Meredith Derby
Urban Outfitters Net Doubles
Meredith Derby
08/12/04 - 09:43 AM EDT
Specialty retailer Urban Outfitters(URBN) said second-quarter profits more than doubled from last year on a 54% increase in total sales.
The Philadelphia-based company earned $20.5 million, or 25 cents a share, compared to $9.5 million, or 12 cents a share, in the year-ago period. Analysts were expecting 23 cents a share.
Total sales were $189.5 million, up from $122.9 million last year, while total company same-store sales spiked 26%.
"We are optimistic about our fall fashion offerings based on initial customer response in stores and to the July catalog drops," the company said in a statement.
Sales by division were $73.8 million at Anthropologie, up from last year's $47.9 million. At Free People, sales rose to $6.5 million, from $5.1 million a year ago. Sales at Urban Outfitters stores increased to $90.8 million from $60.8 million, while direct-to-consumer sales were $18.4 million, up from $9.2 million last year.
Gross profit margin in the quarter increased 350 basis points. The company cited in part higher initial merchandise margins. Meanwhile, selling, general and administrative expenses decreased 189 basis points.
Shares of Urban Outfitters were down 45 cents, or 1.6%, at $27.65 in premarket trading.