Abercrombie & Fitch Company · NYSE:ANF
Abercrombie & Fitch — Bank of America Merrill Lynch 2014 Consumer & Retail Conference
10 slides from Abercrombie & Fitch's conference presentation, Mar 17, 2014
Slide 1: Bank of America Merrill Lynch 2014 Consumer & Retail Conference
Abercrombie & Fitch NEW YORK BANK OF AMERICA MERRILL LYNCH 2014 CONSUMER & RETAIL CONFERENCE MARCH 11, 2014
Slide 2: Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 ations that any term is defined in ities Lit Act of presentation or involve risks ious important factors, ee may be beyond the Compan’ conto tke such as “stnate aegis xcept ipplicat to publicly update or revise ou the w
Slide 3: Full Year Adjusted P&L Summary
FULL YEAR ADJUSTED P&L SUMMARY UNAUDITED UNAUDITED 2013 % OF NET SALES 2012 % OF NET SALES NET SALES $4,116,897 100.0% $4,510,805 100.0% GROSS PROFIT 2,575,435 62.6% 2,816,709 62.4% OPERATING EXPENSE 2,375,632 57.1% 2,454,402 54.4% hoe wet (23,074) 0.6% (19,333) 0.4% OPERATING INCOME 222,877 5.4% 38
Slide 4: U.S. Chain + DTC Comparable Sales
15% 20% U.S. CHAIN + DTC COMPARABLE SALES
Slide 5: Adjusted and Restated Non-GAAP Diluted EPS History
ADJUSTED AND RESTATED NON-GAAP DILUTED EPS HISTORY” $6.00 igs. oo on ee, $2.00 \ $1.00 2007 2008 2008 2010 2011 2012 2013, GAAP EPS‘ $5.45 $3.45 $0.89 $1.73 $1.60 $2.85 $0.69 EXCLUDED CHARGES = 0.06 0.23 0.34 0.49 0.06 1.22 NON-GAAP EPS $5.45 $3.51 $1.12 $2.10 $2.48 $2.90 $1.91 From Continuing Opera
Slide 6: Financial Objective
FINANCIAL OBJECTIVE OPERATING DISCIPLINED ‘APITAI MARGIN EXPANSION ALLOCATION
Slide 7: Operating Margin Expansion
OPERATING MARGIN EXPANSION PROFITABLE INTERNATIONAL INCREASING ore PENETRATION RECOVERING PRODUCTIVITY IN U.S. STORES EXPANDING OPERATING MARGIN REDUCING EXPENSES
Slide 8: Capital Allocation
CAPITAL ALLOCATION PRIORITIZING DTC MINIMUM AND IT INVESTMENTS 30% ROI - HURDLE MAINTAIN CAPEX AT ~$200M PER YEAR DISCIPLINED CAPITAL ALLOCATION RETURNING CASH TO SHAREHOLDERS
Slide 9: Guidance Updates
GUIDANCE UPDATES COMPARABLE STORE SALES DECLINE IN THE HIGH SINGLE DIGITS DIRECT TO CONSUMER SALES INCREASE OF APPROXIMATELY 20% GROSS MARGIN RATE FLAT TO SLIGHTLY DOWN TO FISCAL 2013 FULL YEAR TAX RATE OF APPROXIMATELY 35% WEIGHTED AVERAGE SHARE COUNT OF APPROXIMATELY 78 MILLION SHARES FULL YEAR DI
Slide 10: Slide 10
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