Abercrombie & Fitch Surprises with Strong Q1 Sales as Styles Attract Shoppers

BENGALURU, India (Reuters) — Abercrombie & Fitch reported better-than-expected first-quarter sales on Wednesday, driven by new styles such as printed jeans and dresses that attracted more shoppers. The company’s shares soared about 26% in premarket trading after the announcement.

Abercrombie’s quarterly net sales reached $1.10 billion, surpassing analysts’ estimates of $1.07 billion, according to data compiled by LSEG. This positive news comes at a time when the company’s shares had previously fallen about 48% this year.

The increase in sales highlights consumer demand for Abercrombie’s latest collections, despite a general slowdown in retail. The introduction of fresh styles appears to have resonated with shoppers looking for seasonal apparel.

Analysts and industry experts noted that the company managed to capitalize on changing fashion trends effectively. The renewed interest in its clothing brands signals a potential turnaround for Abercrombie in a challenging retail environment.

Abercrombie’s performance stands out amid concerns about consumer spending, which has been affected by broader economic factors. As the company continues to innovate its product offerings, it may regain some of its previous market share.

This financial update could pave the way for further growth if the company maintains its momentum in attracting customers with new designs.