By
Bloomberg
Published
Aug 29, 2024
Abercrombie & Fitch Co. beat analysts’ sales expectations for the sixth consecutive quarter, but it wasn’t enough to satisfy investors after a big run-up in the stock price this year.
The retailer said comparable sales rose 18% in the second quarter ended Aug. 3, exceeding the 15% growth that analysts had projected. The company also raised its sales outlook for the full year.
Shares of Abercrombie fell 5.2% at 7:42 a.m. in early New York trading. Expectations were high ahead of the results as the stock had almost doubled this year through Tuesday’s close, the best performer among 15 companies in the S&P Composite 1500 Apparel Retail Index.
Once known for its perfumed stores and shirtless models, the New Albany, Ohio-based company has won Gen Z and millennial adults with its denim offerings, wedding shop and weekly drops of new items. Sales at Abercrombie have continued to grow rapidly in recent quarters even as budget-conscious shoppers rein in spending on other discretionary purchases.
