Abercrombie & Fitch Company · NYSE:ANF
Abercrombie & Fitch — Q2 2013 Earnings Presentation
11 slides from Abercrombie & Fitch's earnings presentation, Aug 26, 2013
Slide 1: Investor Presentation 2013 Second Quarter
INVESTOR PRESENTATION 2013 SECOND QUARTER
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 A&F cautions that any forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) contained in this presentation or made by management or spokespeople of A&F involve risk
Slide 3: Q2 P&L Summary
3 Q2 P&L SUMMARY 20122013(1) % OF NET SALES UNAUDITED UNAUDITED (RESTATED) % OF NET SALES NET SALES GROSS PROFIT OPERATING EXPENSE OTHER OPERATING INCOME, NET OPERATING INCOME INTEREST EXPENSE, NET INCOME BEFORE TAXES TAX EXPENSE NET INCOME NET INCOME PER SHARE BASIC DILUTED WEIGHTED-AVERAGE SHARES
Slide 4: Q2 Comparable Sales
4 Q2 COMPARABLE SALES TOTAL COMPANY* GEOGRAPHIC*: US INTERNATIONAL BRAND*: ABERCROMBIE & FITCH abercrombie kids HOLLISTER Co. TOTAL COMPANY* GEOGRAPHIC*: US INTERNATIONAL BRAND*: ABERCROMBIE & FITCH abercrombie kids HOLLISTER Co. -10% -11% -7% -6% -3% -13% -12% -13% -11% -10% -4% -15% Q2 - SALES MIX
Slide 5: Operating Expense
5 OPERATING EXPENSE 20122013 % OF NET SALESSECOND QUARTER % OF NET SALES bps(4) STORE OCCUPANCY(1) ALL OTHER(2) STORES AND DISTRIBUTION MARKETING, GENERAL & ADMINISTRATIVE(3) TOTAL 272,774 458,085 111,293 $192,449 $185,311 279,273 471,722 117,646 $589,368 $569,378 19.5% 90 28.7% 90 48.1% 180 11.7% 7
Slide 6: Q2 Analysis
6 Q2 ANALYSIS 2013 OPERATING INCOME 2012 OPERATING INCOME (RESTATED)SALES SALES U.S. STORES(1) INTERNATIONAL STORES(1) DIRECT TO CONSUMER MARKETING, GENERAL AND ADMINISTRATIVE EXPENSES(2) STORE PRE-OPENING COSTS(3) ALL OTHER, NET(4) TOTAL $504,674 $562,105 286,727 261,625 154,297 127,677 - - - - - -
Slide 7: Share Repurchases
7 SHARE REPURCHASES 349.7 2,033.0 - - $16,305 $99,501 - - $46.63 $48.94 - - 3,300.0 $161,215 $48.85 $48.60 - $104,283 - $34.47 $56,166 $45.94 $115,806 $321,664 $42.62 1,222.7 2,382.7 7,547.9 - 3,025.2 SHARES REPURCHASED SHARES REPURCHASED COST COSTAVERAGECOST AVERAGE COST FY 2013 FY 2012 FIRST QUART
Slide 8: International Hollister Store Count - Cumulative
8 INTERNATIONAL HOLLISTER STORE COUNT - CUMULATIVE 2007 3 3 6 9 6 9 12 12 12 26 29 31 77 107 116 11 17 18 5 8 9 8 12 12 1 1 1 2 3 3 1 2 2 2 2 2 4 7 8 3 6 6 2 4 6 2 2 1 1 1 1 2 19 38 4 3 3 3 10 18 1 1 2008 2009 2010 2012 20132011HOLLISTER CANADA UK GERMANY ITALY SPAIN IRELAND SWEDEN HONG KONG BELGIUM
Slide 9: Q2 Store Openings
9 Q2 STORE OPENINGS CITY DATECENTERBRAND A&F / kids A&F / kids HOLLISTER HOLLISTER HOLLISTER HOLLISTER ASHFORD DESIGNER OUTLET PRESTIGE OUTLET CHESTERFIELD BONDI JUNCTION LE BEFANE TAIKOO LI SANLITUN MIXC HANGZHOU ASHFORD, UK CHESTERFIELD, MO SYDNEY, AUS RIMINI, IT BEIJING, CN HANGZHOU, CN 5/9/13 8/
Slide 10: Guidance Updates
10 THIRD QUARTER: COMPARABLE SALES DOWN SLIGHTLY MORE THAN SECOND QUARTER DILUTED EPS IN THE RANGE OF $0.40 - $0.45* GUIDANCE UPDATES * EPS estimate does not reflect the impact of potential impairment and store closure charges, or additional charges related to the implementation of the Company’s pro
Slide 11: Q2 Store Count Activity
11 Q2 STORE COUNT ACTIVITY * End of Q2 2013 includes 28 Gilly Hicks stores, 20 in the U.S. and eight in Europe. * Asia includes Australia. TOTAL U.S. CANADA EUROPE ASIA*ALL BRANDS* HOLLISTER CO. ABERCROMBIE & FITCH abercrombie kids START OF Q2 2013 OPENINGS CLOSINGS END OF Q2 2013 START OF Q2 2013 O