The US retail group Urban Outfitters Inc. was able to set a new sales record and significantly increase its profit in the 2023/24 financial year. This emerges from an interim report that the company published on Tuesday evening.
In the last financial year, which ended on January 31, group sales amounted to 5.15 billion US dollars (5.09 billion euros). This exceeded the previous year’s level by 7.5 percent, although development in the fourth quarter fell short of expectations.
Losses at the Urban Outfitters retail chain, whose annual sales fell by 12.6 percent to $1.35 billion, were more than offset by strong growth in the other group segments.
Lower freight costs and lower discounts boost the result
In the Anthropology division, revenues rose by 12.4 percent to $1.99 billion, and in the Free People division they even grew by 17.7 percent to $1.30 billion. The Nuuly segment, in which the group’s fashion rental service and second-hand business are managed, achieved an increase in sales of 81.9 percent to 235.9 million US dollars, the catering division Menus & Venues increased by 17.4 percent to 33 .3 million US dollars.
Thanks to lower freight costs and lower discounts, operating income grew 63.2 percent to $369.8 million. Net profit reached 287.7 million US dollars (265.7 million euros), exceeding the previous year’s level by 80.1 percent.