Urban Outfitters, Inc. · NASDAQ:URBN
Urban Outfitters — Q1 FY2022 Earnings Presentation
23 slides from Urban Outfitters's earnings presentation, May 2021
Slide 1: FY'22 Q1 Results
Urban Outfitters, Inc. F Y ’ 22 Q1 RESULTS
Slide 2: Introduction
Introduction Urban Outfitters, Inc. “URBN” is providing fiscal 2022 first quarter commentary ahead of our earnings call scheduled for May 25th at 5:30pm. We remind you that any forward-looking statements made in this commentary are subject to our safeharbor statement found in our SEC filings. This c
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 7% to a record $927 million. The increase in sales was due to a 10% increase in Retail segment sales, partially April 30, 2021 April 30, 2019 offset by a 24% decline in Wholesale segment sales. Retail segment s
Slide 5: Sales by Segment
Sales by Segment ($ in millions) Three Months Ended Variance Total Company or URBN sales for the first (unaudited) quarter increased by 7% to a record $927 million. April 30, 2021 April 30, 2019 $ % URBN Retail segment sales also increased 10% Total Sales $ 927.4 $ 864.4 $ 63.0 7% to $857 million. R
Slide 6: Revenue Metrics: Anthropologie Group
Revenue Metrics ($ in millions) Three Months Ended Variance Total Anthropologie Group brand sales were flat. (unaudited) April 30, 2021 April 30, 2019 $ % Retail segment sales were flat, with comparable Total Sales $ 353.6 $ 355.0 $ (1.4) flat sales increasing 1%. The increase in Retail segment comp
Slide 7: Revenue Metrics: Free People Group
Revenue Metrics ($ in millions) Three Months Ended Variance Total Free People Group sales increased by 14% (unaudited) to $213 million for the quarter. This increase April 30, 2021 April 30, 2019 $ % was due to an increase in Retail segment sales Total Sales $ 212.8 $ 186.2 $ 26.6 14% of 45%, which
Slide 8: Revenue Metrics: Urban Outfitters
Revenue Metrics ($ in millions) Three Months Ended Variance Total Urban Outfitters brand sales increased by 10% (unaudited) to $350 million for the quarter. April 30, 2021 April 30, 2019 $ % Total Sales $ 349.7 $ 316.8 $ 32.9 10% The increase in Urban Outfitters sales during the quarter was primaril
Slide 9: Gross Profit by Segment
Gross Profit by Segment Three Months Ended Gross profit dollars increased by 12% to $301 million for the quarter, while ($ in millions) Variance (unaudited) gross profit rate increased 129 bps to 32.4%. The increase in gross profit rate was primarily due to record low first quarter merchandise markd
Slide 10: SG&A–Total Company
SG&A–Total Company ($ in millions) Three Months Ended Variance Selling general & administrative (‘SG&A’) expenses (unaudited) decreased by 1% to $227 million while SG&A as April 30, 2021 April 30, 2019 $ % a % of sales leveraged by 201 bps to 24.5%. The SG&A* $’s $ 227.2 $ 229.1 $ (1.9) -1% leverage
Slide 11: Operating Income by Segment
Operating Income by Segment ($ in millions) Three Months Ended Variance Operating income dollars increased by 84% to (unaudited) $74 million while operating income rate increased April 30, 2021 April 30, 2019 $ % by 330 bps to 7.9%. The increase in dollars was Operating Income $’s $ 73.5 $ 40.0 $ 33
Slide 12: Income Statement Summary
Income Statement Summary ($ in millions) Three Months Ended The effective tax rate for (share count in millions) the first quarter was 27% (unaudited) April 30, 2021 % of Net Sales April 30, 2019 % of Net Sales compared to 24% in the first quarter of fiscal 2020. The Net Sales $ 927.4 100% $ 864.4 1
Slide 13: Balance Sheet Summary
Balance Sheet Summary ($ in millions) As of April 30, 2021, (unaudited) April 30, 2021 April 30, 2019 inventory increased 17% to Assets $478 million driven by an Cash and Cash Equivalents $ 364 $ 291 increase in in-transit inventory Marketable Securities 164 229 due to global transportation Accounts
Slide 14: Cash Flows Summary
Cash Flows Summary ($ in millions) Three Months Ended (unaudited) April 30, 2021 April 30, 2019 Cash Flows from Operating Activities Net Income $ 54 $ 33 Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: Depreciation & Amortization 26 28 Inventory (87) (39) Payables,
Slide 15: Inventory Data
Inventory Data ($ in millions) (unaudited) Variance April 30, 2021 April 30, 2019 $ % URBN Inventory $ 477.8 $ 408.4 $69.4 17% Retail Segment by Brand $ 425.9 $ 365.6 $60.3 17% Anthropologie Group 193.6 169.5 24.1 14% Free People Group 70.8 47.8 23.0 48% Urban Outfitters 161.5 148.3 13.2 9% Wholesal
Slide 16: Capital Spending
Capital Spending ($ 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 first quarter, capital expenditures were $43 million while depreciation & amortization was $26
Slide 17: Shares Outstanding
Shares Outstanding ($ in millions) (share count in millions) (unaudited) 140 130 120 110 100 90 Q1 FY ’17 FY ’18 FY ’19 FY ’20 FY ’21 FY ’22 Shares Repurchased Number of Shares 1.3 8.1 3.5 8.1 0.5 0 Total Cost $ 46 $ 157 $ 121 $ 217 $7 $0 The Company did not repurchase any shares during the quarter.
Slide 18: Global Retail Stores Summary
Global Retail Stores Summary Q1 FY’22 Q2–Q4 FY’22 Projected Open as of Open as of Projected Projected Open as of January 31, 2021 Openings Closings April 30, 2021 Openings Closings January 31, 2022 Anthropologie Group NA 215 1 1 215 5 5 215 Anthropologie Group EU 22 1 – 23 2 2 23 Total Anthropologie
Slide 19: Global Store Count & Square Footage
Global Store Count & Square Footage (all data is as of the respective period ended) (Selling SF in thousands) AN FP UO M&V URBN ** FY‘21 Q1 Store Count 233 144 249 11 637 Selling SF 1,793 325 2,220 n/a 4,338 Q2 Store Count 233 143 248 11 635 Selling SF 1,793 321 2,212 n/a 4,326 Q3 Store Count 234 14
Slide 20: Appendix
Appendix FY ’ 22 Q 1 RESULTS | 20
Slide 21: Sales by Brand and Segment
Sales by Brand and Segment Three Months Ended ($ in millions) Variance (unaudited) April 30, 2021 April 30, 2020 $ % Sales by Brand $ 927.4 $ 588.5 $ 338.9 58% Anthropologie Group 353.5 234.0 119.5 51% Free People Group 212.8 107.7 105.1 98% Urban Outfitters 349.7 237.3 112.4 47% Menus & Venues 3.6
Slide 22: Statement of Operations Summary
Statement of Operations Summary ($ in millions) Three Months Ended (share count in millions) (unaudited) April 30, 2021 % of Net Sales April 30, 2020 % of Net Sales Net Sales $ 927.4 100% $ 588.5 100% Cost of Sales (excluding store impairment) 626.7 67.6 562.2 95.5 Store Impairment – – 14.5 2.5 Gro
Slide 23: Balance Sheet Summary
Balance Sheet Summary ($ in millions) (unaudited) April 30, 2021 April 30, 2020 Assets Cash and Cash Equivalents $ 364 $ 589 Marketable Securities 164 65 Accounts Receivable, Net 85 56 Inventory 478 336 Other Current Assets 190 131 Total Current Assets 1,281 1,177 Property and Equipment, Net 989 880