Abercrombie & Fitch, the American fashion retailer, has presented its Q4 and full year results.
The fourth quarter, which ended 30 January 2021, saw the retailer’s net sales fall by 5 per cent to clock US $ 1.1 billion, while the online net sales jumped by 34 per cent to US $ 639 million.
Importantly, there was growth in online sales in every month of the quarter, which was also due to good holiday sales.
The operating income, during Q4, on a reported and adjusted non-GAAP basis was US $ 116 million and US $ 131 million, respectively. The figures in the Q4 of the previous year were US $ 122 million and US $ 125 million, respectively.
For the whole year, Abercrombie & Fitch saw its net sales fall by 14 per cent to post US $ 3.1 billion, while the online net sales, expectedly, rose by 39 per cent to US $ 1.7 billion.
Besides, 2020 saw the retailer make an operating loss of US $ 20 million and an operating income of US $ 52 million on a reported and adjusted non-GAAP basis, respectively.
The operating income in the previous year was US $ 73 million and US $ 83 million on a reported and adjusted non-GAAP basis, respectively.
The gross profit rate for the entire year grew by 110 basis points to 60.5 per cent on higher average unit retail and flat average unit cost.
Notably, the retailer generated positive operating cash flow of US $ 405 million during the year – ending the year with liquidity of around US $ 1.3 billion.
Majorly known for its casualwear, Ohio-based Abercrombie & Fitch generated revenue of US $ 3.623 billion in 2019.