Abercrombie & Fitch (ANF) has announced financial results for the final quarter of 2023 that beat Wall Street forecasts on the top and bottom lines.
The popular clothing retailer announced earnings per share (EPS) of $2.97 U.S. versus $2.83 U.S. that was the consensus expectation of analysts.
Revenue in the fourth quarter of last year totaled $1.45 billion U.S. compared to $1.43 billion U.S. that was estimated.
Abercrombie & Fitch said that its sales jumped 21% in Q4 2023 due to strong sales during the year-end holidays, as well as higher prices.
In terms of guidance, the retailer expects growth to continue this year, saying it foresees sales to rise by a low double-digit percentage. That compares to Wall Street estimates of up 7.2%.
For all of this year, the company anticipates sales will grow between 4% and 6%, compared to estimates of 4% growth.
Management said that, in the year ahead, it will focus on expanding its global customer base and getting closer to its long-term goal of $5 billion U.S. in global annual sales.
During Q4, Abercrombie & Fitch’s gross margin came in at 62.9%, 7.2 percentage points higher than a year earlier. Analysts expected a gross margin of 60.1%.
In the last 12 months, Abercrombie & Fitch’s stock has increased 405% to trade at $139.95 U.S. per share.
