US: Urban Outfitters brand weakness set to continue
- Q4 profit up 7.4% to US$89m
- Sales increase 6% to $905.9m
- Comparable store sales climb 1%
Weakness at Urban Outfitters' namesake brand is likely to continue into the first quarter for the lifestyle retailer, according to analysts.
The analysts gave their views after the company issued fourth-quarter numbers that revealed a 7.4% rise in net profit to US$89m, and a 6% sales increase to $905.9m. Comparable store sales increased 20% at Free People and 10% at Anthropologie, but declined 9% at Urban Outfitters.
CEO Richard Hayne said: "Looking forward, customer reaction to the new spring fashion offerings at our Anthropologie and Free People brands have been strong, but given the continued challenges facing the Urban Outfitters brand, we remain very cautious about Urban Outfitter's first quarter performance."
FBR Capital Markets analyst Susan Anderson said the negative comparable store sales trend at the group's namesake brand was worse than expected.
Although comparable store sales for the first quarter will "likely improve" in April with the Easter shift and warmer weather, Anderson says she doesn't expect this to get Urban Outfitters "back on track" for the next quarter.
Meanwhile, Stifel analyst Richard Jaffe was slightly more upbeat. "Despite what we believe will likely be a somewhat challenging first-quarter, driven by weakness at the Urban Outfitters brand, we remain positive on the long term outlook for the company."
This report provides information on the latest developments in: fabrics for performance apparel; flame resistant (FR) protective apparel; insulation products; protective apparel; sportswear; wearable ...
This report analyses some of the latest developments and innovations in the global textile and apparel industry...
The Intimate Apparel market in the US comprises of intimate apparel for both men and women. Intimate apparel products include underwear, bra, panty, sleepwear, daywear, and shapewear....
Vital industry-specific data including metrics, benchmarks, historic numbers, growth rates and forecasts that will save countless hours of research....
- Why China 5-year plan won't change garment-making
- ‘Fixing Fashion’ one stitch at a time
- Navigating a turbulent sourcing landscape
- Supply chains under pressure as Black Friday looms
- Jordan garment sector strong amid regional unrest
- US Q3 in brief: Burlington Stores, Guess, Chico's
- Global clothing and footwear trade to drop by 1.5%
- Adidas has greenest textile supply chain in China
- Cambodia living wage campaign kicks off
- New Balance launches first 3D printed running shoe
- Wearable technology: The future market potential for smart garments and e-textiles
- Practical Brand Sourcing Strategy
- Statistics: Trends in Global and Regional Man-made Fibre Production - 2015
- Myanmar's Garment Sector in 2015 - now with updated members' directory
- Technical Textile Markets: Product Developments and Innovations - 2nd Quarter 2015