Urban Outfitters, Inc. (NASDAQ:URBN) rallied in Wednesday’s early deals, recovering yesterday’s losing and getting on the front foot.
After Tuesday’s close, the retailer reported record second-quarter sales and earnings which topped Street estimates.
Revenue increased 7.5% year-over-year to $1.27 billion, ahead of estimates of $1.25 billion.
The company reported earnings per share (EPS) of $1.10, up from $0.64 in the year-ago quarter. Analysts had expected EPS of $0.89.
Sales growth was driven by mid-single-digit increases in both retail stores and its digital channels, it added.
By brand, Free People Group and Anthropologie Group sales increased by 26.9% and 10.6% respectively, while Urban Outfitters sales decreased by 14.1%.
“We are proud to report record second-quarter sales that helped drive a 72% increase in EPS,” Urban Outfitters CEO Richard Hayne said in a statement.
“Also gratifying is that 2Q’s sales strength has continued to date in 3Q.”
Urban Outfitters stock was up US$2.19 or 6.4% in premarket, to trade at US$36.28 per share.