Urban Outfitters posts another record-breaking quarter on growth across all channels

Urban Outfitters, Inc. on Wednesday posted record-breaking earnings and sales in the second quarter, thanks to solid sales growth across all brands including its struggling Urban Outfitters chain.

The Philadelphia-based company said sales for the three months ended July 31 surged 11.3% to a record $1.50 billion, with total retail segment sales up 7.8%, and comparable retail segment sales lifting 5.6%. 

By brand, comparable sales increased 6.7% at Free People, 5.7% at Anthropologie and 4.2% at Urban Outfitters.

Elsewhere, subscription segment sales skyrocketed by 53.2%, primarily driven by a 48.1% increase in average active subscribers in the current quarter. Wholesale segment sales jumped 18.1%, driven by a 19.5% increase in Free People wholesale sales, thanks to an increase in sales to specialty customers.

As a result of the sales growth, the U.S. company posted a record net income of $143.9 million and earnings per diluted share of $1.58 for the three months ended July 31.

“We are proud to announce record revenues, profits, and earnings per share for the quarter,” said Richard Hayne, chief executive officer, Urban Outfitters, Inc.

“Our success was broad-based, with all five brands achieving positive comparable sales across all geographies. We saw exceptional performance across all of our segments – retail, subscription, and wholesale – and believe these results reflect the strength of our brands, the effectiveness of our strategy, and the talent of our teams. We are confident in our continued momentum.”