Abercrombie shares fall over 25% after retailer posts loss, offers weak outlook (US.ANF) - 24 mai 2022
Abercrombie & Fitch shares cratered 25% in premarket trading Tuesday after the retailer reported an unexpected loss in its fiscal first quarter, with freight and product costs weighing on sales. Abercrombie joins a growing list of retailers, including Walmart, Target and Kohl’s, that are seeing profits take a hit as inflation hovers at a 40-year high.
Abercrombie reported a net loss in its fiscal first quarter of $14.8 million, or 32 cents per share, compared with net income of $42.7 million, or 64 cents a share, a year earlier.
Excluding one-time items, Abercrombie lost 27 cents per share. Analysts had expected the company to earn 8 cents a share during the quarter.
Sales grew 4% to $812.8 million from $781.4 million a year earlier. That was ahead of expectations for $799 million.
Abercrombie’s inventories totaled $563 million as of April 30, up 45% from year-ago levels.