Urban Outfitters, Inc. · NASDAQ:URBN
Urban Outfitters — Q4 FY2021 Earnings Presentation
20 slides from Urban Outfitters's earnings presentation, March 2021
Slide 1: FY'21 Q4 Results
Urban Outfitters, Inc. F Y ’ 21 Q4 RESULTS
Slide 2: Introduction
Introduction Urban Outfitters, Inc. “URBN” is providing fiscal 2021 fourth quarter commentary ahead of our earnings call scheduled for March 2nd at 5:30pm. 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
Slide 3: Important Information Regarding Non-GAAP Financial Measures
Important Information Regarding Non-GAAP Financial Measures In addition to evaluating the financial condition and results of our operations in accordance with U.S. generally accepted accounting principles (“GAAP”), from time to time our management evaluates and analyzes results and any impact on the
Slide 4: Table of Contents
Table of Contents Key Financial Highlights. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Sales by Segment.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Slide 5: Key Financial Highlights
Key Financial Highlights Three Months Ended URBN sales for the fourth quarter declined by 7% to $1.09 billion. The decrease in sales was due to a 7% decline in Retail segment sales and a 7% decline in January 31, 2021 January 31, 2020 Wholesale segment sales. Retail segment sales comp also declined
Slide 6: Sales by Segment
Sales by Segment Three Months Ended Total Company or URBN sales for the fourth quarter ($ in millions) Variance (unaudited) decreased by 7% to $1.09 billion. URBN Retail January 31, 2021 January 31, 2020 $ % segment sales decreased 7% to $1.01 billion. Retail Total Sales $ 1,088.4 $ 1,169.6 $ (81.2)
Slide 7: Revenue Metrics
Revenue Metrics Three Months Ended Total Anthropologie Group brand sales decreased by ($ in millions) Variance (unaudited) 12% to $431 million. January 31, 2021 January 31, 2020 $ % Total Sales $ 431.4 $ 491.1 $ (59.7) -12% The decline in Anthropologie sales during the quarter primarily related to a
Slide 8: Revenue Metrics
Revenue Metrics Three Months Ended Total Free People brand sales increased by 2% to ($ in millions) Variance (unaudited) $219 million for the quarter. This increase was due to January 31, 2021 January 31, 2020 $ % an increase in Retail segment sales of 6%, which was Total Sales $ 219.3 $ 215.8 $ 3.5
Slide 9: Revenue Metrics
Revenue Metrics Three Months Ended Total Urban Outfitters brand sales decreased by 5% ($ in millions) Variance (unaudited) to $428 million for the quarter. January 31, 2021 January 31, 2020 $ % Total Sales $ 428.0 $ 449.9 $ (21.9) -5% The decrease in Urban Outfitters sales during the quarter was pri
Slide 10: Adjusted Gross Profit by Segment
Adjusted Gross Profit by Segment Three Months Ended Adjusted gross profit dollars decreased by 17% to $290 million for ($ in millions) Variance (unaudited) the quarter, while gross profit rate decreased 314 bps to 26.7%. January 31, 2021 January 31, 2020 $ % The decrease in adjusted gross profit rat
Slide 11: SG&A–Total Company
SG&A–Total Company Three Months Ended Selling general & administrative (‘SG&A’) expenses ($ in millions) Variance (unaudited) decreased by 10% to $254 million while SG&A as a January 31, 2021 January 31, 2020 $ % % of sales leveraged by 69 bps to 23.4%. The leverage SG&A* $’s $ 254.3 $ 281.3 $ (27.0
Slide 12: Adjusted Operating Income by Segment
Adjusted Operating Income by Segment Three Months Ended Adjusted operating income dollars decreased by 47% ($ in millions) Variance (unaudited) to $36 million while adjusted operating income rate January 31, 2021 January 31, 2020 $ % declined by 245 bps to 3.3%. The decrease in dollars Operating Inc
Slide 13: Income Statement Summary
Income Statement Summary ($ in millions) Three Months Ended January 31, 2021 The adjusted effective (share count in millions) tax rate for the fourth (unaudited) As Reported % of Net Sales Total Adjustments Adjusted % of Net Sales quarter was 20% compared to 28% in Net Sales $1,088.4 100 % $ – $1,08
Slide 14: Income Statement Summary
Income Statement Summary ($ in millions) Three Months Ended January 31, 2020 (share count in millions) (unaudited) As Reported % of Net Sales Total Adjustments Adjusted % of Net Sales Net Sales $ 1,169.6 100 % $ – $ 1,169.6 100 % Cost of Sales (excluding Store Impairment) 821.2 70.2 – 821.2 70.2 Sto
Slide 15: Balance Sheet Summary
Balance Sheet Summary ($ in millions) As of January 31, 2021, Inventory (unaudited) January 31, 2021 January 31, 2020 decreased 5% to $390 million driven by a 34% reduction in Assets Wholesale segment inventory. Cash and Cash Equivalents $ 396 $ 222 Retail segment inventory was flat Marketable Secur
Slide 16: Inventory Data
Inventory Data ($ in millions) (unaudited) Variance January 31, 2021 January 31, 2020 $ % URBN Inventory $ 389.6 $ 409.5 $ (19.9) -5% Retail Segment by Brand $ 348.8 $ 347.8 $ 1.0 flat Anthropologie Group 153.6 160.7 (7.1) -4% Free People 59.9 51.8 8.1 15% Urban Outfitters 135.3 135.3 0.0 flat Whole
Slide 17: Capital Spending
Capital Spending ($ in millions) (unaudited) Net Capex % of Net Sales $ 250 Home Office 5.5% $ 200 Fulfillment 4.6% $ 150 Technology 2.9% $ 100 Stores $ 50 FY’ 19 FY’ 20 FY’ 21 Projected FY’ 22 During the fourth quarter, capital expenditures were $70 million while depreciation & amortization was $25
Slide 18: Shares Outstanding
Shares Outstanding ($ in millions) (share count in millions) (unaudited) 140 130 120 110 100 90 Q 1 Q2 Q3 Q4 FY ’16 FY ’17 FY ’18 FY ’19 FY ’20 FY ’21 Shares Repurchased Number of Shares 15 1.3 8.1 3.5 8.1 0.5 Total Cost $ 465 $ 46 $ 157 $ 121 $ 217 $7 The Company did not repurchase any shares durin
Slide 19: Global Retail Stores Summary
Global Retail Stores Summary YTD FY’21 Projected FY’22 Projected Open as of Open as of Projected Projected Open as of January 31, 2020 Openings Closings January 31, 2021 Openings Closings January 31, 2022 Anthropologie Group NA 211 5 1 215 9 7 217 Anthropologie Group EU 20 2 – 22 3 2 23 Total Anthro
Slide 20: 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‘20 Q1 Store Count 228 136 245 12 621 Selling SF 1,782 304 2,196 n/a 4,282 Q2 Store Count 228 137 246 11 622 Selling SF 1,782 306 2,203 n/a 4,291 Q3 Store Count 231 143