Abercrombie & Fitch (ANF) 8-K Abercrombie & Fitch Reports Second Quarter Results

Abercrombie & Fitch Co.
Financial Information
(Unaudited)
(in thousands, except per share data and store data)
										Fiscal 2015														Fiscal 2016
	2012			2013			2014			Q1			Q2			Q3			Q4		2015			Q1			Q2			2016
Net sales	$	4,510,805		$	4,116,897		$	3,744,030		$	709,422		$	817,756		$	878,572		$	1,112,930	$	3,518,680		$	685,483		$	783,160		$	1,468,643
Cost of sales, exclusive of depreciation and amortization	1,694,096			1,541,462			1,430,460			297,873			307,894			318,785			436,585		1,361,137			259,762			306,053			565,815
Gross profit	2,816,709			2,575,435			2,313,570			411,549			509,862			559,787			676,345		2,157,543			425,721			477,107			902,828
Stores and distribution expense	1,980,519			1,907,687			1,703,051			391,638			389,193			392,942			430,441		1,604,214			369,118			382,917			752,035
Marketing, general and administrative expense	473,883			481,784			458,820			107,533			119,846			117,698			125,244		470,321			114,447			111,719			226,166
Restructuring charge (benefit)	—			81,500			8,431			(1,598		)	—			—			—		(1,598		)	—			—			—
Asset impairment	7,407			46,715			44,988			6,133			—			12,076			—		18,209			—			6,356			6,356
Other operating (income) expense, net	(19,333		)	(23,074		)	(15,239		)	(1,960		)	(1,139		)	(3,919		)	577		(6,441		)	(2,933		)	(13,080		)	(16,013		)
Operating income (loss)	374,233			80,823			113,519			(90,197		)	1,962			40,990			120,083		72,838			(54,911		)	(10,805		)	(65,716		)
Interest expense, net	7,288			7,546			14,365			4,639			4,567			4,586			4,456		18,248			4,506			4,741			9,247
Income (loss) from continuing operations before taxes	366,945			73,277			99,154			(94,836		)	(2,605		)	36,404			115,627		54,590			(59,417		)	(15,546		)	(74,963		)
Tax expense (benefit) for continuing operations	129,934			18,649			47,333			(31,590		)	(3,217		)	(5,881		)	56,719		16,031			(20,787		)	(3,515		)	(24,302		)
Net income (loss) from continuing operations	237,011			54,628			51,821			(63,246		)	612			42,285			58,908		38,559			(38,630		)	(12,031		)	(50,661		)
Less: Net income attributable to noncontrolling interests	—			—			—			—			1,422			394			1,167		2,983			957			1,098			2,055
Net income (loss) attributable to Abercrombie & Fitch Co.	$	237,011		$	54,628		$	51,821		$	(63,246	)	$	(810	)	$	41,891		$	57,741	$	35,576		$	(39,587	)	$	(13,129	)	$	(52,716	)

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							Fiscal 2015												Fiscal 2016
	2012		2013		2014		Q1			Q2			Q3		Q4		2015		Q1			Q2			YTD
Net income (loss) per share from continuing operations attributable to Abercrombie & Fitch Co.:
Basic	$	2.89	$	0.71	$	0.72	$	(0.91	)	$	(0.01	)	$	0.61	$	0.86	$	0.52	$	(0.59	)	$	(0.19	)	$	(0.78	)
Diluted	$	2.85	$	0.69	$	0.71	$	(0.91	)	$	(0.01	)	$	0.60	$	0.85	$	0.51	$	(0.59	)	$	(0.19	)	$	(0.78	)
Net income (loss) per share attributable to Abercrombie & Fitch Co.:
Basic	$	2.89	$	0.71	$	0.72	$	(0.91	)	$	(0.01	)	$	0.61	$	0.86	$	0.52	$	(0.59	)	$	(0.19	)	$	(0.78	)
Diluted	$	2.85	$	0.69	$	0.71	$	(0.91	)	$	(0.01	)	$	0.60	$	0.85	$	0.51	$	(0.59	)	$	(0.19	)	$	(0.78	)
Weighted-average shares outstanding:
Basic	81,940		77,157		71,785		69,510			69,713			68,866		67,432		68,880		67,625			67,944			67,785
Diluted	83,175		78,666		72,937		69,510			69,713			69,265		68,243		69,417		67,625			67,944			67,785
Abercrombie comparable sales (1)					(5)%		(9)%			(7)%			(5)%		(2)%		(6)%		(8)%			(7)%			(7)%
Hollister comparable sales	(1)%		(14)%		(10)%		(6)%			(1)%			3%		4%		—%		—%			(2)%			(1)%
Comparable sales (2)	(1)%		(11)%		(8)%		(8)%			(4)%			(1)%		1%		(3)%		(4)%			(4)%			(4)%
Shares outstanding	78,445		76,402		69,352		69,557			69,600			67,153		67,348		67,348		67,605			67,666			67,666
Number of stores - end of period (3)	1,041		1,006		969		962			954			965		932		932		925			926			926
Gross square feet - end of period	7,958		7,736		7,517		7,456			7,434			7,477		7,292		7,292		7,209			7,209			7,209
(1) Abercrombie includes the Company's Abercrombie & Fitch and abercrombie kids brands.
(2) Comparable sales are calculated on a constant currency basis and exclude Gilly Hicks beginning in Q4 of fiscal 2014.
(3) Prior period store counts have been restated to count multi-brand outlet stores as a single store.

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