Abercrombie & Fitch surprises with big swing to profit in Q1
NEW ALBANY, Ohio — Abercrombie & Fitch Co. said Wednesday that overseas strength pushed its net income to $25.1 million for the first quarter, compared with a loss of $11.8 million a year earlier.
As previously reported, revenue rose 22% to $837 million, helped by a 64% surge in international revenue.
Mike Jeffries, CEO and chairman of the board of Abercrombie & Fitch Co., said, "We are pleased with our first quarter results, which exceeded our internal objectives and reflected broad strength by brand, by channel, and by region. These strong results give us a solid start to achieving our goals for the year."
Abercrombie, which also runs the Hollister brand, is closing struggling stores in the United States and looking for other ways to trim costs, including combining its two U.S. distribution centers and trimming the size of its Gilly Hicks stores. The retailer is targeting new locations in China, Hong Kong, Paris and Dublin, among others.