Abercrombie & Fitch Co. Reports Fourth Quarter and Full Year Results

Rhea-AI Summary

Abercrombie & Fitch Co. (NYSE: ANF) reported record net sales of $1.67 billion in the fourth quarter (+5%) and $5.27 billion for the full year (+6%). Full year operating margin was 13.3% with GAAP net income per diluted share of $10.46. Hollister delivered 15% full year growth while Abercrombie declined 1%. The company repurchased $450 million of shares (5.4 million, ~11% of shares outstanding) and provided fiscal 2026 guidance: net sales growth 3–5%, operating margin 12.0–12.5%, and EPS $10.20–$11.00.

Positive

• Record full year net sales of $5.27 billion (+6%)
• Record fourth quarter net sales of $1.67 billion (+5%)
• Hollister full year growth of 15% (comps +13%)
• Share repurchases of $450 million (5.4M shares, ~11% outstanding)
• Fiscal 2026 guidance: net sales growth target of 3–5% and EPS $10.20–$11.00

Negative

• Full year operating margin reduced to 13.3% from 15.0% year ago
• Company assumes a 15% U.S. tariff in outlook, ~290 bps Q1 and ~70 bps full year sales headwind

Key Figures

Q4 net sales: $1.67 billion Full-year net sales: $5.27 billion Full-year operating margin: 13.3% +5 more

8 metrics

Q4 net sales $1.67 billion Fourth quarter 2025, up 5% with 1% comparable sales

Full-year net sales $5.27 billion Fiscal year ended Jan 31, 2026, up 6% with 3% comps

Full-year operating margin 13.3% Fiscal 2025 reported operating margin, down from 15.0% prior year

Full-year EPS (GAAP) $10.46 Net income per diluted share vs $10.69 last year

Share repurchases $450 million Fiscal 2025 repurchases, 5.4M shares, ~11% of shares outstanding

Operating cash flow $619 million Net cash provided by operating activities in fiscal 2025

Cash and equivalents $760 million Balance as of Jan 31, 2026 vs $773M a year earlier

2026 EPS outlook $10.20–$11.00 Fiscal 2026 net income per diluted share guidance range

Market Reality Check

Price: $99.22 Vol: Volume 2,554,412 is 1.83x...

high vol

$99.22 Last Close

Volume Volume 2,554,412 is 1.83x the 20-day average, indicating elevated pre-news positioning. high

Technical Price 99.22 is trading above the 200-day MA of 90.91, reflecting a pre-existing uptrend.

Peers on Argus

ANF was up 1.4% pre-release with strong volume, while the momentum scanner only ...

1 Down

ANF was up 1.4% pre-release with strong volume, while the momentum scanner only flagged peer CRI moving down. Broader apparel peers listed (AEO, BOOT, URBN, BKE, GAP) showed positive moves, but real-time momentum data points to ANF’s action being stock-specific rather than a coordinated sector move.

Historical Context

5 past events · Latest: Feb 11 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 11	Product line expansion	Positive	-0.6%	Launch of abercrombie kids Baby & Toddler Collection expanding sizes to newborn–5T.
Feb 06	Earnings date notice	Neutral	-1.4%	Announcement of March 4, 2026 reporting date and conference call details.
Jan 27	Marketing partnership	Positive	+0.6%	Official Fashion Partner role for NFL Super Bowl LX with special collections and events.
Jan 12	Outlook update	Positive	-17.7%	Reaffirmed record 2025 net sales, ~13% margin, and strong EPS/share repurchase plans.
Dec 09	Technology partnership	Positive	+4.1%	Nedap iD Cloud rollout to boost item-level inventory visibility across global stores.

Pattern Detected

The stock has generally reacted positively to strategic and partnership news but showed sharp downside on a prior upbeat outlook update, indicating occasional divergence between fundamentals and price.

Recent Company History

Over the last six months, ANF has highlighted strategic growth moves and brand initiatives. A Dec 9 Nedap partnership to enhance unified commerce and RFID visibility drew a positive reaction. The Jan 12 fiscal 2025 outlook update, despite reaffirming record net sales and solid margins, coincided with a -17.69% move, signaling a notable divergence. Subsequent marketing initiatives around Super Bowl LX and an abercrombie kids Baby & Toddler launch saw modest price responses. Today’s record fourth quarter and full-year results follow this pattern of strong operating execution against sometimes inconsistent market reactions.

Market Pulse Summary

This announcement delivers record quarterly and full-year net sales of $1.67B and $5.27B, respective...

Analysis

This announcement delivers record quarterly and full-year net sales of $1.67B and $5.27B, respectively, with a full-year operating margin of 13.3% and GAAP EPS of $10.46. It also outlines 2026 guidance for 3–5% net sales growth and 12.0–12.5% operating margin, alongside planned share repurchases of around $450M. Investors may track how execution against this outlook compares to the prior year’s 15.0% margin and how continued brand and omnichannel investments affect growth and profitability.

Key Terms

non-gaap financial measures, operating margin, comparable sales, asset-based revolving credit facility

4 terms

non-gaap financial measures financial

"Descriptions of the use of non-GAAP financial measures and reconciliations of GAAP"

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

operating margin financial

"Full year operating margin of 13.3%, and net income per diluted share of $10.46"

Operating margin shows how much profit a company makes from its core business activities after paying for costs like wages and materials. It’s useful because it tells you how efficiently a company is running—higher margins mean it keeps more money from each dollar of sales, which can indicate better management or stronger products.

comparable sales financial

"Net sales of $1.67 billion up 5% as compared to last year, with comparable sales of 1%"

"Comparable sales" are the total sales from stores or products that have been open for a certain period, usually the same time last year or last quarter. They help show whether a business is growing by comparing similar locations or products over time, much like checking if your favorite store's sales are going up compared to previous years.

asset-based revolving credit facility financial

"Borrowing capacity of $500 million under the senior-secured asset-based revolving credit facility"

A loan arrangement where a lender agrees to make funds available up to a set limit that a borrower can draw, repay, and draw again, with the amount available tied to the value of specific assets (like inventory, receivables, or equipment) pledged as collateral. It matters to investors because it provides flexible working capital while limiting risk exposure: the company can fund growth or cover shortfalls quickly, but borrowing capacity can shrink if asset values fall.

AI-generated analysis. Not financial advice.

• Company delivers record fourth quarter and full year net sales of $1.7 billion and $5.3 billion, respectively
• Fourth quarter net sales grew 5% to 2024, with balanced growth across regions, brands and channels
• Full year net sales grew 6% to 2024, with growth across regions and channels
• Hollister brands delivers record full year 2025 net sales on growth of 15%, with Abercrombie down 1%
• Full year operating margin of 13.3%, and net income per diluted share of $10.46
• Full year share repurchases of $450 million, or 5.4 million shares, representing 11% of shares outstanding at February 1, 2025
• Provides full year 2026 outlook for net sales growth in the range of 3% to 5%, operating margin in the range of 12.0% to 12.5%, net income per diluted share in the range of $10.20 to $11.00
  
  

NEW ALBANY, Ohio, March 04, 2026 (GLOBE NEWSWIRE) -- Abercrombie & Fitch Co. (NYSE: ANF) today announced results for the fourth quarter and fiscal year ended January 31, 2026. These compare to results for the fourth quarter and fiscal year ended February 1, 2025. Descriptions of the use of non-GAAP financial measures and reconciliations of GAAP and non-GAAP financial measures accompany this release.

Fran Horowitz, Chief Executive Officer, said, “Our record fourth quarter net sales marked our thirteenth consecutive quarter of growth, with both operating margin and earnings per share at the high end of expectations we shared in early January.

Reflecting on fiscal 2025, I’m proud of our accomplishments. We delivered record net sales with 6% growth and achieved our third straight year of double-digit operating margins, all while continuing to strengthen the business through investments in marketing, stores, people, and digital capabilities. Supported by $619 million in operating cash flow, we repurchased 5.4 million shares, representing 11% of shares outstanding at the beginning of the year, reinforcing our commitment to long term value creation and shareholder returns.

We entered fiscal 2026 with a strong foundation, including two globally relevant brands, a proven operating model, and a robust balance sheet, all managed by a world class team. Our goals for 2026 are to grow net sales, deliver another year of double-digit operating margin and grow earnings per share, all while making strategic investments that will fuel our long-term global ambition.”

Details related to reported net income per diluted share and adjusted net income per diluted share for the fourth quarter and full year are as follows:

		Fourth Quarter								Full Year
			2025				2024				2025				2024
GAAP		$	3.68			$	3.57			$	10.46			$	10.69
Excluded items, net of tax effect (1)			—				—				(0.60	)			—
Adjusted non-GAAP		$	3.68			$	3.57			$	9.86			$	10.69
Impact from changes in foreign currency exchange rates (2)			—				(0.03	)			—				(0.09	)
Adjusted non-GAAP constant currency		$	3.68			$	3.54			$	9.86			$	10.60

(1)	Excluded items consist of a favorable settlement, net of legal fees, of payment card interchange fee litigation and the tax effect of pre-tax excluded item.
(2)	The estimated impact from foreign currency is calculated by applying current period exchange rates to prior year results using a 26% tax rate.

A summary of results for the fourth quarter ended January 31, 2026 as compared to the fourth quarter ended February 1, 2025:

• Net sales of $1.67 billion up 5% as compared to last year, with comparable sales of 1%.
• Operating income of $236 million as compared to $256 million last year.
• Operating margin as a percent of sales of 14.1% as compared to 16.2% last year.
• Net income per diluted share of $3.68 as compared to net income per diluted share last year of $3.57.
  
  

A summary of results for the full year ended January 31, 2026 as compared to the full year ended February 1, 2025:

• Net sales of $5.27 billion up 6% as compared to last year, with comparable sales of 3%.
• Operating income of $699 million and $661 million on a reported and adjusted non-GAAP basis, respectively. This compares to operating income last year of $741 million on a reported basis.
• Operating margin as a percent as sales decreased to 13.3% and 12.5% on a reported and adjusted non-GAAP basis, respectively. This compares to an operating margin last year of 15.0% on a reported basis.
• Net income per diluted share of $10.46 and $9.86 on a reported and adjusted non-GAAP basis, respectively. This compares to net income per diluted share last year of $10.69 on a reported basis.
  
  

Net Sales

Net sales by segment and brand for the fourth quarter and full year are as follows:

		Fourth Quarter
(in thousands)			2025				2024			1 YR % Change		Comparable sales (2)
Net sales by segment: (1)
Americas (3)		$	1,383,943			$	1,319,720			5%		2%
EMEA (4)			241,384				224,467			8%		(3)%
APAC (5)			44,475				40,730			9%		0%
Total company		$	1,669,802			$	1,584,917			5%		1%
Net sales by brand family:			2025				2024			1 YR % Change		Comparable sales (2)
Abercrombie		$	806,502			$	772,670			4%		(1)%
Hollister			863,300				812,247			6%		3%
Total company		$	1,669,802			$	1,584,917			5%		1%

		Full Year
(in thousands)			2025				2024			1 YR % Change		Comparable sales (2)
Net sales by segment: (1)
Americas (3)		$	4,290,395			$	4,027,514			7%		4%
EMEA (4)			818,140				770,519			6%		0%
APAC (5)			157,757				150,554			5%		(3)%
Total company		$	5,266,292			$	4,948,587			6%		3%
Net sales by brand family:			2025				2024			1 YR % Change		Comparable sales (2)
Abercrombie		$	2,523,662			$	2,556,434			(1)%		(7)%
Hollister			2,742,630				2,392,153			15%		13%
Total company		$	5,266,292			$	4,948,587			6%		3%

(1)	Net sales by segment are presented by attributing revenues to a physical store location or geographical region that fulfills the order.
(2)	Comparable sales are calculated on a constant currency basis. Refer to "REPORTING AND USE OF GAAP AND NON-GAAP MEASURES," for further discussion.
(3)	The Americas segment includes the results of operations in North America and South America.
(4)	The EMEA segment includes the results of operations in Europe, the Middle East and Africa.
(5)	The APAC segment includes the results of operations in the Asia-Pacific region, including Asia and Oceania.

Financial Position and Liquidity

As of January 31, 2026 the company had:

• Cash and equivalents of $760 million as compared to $773 million as of February 1, 2025.
• Marketable securities of $25 million as compared to $116 million as of February 1, 2025. The decrease from February 1, 2025 was primarily due to maturities in Fiscal 2025.
• Inventories of $601 million compared to $575 million as of February 1, 2025.
• Borrowing capacity of $500 million under the senior-secured asset-based revolving credit facility (the "ABL Facility") with net borrowing available of $450 million after minimum excess availability requirement.
• Liquidity comprised of cash and equivalents and borrowing available under the ABL Facility, of approximately $1.2 billion, compared to $1.2 billion as of February 1, 2025.
  
  

Cash Flow and Capital Allocation

Details related to the company's cash flows for the full year ended January 31, 2026 are as follows:

• Net cash provided by operating activities of $619 million.
• Net cash used for investing activities of $151 million, primarily reflecting capital expenditures, partially offset by maturities of marketable securities.
• Net cash used for financing activities of $495 million, primarily reflecting share repurchases.
  
  

During the fourth quarter of 2025, the company repurchased 0.9 million shares for approximately $100 million. For the full year ended January 31, 2026, the company repurchased 5.4 million shares for $450 million representing a 11% reduction in shares outstanding at the beginning of the year. The company has $850 million remaining on the share repurchase authorization established in March 2025.

Depreciation and amortization was $155 million for fiscal 2025 as compared to $154 million in fiscal 2024.

Fiscal 2026 First Quarter and Full Year Outlook

For fiscal 2026, the company expects:
	First Quarter Outlook (1)	Full Year Outlook (1)
Net sales	Growth In The Range of 1% to 3%	Growth In The Range of 3% to 5%
Operating margin	Around 7.0%	In the Range of 12.0% to 12.5%
Effective tax rate (2)	Around 26%	Around 29%
Net income per diluted share (3) (4)	In The Range of $1.20 to $1.30	In The Range of $10.20 to $11.00
Share repurchases (4)	At least $100 million	Around $450 million
Diluted weighted average shares (3) (4)	Around 46 million	Around 45 million
Capital expenditures		In The Range of $200 to $225 million
Real estate activity (5) (all approximate)		~30 Net Store Openings
		55 Openings, 25 Closures
		70 Remodels and Right-Sizes

(1)	Includes the estimated impact of a 15% tariff on all goods imported into the United States, based on an announcement by the U.S. presidential administration on February 21, 2026. These tariffs are assumed to be effective beginning February 24, 2026, and to remain in effect for the entirety of fiscal 2026. Net of planned mitigation efforts, the outlook assumes a year-over-year tariff impact as a percentage of net sales of approximately 290 basis points for the first quarter and 70 basis points for the full year. This fiscal 2026 outlook does not include any potential refunds or recoveries of tariffs imposed pursuant to the International Emergency Economic Powers Act.
(2)	The current outlook for effective tax rate is sensitive to the jurisdictional mix and level of income and does not include the impact of potential future tax policy or legislative changes.
(3)	The current outlook for net income per diluted share and diluted weighted average shares includes the anticipated impact to shares outstanding from potential share repurchase activity in fiscal 2026.
(4)	The timing and amount of any such repurchases will be determined based on an evaluation of market conditions, the company’s share price, legal requirements, and other factors.
(5)	Owned-and-operated stores only.

Conference Call

Today at 8:30 AM, ET, the company will conduct a conference call and provide additional details around its quarterly and full year results and its outlook for the first quarter and full year for fiscal 2026. To access the call by phone, participants will need to register at the following URL address to obtain a dial-in number and passcode:

https://register-conf.media-server.com/register/BI5e375d033bf8476fb678743e8a90c279

Accompanying materials, including an investor presentation and certain unaudited quarterly financial information, will be available in the “Investors” section at corporate.abercrombie.com at approximately 7:30 AM ET, today. Important information may be disseminated initially or exclusively via the website; investors should consult the site to access this information.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

This Press Release and related statements by management or spokespeople of Abercrombie & Fitch Co. (A&F) contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). These statements, including, without limitation, statements regarding our fiscal 2026 first quarter and full year 2026 results, relate to our current assumptions, projections and expectations about our business and future events. Any such forward-looking statements involve risks and uncertainties and are subject to change based on various important factors, many of which may be beyond the company’s control. The inclusion of such information should not be regarded as a representation by the company, or any other person, that the objectives of the company will be achieved. Words such as “estimate,” “project,” “plan,” “goal,” “believe,” “expect,” “anticipate,” “intend,” “should,” “are confident,” “will,” “could,” “outlook,” and similar expressions may identify forward-looking statements. Except as may be required by applicable law, we assume no obligation to publicly update or revise any forward-looking statements, including any financial targets, estimates, or performance outlooks whether as a result of new information, future events, or otherwise. Factors that may cause results to differ from those expressed in our forward-looking statements include, but are not limited to, the factors disclosed in Part I, Item 1A. “Risk Factors” of the company’s Annual Report on Form 10-K for the fiscal year ended February 1, 2025,and in our subsequent reports and filings with the Securities and Exchange Commission, as well as the following factors: risks and uncertainties related to global trade policy and international trade disputes, including the impact of the imposition, modification, or threat of imposition of new or increased tariffs by the United States or foreign governments, including uncertainty regarding the timing and implementation of changes to existing tariff programs, or other changes to trade policies or arrangements; risks related to changes in global economic and financial conditions, including inflation, and the resulting impact on consumer spending and our operating results, financial condition, and expense management; risks and uncertainty related to the implementation and effectiveness of our new merchandising enterprise resource planning (“ERP”) system, including the risk of temporary disruptions that may adversely affect inventory management and selling activities; risks related to global operations, including changes in the economic or political conditions where we sell or source our products; risks related to the geopolitical landscape and ongoing armed conflicts, acts of terrorism, mass casualty events, social unrest, civil disturbance or disobedience and the impact of such conflicts or events on international trade, supplier delivery or increased freight costs; risks related to natural disasters and other unforeseen catastrophic events; risks related to our failure to engage our customers, anticipate customer demand, expectations, and changing fashion trends, and manage our inventory and product delivery; risks related to our failure to operate effectively in a highly competitive and constantly evolving industry; risks related to our ability to successfully invest in and execute on our customer, digital and omnichannel initiatives; risks related to our ability to successfully execute technology initiatives and partnerships, such as those relating to artificial intelligence technology; risks related to our ability to execute on, and maintain the success of, our strategic and growth initiatives or any future strategic reviews or initiatives; risks related to fluctuations in foreign currency exchange rates; risks related to fluctuations in our tax obligations and effective tax rate, including as a result of earnings and losses generated from our global operations, may result in volatility in our results of operations; risks and uncertainty related to adverse public health developments; risks associated with climate change and other corporate responsibility issues; risks related to reputational harm to the company, its officers, and directors; risks related to actual or threatened litigation; risks related to cybersecurity threats and privacy or data security breaches; and the potential loss or disruption to our information systems, and uncertainties related to future legislation, regulatory reform, policy changes, or interpretive guidance on existing laws and regulations.

Other Information

This document includes certain adjusted non-GAAP financial measures, which are not calculated in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and exclude the impact of certain items. Management uses these non-GAAP financial measures to evaluate the company’s performance and manage its operations, and believes such measures to be helpful in understanding the company's results of operations or financial position. These non-GAAP financial measures are intended to complement, and are not considered as alternatives to, the most directly comparable GAAP financial measures, as reconciled in the above table. Also, such non-GAAP financial measures may not be comparable to similarly titled measures used by other entities. Additional details about non-GAAP financial measures and a reconciliation of GAAP financial measures to non-GAAP financial measures can be found in the “Reporting and Use of GAAP and Non-GAAP Measures” section. Sub-totals and totals may not foot due to rounding.Net income and net income per share financial measures included herein are attributable to Abercrombie & Fitch Co., excluding net income attributable to noncontrolling interests.

As used in this document, references to "Americas" includes North America and South America, "EMEA" includes Europe, the Middle East and Africa and "APAC" includes the Asia-Pacific region, including Asia and Oceania.

About Abercrombie & Fitch Co.

Abercrombie & Fitch Co. (NYSE: ANF) is a global, digitally led omnichannel specialty retailer of apparel and accessories catering to kids through millennials with assortments curated for their specific lifestyle needs.

The company operates a family of brands, including Abercrombie brands and Hollister brands each sharing a commitment to offer products of enduring quality and exceptional comfort that support global customers on their journey to being and becoming who they are. Abercrombie & Fitch Co. operates approximately 830 stores under these brands across North America, Europe, Asia and the Middle East, as well as the e-commerce sites abercrombie.com, abercrombiekids.com, and HollisterCo.com.

Investor Contact:		Media Contact:
Mo Gupta		Kate Wagner
Abercrombie & Fitch Co.		Abercrombie & Fitch Co.
(614) 283-6751		(614) 283-6192
Investor_Relations@anfcorp.com		Public_Relations@anfcorp.com

Abercrombie & Fitch Co.
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(Unaudited)
		Thirteen Weeks Ended							Thirteen Weeks Ended
		January 31, 2026				% of Net Sales			February 1, 2025				% of Net Sales
Net sales		$	1,669,802			100.0	%		$	1,584,917			100.0	%
Cost of sales, exclusive of depreciation and amortization			676,491			40.5	%			610,907			38.5	%
Selling expense			574,792			34.4	%			526,423			33.2	%
General and administrative expense			181,819			10.9	%			194,544			12.3	%
Other operating loss (income), net			769			0.0	%			(3,021	)		(0.2	)%
Operating income			235,931			14.1	%			256,064			16.2	%
Interest expense			544			0.0	%			539			0.0	%
Interest income			(6,975	)		(0.4	)%			(9,437	)		(0.6	)%
Interest income, net			(6,431	)		(0.4	)%			(8,898	)		(0.6	)%
Income before income taxes			242,362			14.5	%			264,962			16.7	%
Income tax expense			67,594			4.0	%			75,267			4.7	%
Net income			174,768			10.5	%			189,695			12.0	%
Less: Net income attributable to noncontrolling interests			2,638			0.2	%			2,469			0.2	%
Net income attributable to A&F		$	172,130			10.3	%		$	187,226			11.8	%
Net income per share attributable to A&F
Basic		$	3.77						$	3.72
Diluted		$	3.68						$	3.57
Weighted-average shares outstanding:
Basic			45,668							50,265
Diluted			46,837							52,461

Abercrombie & Fitch Co.
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(Unaudited)
		Fifty-Two Weeks Ended							Fifty-Two Weeks Ended
		January 31, 2026				% of Net Sales			February 1, 2025				% of Net Sales
Net sales		$	5,266,292			100.0	%		$	4,948,587			100.0	%
Cost of sales, exclusive of depreciation and amortization			2,028,884			38.5	%			1,773,926			35.8	%
Selling expense			1,809,633			34.4	%			1,689,988			34.2	%
General and administrative expense			725,471			13.8	%			750,485			15.2	%
Other operating loss (income), net			3,161			0.1	%			(6,632	)		(0.1	)%
Operating income			699,143			13.3	%			740,820			15.0	%
Interest expense			2,375			0.0	%			12,077			0.2	%
Interest income			(24,004	)		(0.5	)%			(39,934	)		(0.8	)%
Interest (income) expense, net			(21,629	)		(0.4	)%			(27,857	)		(0.6	)%
Income before income taxes			720,772			13.7	%			768,677			15.5	%
Income tax expense			205,777			3.9	%			194,661			3.9	%
Net Income			514,995			9.8	%			574,016			11.6	%
Less: Net income attributable to noncontrolling interests			8,074			0.2	%			7,793			0.2	%
Net income attributable to A&F		$	506,921			9.6	%		$	566,223			11.4	%
Net income per share attributable to A&F
Basic		$	10.71						$	11.14
Diluted		$	10.46						$	10.69
Weighted-average shares outstanding:
Basic			47,319							50,839
Diluted			48,476							52,971

Reporting and Use of GAAP and Non-GAAP Measures

The company believes that each of the non-GAAP financial measures presented are useful to investors as they provide a measure of the company’s operating performance excluding the effect of certain items which the company believes do not reflect its future operating outlook, therefore supplementing investors’ understanding of comparability of operations across periods. Management used these non-GAAP financial measures during the periods presented to assess the company’s performance and to develop expectations for future operating performance. Non-GAAP financial measures should be used supplementally to, and not as an alternative to, the company’s GAAP financial results, and may not be calculated in the same manner as similar measures presented by other companies.

The company provides comparable sales, defined as the percentage year-over-year change in the aggregate of: (1) sales for stores that have been open as the same brand at least one year and whose square footage has not been expanded or reduced by more than 20% within the past year, with prior year’s net sales converted at the current year’s foreign currency exchange rate to remove the impact of foreign currency rate fluctuation, and (2) digital net sales with prior year’s net sales converted at the current year’s foreign currency exchange rate to remove the impact of foreign currency rate fluctuation.

The company also provides certain financial information on a constant currency basis to enhance investors’ understanding of underlying business trends and operating performance, by removing the impact of foreign currency exchange rate fluctuations. The effect from foreign currency, calculated on a constant currency basis, is determined by applying current year average exchange rates to prior year results and is net of the year-over-year impact from hedging. The per diluted share effect from foreign currency is calculated using a 26% tax rate.

In addition, the company provides EBITDA and Adjusted EBITDA as supplemental measures used by the company’s executive management to assess the company’s performance. We also believe these supplemental performance measures are meaningful information for investors and other interested parties to use in computing the company’s core financial performance over multiple periods and with other companies by excluding the impact of differences in tax jurisdictions, debt service levels and capital investment.

Abercrombie & Fitch Co.
Schedule of Non-GAAP Financial Measures
Fifty-Two Weeks Ended January 31, 2026
(in thousands, except per share data)
(Unaudited)
		GAAP (1)				% of Net Sales			Excluded item (2)				Adjusted non-GAAP				% of Net Sales
Litigation settlement		$	(38,574	)					$	(38,574	)		$	—
Operating income			699,143			13.3	%			38,574				660,569			12.5	%
Income before income taxes			720,772			13.7	%			38,574				682,198			13.0	%
Income tax expense (3)			205,777			3.9	%			9,692				196,085			3.7	%
Net income attributable to A&F			506,921			9.6	%			28,882				478,039			9.1	%
Net income per diluted share attributable to A&F		$	10.46						$	0.60			$	9.86
Diluted weighted-average shares outstanding			48,476											48,476

(1)	“GAAP” refers to accounting principles generally accepted in the United States of America.
(2)	Excluded item consists of a favorable settlement, net of legal fees, of payment card interchange fee litigation.
(3)	The tax effect of excluded item is the difference between the tax provision calculated on a GAAP basis and an adjusted non-GAAP basis.

Abercrombie & Fitch Co.
Reconciliation of Constant Currency Financial Measures
Thirteen Weeks Ended January 31, 2026 and February 1, 2025
(in thousands, except percentage and basis point changes and per share data)
(Unaudited)
Net sales			2025				2024			% Change
GAAP (1)		$	1,669,802			$	1,584,917			5%
Impact from changes in foreign currency exchange rates (2)			—				16,829			(1)%
Net sales on a constant currency basis		$	1,669,802			$	1,601,746			4%
Operating income			2025				2024			BPS Change (3)
GAAP (1)		$	235,931			$	256,064			(210)
Impact from changes in foreign currency exchange rates (2)			—				(2,315	)		40
Non-GAAP constant currency basis		$	235,931			$	253,749			(170)
Net incomeper diluted share attributable to A&F			2025				2024			$ Change
GAAP (1)		$	3.68			$	3.57			$0.11
Impact from changes in foreign currency exchange rates (2)			—				(0.03	)		0.03
Non-GAAP on a constant currency basis		$	3.68			$	3.54			$0.14

(1)	“GAAP” refers to accounting principles generally accepted in the United States of America.
(2)	The estimated impact from foreign currency is determined by applying current period exchange rates to prior year results and is net of the year-over-year impact from hedging. The per diluted share estimated impact from foreign currency is calculated using a 26% tax rate.
(3)	The estimated basis point change has been rounded based on the percentage change.

Abercrombie & Fitch Co.
Reconciliation of Constant Currency Financial Measures
Fifty-Two Weeks Ended January 31, 2026 and February 1, 2025
(in thousands, except percentage and basis point changes and per share data)
(Unaudited)
Net sales			2025				2024			% Change
GAAP (1)		$	5,266,292			$	4,948,587			6%
Impact from changes in foreign currency exchange rates (2)			—				33,163			(1)%
Net sales on a constant currency basis		$	5,266,292			$	4,981,750			6%
Operating income			2025				2024			BPS Change (3)
GAAP (1)		$	699,143			$	740,820			(170)
Excluded items (4)			(38,574	)			—			(80)
Adjusted non-GAAP		$	660,569			$	740,820			(250)
Impact from changes in foreign currency exchange rates (2)			—				(7,099	)		30
Adjusted non-GAAP on a constant currency basis		$	660,569			$	733,721			(220)
Net income per diluted share attributable to A&F			2025				2024			$ Change
GAAP (1)		$	10.46			$	10.69			$(0.23)
Excluded items, net of tax (4)			(0.60	)			—			(0.60)
Adjusted non-GAAP		$	9.86			$	10.69			$(0.83)
Impact from changes in foreign currency exchange rates (2)			—				(0.09	)		0.09
Adjusted non-GAAP on a constant currency basis		$	9.86			$	10.60			$(0.74)

(1)	“GAAP” refers to accounting principles generally accepted in the United States of America.
(2)	The estimated impact from foreign currency is determined by applying current period exchange rates to prior year results and is net of the year-over-year impact from hedging. The per diluted share estimated impact from foreign currency is calculated using a 26% tax rate.
(3)	The estimated basis point change has been rounded based on the percentage change.
(4)	Excluded item consists of a favorable settlement, net of legal fees, of payment card interchange fee litigation.

Abercrombie & Fitch Co.
Reconciliation of EBITDA and Adjusted EBITDA
Thirteen Weeks Ended January 31, 2026 and Thirteen Weeks Ended February 1, 2025
(in thousands)
(Unaudited)
(in thousands, except ratios)			2025			% of Net Sales				2024			% of Net Sales
Net income		$	174,768			10.5	%		$	189,695			12.0	%
Income tax expense			67,594			4.0				75,267			4.7
Interest income, net			(6,431	)		(0.4	)			(8,898	)		(0.6	)
Depreciation and amortization			40,455			2.5				37,163			2.4
EBITDA (1)		$	276,386			16.6			$	293,227			18.5
Abercrombie & Fitch Co.
Reconciliation of EBITDA and Adjusted EBITDA
Fifty-Two Weeks Ended January 31, 2026 and Fifty-Two Weeks Ended February 1, 2025
(in thousands)
(Unaudited)
(in thousands, except ratios)			2025			% of Net Sales				2024			% of Net Sales
Net income		$	514,995			9.8	%		$	574,016			11.6	%
Income tax expense			205,777			3.9				194,661			3.9
Interest income, net			(21,629	)		(0.4	)			(27,857	)		(0.6	)
Depreciation and amortization			155,021			2.9				153,773			3.2
EBITDA (1)		$	854,164			16.2			$	894,593			18.1
Adjustments to EBITDA
Litigation settlement			(38,574	)		(0.7	)			—			—
Adjusted EBITDA (1)		$	815,590			15.5			$	894,593			18.1

(1)

EBITDA and Adjusted EBITDA are supplemental financial measures that are not defined or prepared in accordance with GAAP. EBITDA is defined as net income before interest, income taxes and depreciation and amortization. Adjusted EBITDA is EBITDA adjusted for a favorable settlement, net of legal fees, of payment card interchange fee litigation.

Abercrombie & Fitch Co.
Condensed Consolidated Balance Sheets
(in thousands)
(Unaudited)
		January 31, 2026				February 1, 2025
Assets
Current assets:
Cash and equivalents		$	759,540			$	772,727
Marketable securities			25,036				116,221
Receivables			146,757				105,324
Inventories			601,218				575,005
Other current assets			117,913				104,154
Total current assets			1,650,464				1,673,431
Property and equipment, net			674,079				575,773
Operating lease right-of-use assets			997,399				803,121
Other assets			219,932				247,562
Total assets		$	3,541,874			$	3,299,887
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable		$	377,465			$	364,532
Accrued expenses			465,549				504,922
Short-term portion of operating lease liabilities			241,265				211,600
Income taxes payable			21,721				45,890
Total current liabilities			1,106,000				1,126,944
Long-term liabilities:
Long-term portion of operating lease liabilities		$	926,830			$	740,013
Other liabilities			88,633				81,607
Total long-term liabilities			1,015,463				821,620
Total Abercrombie & Fitch Co. stockholders’ equity			1,403,895				1,335,628
Noncontrolling interests			16,516				15,695
Total stockholders’ equity			1,420,411				1,351,323
Total liabilities and stockholders’ equity		$	3,541,874			$	3,299,887

Abercrombie & Fitch Co.
Condensed Consolidated Statements of Cash Flows
(in thousands, except per share data)
(Unaudited)
		Fifty-Two Weeks Ended				Fifty-Two Weeks Ended
		January 31, 2026				February 1, 2025
Operating activities
Net cash provided by operating activities		$	619,142			$	710,376
Investing activities
Purchases of marketable securities		$	(24,800	)		$	(139,600	)
Proceeds from maturities of marketable securities			114,800				24,800
Purchases of property and equipment			(240,774	)			(182,903	)
Net cash used for investing activities		$	(150,774	)		$	(297,703	)
Financing activities
Repayment/redemption of senior secured notes			—				(223,331	)
Purchases of common stock			(451,224	)			(229,807	)
Acquisition of common stock for tax withholding obligations			(36,685	)			(70,208	)
Other financing activities			(7,478	)			(11,531	)
Net cash used for financing activities		$	(495,387	)		$	(534,877	)
Effect of foreign currency exchange rates on cash		$	13,540			$	(7,086	)
Net decrease in cash and equivalents, and restricted cash and equivalents		$	(13,479	)		$	(129,290	)
Cash and equivalents, and restricted cash and equivalents, beginning of period		$	780,395			$	909,685
Cash and equivalents, and restricted cash and equivalents, end of period		$	766,916			$	780,395

Abercrombie & Fitch Co. Store Count Activity
		Fifty-Two Weeks Ended January 31, 2026
		Americas (1)						EMEA (2)						APAC (3)						Total Company
		Abercrombie			Hollister			Abercrombie			Hollister			Abercrombie			Hollister			Abercrombie			Hollister			Total (4)
Company-owned
February 1, 2025		215			385			33			100			30			26			278			511			789
New		27			15			4			6			5			5			36			26			62
Permanently closed		(3	)		(4	)		(1	)		(5	)		(4	)		(5	)		(8	)		(14	)		(22	)
January 31, 2026		239			396			36			101			31			26			306			523			829
Franchise
January 31, 2026		20			10			9			10			8			3			37			23			60
Total
January 31, 2026		259			406			45			111			39			29			343			546			889

(1)	The Americas segment includes North America and South America.
(2)	The EMEA segment includes Europe, the Middle East and Africa.
(3)	The APAC segment includes the Asia-Pacific region, including Asia and Oceania.
(4)	Store count excludes temporary stores.

FAQ

What were ANF fourth quarter sales and comparable sales for Q4 2025?

ANF reported $1.67 billion in fourth quarter net sales, up 5% year-over-year. According to the company, comparable sales increased 1%, with balanced growth across regions, brands, and channels.

How did Hollister and Abercrombie brands perform in fiscal 2025 (ANF)?

Hollister delivered record full year net sales with 15% growth and comps +13%. According to the company, Abercrombie sales declined 1% for the full year.

How much did ANF repurchase in shares during fiscal 2025 and what percent outstanding did that represent?

ANF repurchased $450 million of stock, buying 5.4 million shares. According to the company, that repurchase represented roughly 11% of shares outstanding at the start of the year.

What is ANF's fiscal 2026 full-year outlook for net sales, margin, and EPS?

ANF expects fiscal 2026 net sales growth of 3%–5%, operating margin of 12.0%–12.5%, and net income per diluted share of $10.20–$11.00, according to the company.

How much cash and liquidity did ANF report as of January 31, 2026?

As of January 31, 2026, ANF had $760 million in cash and equivalents and borrowing capacity under an ABL facility, totaling approximately $1.2 billion in liquidity, per the company.

What tariff assumption did ANF include in its 2026 outlook and how does it affect results?

ANF assumed a 15% tariff on U.S. imports effective Feb 24, 2026; the company estimates ~290 bps sales headwind in Q1 and ~70 bps for the full year, net of mitigation efforts.