands saw a slight decline of 2%. The operating margin was reported at 12.0%, with earnings per diluted share of $2.36, exceeding the outlook range. The company repurchased $100 million worth of shares in the quarter, bringing the year-to-date share repurchases to $350 million, representing 9% of shares outstanding at the beginning of the year.

The company's net income per diluted share for the third quarter of 2025 was $2.36, compared to $2.50 in the same period last year. The reported net sales for the third quarter of 2025 were $1.3 billion, up 7% from the previous year, with comparable sales at 3%. However, the operating income decreased to $155 million from $179 million in the same period last year, and the operating margin as a percent of sales decreased to 12.0% from 14.8% last year.

Net sales by segment and brand for the third quarter of 2025 compared to the third quarter of 2024 are as follows:

  • Americas: $1,057,448 in 2025 compared to $986,449 in 2024, a 7% increase.
  • EMEA: $194,510 in 2025 compared to $181,592 in 2024, a 7% increase.
  • APAC: $38,661 in 2025 compared to $40,925 in 2024, a 6% decline.

For the Abercrombie brand, net sales were $617,345 in 2025 compared to $629,835 in 2024, a 2% decrease. For the Hollister brand, net sales were $673,274 in 2025 compared to $579,131 in 2024, a 16% increase.

As of November 1, 2025, the company had cash and equivalents of $606 million, marketable securities of $25 million, and inventories of $730 million. The company also had borrowing capacity of $500 million under the senior-secured asset-based revolving credit facility, with net borrowing available of $450 million, resulting in total liquidity of approximately $1.1 billion.

The company repurchased 1.2 million shares for approximately $100 million during the third quarter of 2025, bringing the year-to-date share repurchases to 4.5 million shares for $350 million, representing a 9% reduction in shares outstanding from the beginning of the year. The company has $950 million remaining on the share repurchase authorization established in March 2025.

Looking ahead, for fiscal 2025, the company expects a net sales growth in the range of 6% to 7%, with an operating margin in the range of 13.0% to 13.5%. The effective tax rate is expected to be around 30%, and net income per diluted share is projected to be in the range of $10.20 to $10.50. The company also plans to conduct a conference call to provide additional details around its quarterly results and its outlook for the fourth quarter. Today the company's shares have moved 5.26% to a price of $94.985. For more information, read the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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