- Urban Outfitters (NASDAQ:URBN) -9.6% after-hours following a disappointing read on holiday sales, particularly at its flagship Urban Outfitters stores.
- URBN says total company sales for the two months ended Dec. 31 rose 2.9% Y/Y, with comparable retail segment sales gaining 3% due to growth in online sales while retail store sales fell.
- Comparable retail segment net sales for the period increased 8% at Free People and 5% at the Anthropologie Group but fell 1% at Urban Outfitters, with the Anthropologie and Urban Outfitters businesses driven in part "by increased promotional activity in apparel, which will put greater pressure on [Q4] gross profit margin than originally anticipated."
- URBN also says delivery and logistics expenses were more than expected, in order to meet customer delivery expectations.