Urban Outfitters, Inc. URBN · Stock Open Urban Outfitters, Inc. in new tab

Urban Outfitters' shares rose 4.0% following an earnings report that delivered record sales, operating income, and EPS growth, driven by broad-based strength across retail, wholesale, and subscription segments, alongside margin improvement.

• Net sales increased 10% to $1.7 billion, marking an eighth consecutive quarter of record sales and profits.
• Operating income rose 11% to a record $193 million; adjusted EPS grew 9% to $1.72.
• Retail segment comps were positive across all brands, with Nuuly subscription revenue up 29%, fueled by a 113,000 increase in average active subscribers.
• Gross profit rate improved slightly (+4 bps) to 37.7% despite cost headwinds including tariffs, fuel surcharges, and higher markdowns at Anthropologie.
• SG&A increased 10%, in line with sales growth, reflecting investments in marketing, store payroll, and AI technology, supporting traffic growth and operational improvements.