Abercrombie & Fitch Co. (ANF) declined in the current market after announcing its fourth quarter and fiscal 2021 results. ANF values at $29.78, losing more than 16% compared to yesterday’s closing price. The stock closed at $35.85 at the end of the last trading session. The stock volume traded in the previous trading session was around 1.72 million shares. The current market cap of the company is about $2.15 billion.
ANF: Q4 and Fiscal 2021 Key Financials
- Abercrombie & Fitch Co.’s revenue in Q4 2021 was $1.16 billion. It is a slight gain in comparison to the revenue of $1.12 billion in Q4 2020.
- Fiscal 2021 revenue was $3.7 billion, more than the revenue of $3.12 billion in fiscal 2020.
- The company’s net income in Q4 2021 was around $67.8 million, less than compared to the net income of $85.2 million in Q4 2020.
- ANF’s net income in fiscal 2021 was around $270 million, and profitability improved significantly compared to the net loss of $108.9 million in fiscal 2020.
- The Q4 2021 diluted earnings per share were $1.12, less than compared to the eps of $1.27 in Q4 2020.
- For fiscal 2021, the diluted earnings per share were $4.20, compared to a loss per share of $1.82 in fiscal 2020.
ANF CEO’s Remarks
Fran Horowitz, the CEO, said that 2021 highlights major changes made to improve our basis and boost profitability. Net sales of $3.7 billion, 47% digital penetration, double-digit AUR growth, $343 million reported and $355 million adjusted operating income, and a 9.6% adjusted operating margin,are our best in over a decade. We also reduced our ending share count by 15% by returning monies to shareholders.
ANF 2022 Outlook
Abercrombie & Fitch Co. (ANF) forecasts revenue growth of 2 to 4 percent in 2022 from $3.7 billion in 2021, with the US continuing to outperform EMEA and APAC. The company estimates that the revenue growth and the number of stores will fuel the rise. Net sales for the first quarter of fiscal 2022 are expected to rise by low-single digits compared to the first quarter of fiscal 2021, which was $781 million.
Conclusion
The company expects significant growth in the business in the upcoming fiscal. The business was slightly disturbed by the new Omicron variant surge, but the company regained the loss at the end of January 2022.
