Abercrombie & Fitch Co. shares jumped over 10% in premarket trading on Thursday after the teen retailer lifted its full-year profit forecast and reported a narrower-than-expected quarterly loss, driven by strong demand for its casual wear amid the pandemic.
The company said it now expects full-year net sales to be in the range of $3.5 billion to $3.6 billion, compared with its previous forecast of $3.4 billion to $3.5 billion. It also raised its adjusted earnings per share outlook to a range of $2.30 to $2.50 from $2.10 to $2.30 previously.
For the first quarter ended April 30, Abercrombie reported a net loss of $32.3 million, or 67 cents per share, compared with a loss of $23.5 million, or 49 cents per share, a year earlier. Analysts had expected a loss of 72 cents per share, according to Refinitiv data.
Net sales rose 8.3% to $803.4 million, driven by a 9% increase in comparable sales. Online sales jumped 14%.
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