Abercrombie & Fitch Co. has reported its third-quarter fiscal 2025 results, achieving 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, partially offset by a 6% decline in APAC.
The brand performance showed strong growth for the Hollister brand, with a 16% increase, while Abercrombie brands experienced a 2% decline. The operating margin was reported at 12.0%, with earnings per diluted share of $2.36, exceeding the outlook range.
During the quarter, the company repurchased $100 million in shares, bringing the year-to-date share repurchases to $350 million, representing 9% of shares outstanding at the beginning of the year.
Looking at specific figures, net sales for the third quarter of fiscal 2025 were $1.3 billion, up 7% from the same period in 2024. Operating income was $155 million, down from $179 million in the third quarter of 2024. The operating margin as a percentage of sales was 12.0%, compared to 14.8% last year. Net income per diluted share was $2.36, down from $2.50 in the third quarter of 2024.
Breaking down the net sales by segment and brand, the Americas segment saw a 7% increase, EMEA had a 7% increase, while APAC experienced a 6% decline. For the brand family, Abercrombie brands saw a 2% decrease, while Hollister brands had a 16% increase.
In terms of financial position and liquidity, the company had cash and equivalents of $606 million, down from $773 million as of February 1, 2025. Marketable securities were reported at $25 million, compared to $116 million in February 1, 2025. Inventories were $730 million, up from $575 million as of February 1, 2025.
The company reported net cash provided by operating activities of $313 million, with net cash used for investing activities of $95 million and net cash used for financing activities of $395 million. The company repurchased 1.2 million shares for approximately $100 million during the third quarter of 2025, and for the year-to-date period, 4.5 million shares were repurchased for $350 million, representing a 9% reduction in shares outstanding from the beginning of the year.
Looking ahead, the company narrowed its full-year outlook to net sales growth of 6% to 7% and net income per diluted share of $10.20 to $10.50. For the fourth quarter, the company expects net sales growth in the range of 4% to 6%, with an operating margin of around 14%.
Today the company's shares have moved 2.87% to a price of $97.87. For the full picture, make sure to review ABERCROMBIE & FITCH CO /DE/'s 8-K report.
