Thank you for sharing!

Your article was successfully shared with the contacts you provided.

PHILADELPHIA-Urban Outfitters is finding ways to beat the recession even during a sales slump. The retailer’s second-quarter earnings came in at $49 million, up 17% over the same year-ago period, even as same-store sales at its 300 stores collectively fell 6% year over year.

Management, which tightened its inventory and budget during the quarter, still thinks there is “abundant opportunity for growth,” and is on track to open about 15 to 16 stores a year in the US, said Glen Senk, chief executive officer. Urban Outfitters would also possibly consider the acquisition of another chain, he said, if it was a “small business that had strategic synergies.”

Same-store sales dropped 8% at the company’s 148 namesake stores during the quarter and 6% at its 127-unit Anthropologie. Its Free People chain, with 33 locations, recorded a 16% plunge.

Anthropologie and Urban Outfitters both had their strongest performances in malls and did not fare as well in urban areas and lifestyle centers. They both lagged on the West Coast, with Anthropologie doing well in the South, while Urban had its best sales in the Midwest.

Management is still planning about 15 new stores in the US a year. The retailer expects to accelerate growth in Europe up from its current pace of one store a year to a more “multi-store strategy” in the continent, Senk said.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.