Urban Outfitters Inc. (NASDAQ: URBN) said on Monday that its profit remained robust in the fiscal third quarter. The company attributed its upbeat performance to its namesake retail brand that showed resilience in recent months. Urban Outfitters acknowledged that its efforts to minimise expenses also contributed to higher profit.
Urban Outfitters was reported a little under 1% down in after-hours trading on Monday. The company shares that you can learn to buy online here are not trading at £23.55 versus £9.58 per share in the first week of April. At the start of the year, the U.S. multinational lifestyle retailer had a per-share price of £20.87.
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Urban Outfitters’ Q3 financial results versus analysts’ estimates
Urban Outfitters said that its profit in the third quarter came in at £57.53 million that translates to 58.50 pence per share. In the same quarter last year, it had reported a lower £41.78 million of profit or 42 pence per share.
The lifestyle retail corporation’s profit in Q3 was better than the FactSet Consensus and also topped figures for the previous two quarters. In the prior quarter (Q2), Urban Outfitters had revealed a 35% decline in profit as COVID-19 weighed on its performance.
In terms of sales, the Philadelphia-based company posted £727.24 million versus the year-ago figure of £740.67 million. According to FactSet, experts had forecast Urban Outfitters to record £698.29 million of sales in the recent quarter.
The Nasdaq-listed company also highlighted on Monday that its namesake retail brand saw a 4% annualised growth in comparable sales in the third quarter. Comparable sales at Anthropologie, however, were 9% lower on a year over year basis.
General and administrative expenses were 9% down in Q3
According to Urban Outfitters, general and administrative expenses in the recent quarter were roughly 9% lower versus the comparable quarter of last year. The nonessential retailer was pushed into temporarily shutting down its stores earlier this year due to the ongoing Coronavirus pandemic.
U.S. based Pfizer and Moderna have so far published preliminary results from their late-stage trial showing their respective COVID-19 vaccines to be over 90% effective. British AstraZeneca also said on Monday that its vaccine had an efficacy of 70% on average.
Urban Outfitters performed fairly downbeat in the stock market last year with an annual decline of close to 15%. At the time of writing, it has a market cap of £2.33 billion.