Urban Outfitters, Inc. · NASDAQ:URBN
Urban Outfitters — Q1 FY2024 Earnings Presentation
19 slides from Urban Outfitters's earnings presentation, May 2023
Slide 1: FY'24 Q1 Results
Urban Outfitters, Inc. F Y ’ 24 Q1 RESULTS
Slide 2: Introduction
Introduction Urban Outfitters, Inc. “URBN” is providing fiscal 2024 first quarter commentary ahead of our earnings call scheduled for May 23rd at 5:15pm. We remind you that any forward-looking statements made in this commentary are subject to our safe harbor statement found in our SEC filings. Our f
Slide 3: Table of Contents
Table of Contents Key Financial Highlights. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Sales by Segment. . . . . . . . . . . . . . . . .
Slide 4: Key Financial Highlights
Key Financial Highlights Three Months Ended URBN sales for the first quarter increased by 6% to a record $1.11 billion. The increase in sales was due to a 4% increase in Retail segment sales and a $29 April 30, 2023 April 30, 2022 million increase in Nuuly segment sales, partially offset by an 11% d
Slide 5: Sales by Segment
Sales by Segment Three Months Ended Total Company or URBN sales for the first quarter ($ in millions) Variance (unaudited) increased by 6% to a record $1.11 billion. URBN Retail April 30, 2023 April 30, 2022 $ % segment sales increased 4% to $1.00 billion, with comparable sales increasing 5%, partia
Slide 6: Revenue Metrics
Revenue Metrics Three Months Ended Total Anthropologie Group brand sales increased 13% to ($ in millions) Variance (unaudited) $474 million for the quarter. April 30, 2023 April 30, 2022 $ % Retail segment sales increased 13%, with comparable Total Sales $ 473.6 $ 419.7 $ 53.9 13% sales also increas
Slide 7: Revenue Metrics
Revenue Metrics Three Months Ended Total Free People Group sales increased by 11% to $274 ($ in millions) Variance (unaudited) million for the quarter. This increase was due to an April 30, 2023 April 30, 2022 $ % increase in Retail segment sales of 20%, partially offset by a 14% decrease in Wholesa
Slide 8: Revenue Metrics
Revenue Metrics Three Months Ended Total Urban Outfitters brand sales decreased by 14% ($ in millions) Variance (unaudited) to $309 million for the quarter. April 30, 2023 April 30, 2022 $ % Retail segment sales decreased 14%, with comparable Total Sales $ 308.7 $ 357.7 $ (49.0) (14%) sales decreasi
Slide 9: Gross Profit by Segment
Gross Profit by Segment Three Months Ended Gross profit dollars increased by 15% to $371 million for the ($ in millions) Variance (unaudited) quarter, while gross profit rate increased 260 bps to 33.3%. April 30, 2023 April 30, 2022 $ % The increase in gross profit rate was primarily due to higher i
Slide 10: SG&A–Total Company
SG&A–Total Company Three Months Ended Selling general & administrative (‘ SG&A’) expenses ($ in millions) Variance (unaudited) increased by 8% to $300 million while SG&A as a % of April 30, 2023 April 30, 2022 $ % sales deleveraged by 59 bps to 26.9%. The deleverage in SG&A as a rate to sales was pr
Slide 11: Operating Income by Segment
Operating Income by Segment Three Months Ended Operating income dollars increased by 54% to $71 ($ in millions) Variance (unaudited) million while operating income rate increased by 201 April 30, 2023 April 30, 2022 $ % bps to 6.4%. The increase in dollars was primarily driven by the increase in net
Slide 12: Income Statement Summary
Income Statement Summary ($ in millions) Three Months Ended The effective tax rate for the first (share count in millions) quarter was 27% compared to an (unaudited) April 30, 2023 % of Net Sales April 30, 2022 % of Net Sales effective tax rate of 29% in the first quarter of fiscal 2023. The Net Sal
Slide 13: Balance Sheet Summary
Balance Sheet Summary ($ in millions) As of April 30, 2023, cash and (unaudited) April 30, 2023 April 30, 2022 marketable securities totaled $468 million with $0 drawn down Assets on our $350 million asset backed Cash and Cash Equivalents $ 172 $ 72 line of credit facility. Marketable Securities 210
Slide 14: Cash Flows Summary
Cash Flows Summary ($ in millions) Three Months Ended (unaudited) April 30, 2023 April 30, 2022 Cash Flows from Operating Activities Net Income $ 53 $ 32 Adjustments to Reconcile Net Income to Net Cash Provided by (Used in) Operating Activities: Depreciation & Amortization 24 27 Inventory (2) (65) P
Slide 15: Inventory Data
Inventory Data ($ in millions) Cost Variance (unaudited) April 30, 2023 April 30, 2022 $ % URBN Total Inventory $ 590.3 $ 630.0 $ (39.7) (6%) Retail Segment Total Inventory $ 544.0 $ 569.9 $ (25.9) (5%) Retail Segment Comparable Inventory by Brand 457.1 439.3 17.8 4% Anthropologie Group 238.7 207.4
Slide 16: Capital Spending
Capital Spending ($ in millions) (unaudited) Net Capex % of Net Sales $ 300 5.8% $ 250 Home Office 4.2% $ 200 Fulfillment 4.6% $ 150 Technology $ 100 Stores $ 50 FY’ 21 FY’ 22 FY’ 23 Projected FY’ 24 During the first quarter, capital expenditures were $33 million while depreciation & amortization wa
Slide 17: Shares Outstanding
Shares Outstanding ($ in millions) (share count in millions) (unaudited) 140 130 120 110 100 90 FY ’19 FY ’20 FY ’21 FY ’22 FY ’23 FY ’24 Shares Repurchased Number of Shares 3.5 8.1 0.5 2.0 4.7 – Total Cost $ 121 $ 217 $7 $ 56 $ 112 – The Company did not repurchase any shares during the quarter. The
Slide 18: Global Retail Stores Summary
Global Retail Stores Summary Q1 FY’24 Q2–Q4 FY’24 Projected Open as of Open as of Projected Projected Open as of January 31, 2023 Openings Closings April 30, 2023 Openings Closings January 31, 2024 Anthropologie Group NA 217 – 1 216 9 6 219 Anthropologie Group EU 21 – – 21 1 – 22 Total Anthropologie
Slide 19: Global Store Count & Square Footage
Global Store Count & Square Footage (all data is as of the respective period ended) (Selling SF in thousands) AN FP UO M&V URBN ** FY‘23 Q1 Store Count 237 174 262 11 684 Selling SF 1,810 368 2,270 n/a 4,448 Q2 Store Count 239 183 261 11 694 Selling SF 1,821 384 2,263 n/a 4,468 Q3 Store Count 241 18