Source: The New York Times
Summary
Urban Outfitters reported a 50 percent increase in shares on Thursday, following the release of its quarterly earnings. The company’s net sales rose 14.1 percent to $1.3 billion, beating analyst expectations. The results were driven by strong performances from the Anthropologie and Free People brands. According to the company’s CEO, Richard A. Hayne, the increased sales were due to “improved product offerings and effective marketing strategies.”
Our Reading
The trend returns with a new name.
Urban Outfitters’ success is reminiscent of the early 2000s, when the brand was a staple of the teen and young adult market. The company’s focus on bohemian-inspired clothing and home goods has proven to be a winning formula once again. The 14.1 percent increase in net sales is a notable jump, but not entirely surprising given the brand’s loyal customer base. The real question is how long this resurgence will last. After all, fashion is cyclical, and what’s old is often new again – especially when it comes to Urban Outfitters.
Author: Evan Null
