Abercrombie & Fitch, a global specialty retailer of apparel and accessories through three renowned brands, has reported 5 per cent sales decline to $819.6 million in its third quarter (Q3) for fiscal 2020 ended on October 31 compared to sales of $863.4 million in same period previous fiscal. However, digital sales jumped 43 per cent to $382 million.
“I am proud of our global teams and partners. Reflecting your ongoing hard work and perseverance, we delivered our best third quarter operating income in eight years,†Fran Horowitz, chief executive officer at Abercrombie & Fitch, said in a press release.
Gross profit for the quarter was $524.4 million (Q3 FY19: $518.9 million). The company reported an operating income of $58.6 million ($14.4 million). Net income for Q3 FY20 jumped to $44.0 million ($7.5 million).
Sales of Hollister brand for Q3 FY20 slipped 7 per cent to $476.6 million ($514.7 million). While Abercrombie sales came down 2 per cent to $342.9 million ($348.7 million).
Sales in all the regions were down: the US fell 4 per cent to $557.8 million ($583.5 million), EMEA sales marginally decreased 1 per cent to $190.2 million ($191.9 million), APAC sales plunged 22 per cent to $43.6 million ($55.9 million), while international sales declined 6 per cent to $261.8 million ($279.8 million).
“We are encouraged by quarter-to-date results, including ongoing strong digital demand, with our customers responding favourably to new product and messaging. However, this is tempered by uncertainty regarding the potential for increased Covid-related store restrictions and our expectation for elevated shipping, handling and freight costs,†Horowitz said.
Abercrombie & Fitch digital sales grow 43% in Q3 FY20
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