Urban Outfitters Inc. (URBN:US) rose the most in two weeks after the operator of namesake and Anthropologie stores said it has room to grow in Europe.
Urban Outfitters rose 89 cents, or more than 3.3 percent, to $27.59 in New York Stock Exchange composite trading. It’s the company’s biggest share rise in two weeks. Shares in the Philadelphia-based apparel and household-merchandise seller have fallen 4.5 percent in the last five months.
Urban Outfitters may increase its namesake stores to 100 in Europe, from 30 now, Chief Financial Officer Frank Conforti said today during a conference hosted by Piper Jaffray in New York. Conforti also sees growth in the region for Anthropologie. He didn’t give a timetable for that growth.
Last month, Urban Outfitters officials said first-quarter profit beat analysts’ estimates on record sales. Net income in the three months ended April 30 fell to $34 million, or 23 cents a share, from (URBN:US) $38.6 million, or 23 cents, a year earlier, according to a statement from the company. Analysts had projected 20 cents, the average of 28 estimates compiled by Bloomberg.
Urban Outfitters is attempting a rebound after profit for the year ended Jan. 31 shrank to a four-year low as the chain boosted discounts to clear inventory. The company has had new management in place since November, with Richard Hayne succeeding former CEO Glen Senk, former Under Armour Inc. executive David McCreight joining as CEO of the Anthropologie brand, and Ted Marlow returning as head of the namesake Urban Outfitters label.
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