Abercrombie & Fitch (ANF) Q3 2025 earnings

shares Abercrombie & Fitch It rose 20% in morning trading Tuesday after the company reported 7% growth in quarterly sales and issued its holiday guidance.

Abercrombie, which operates its namesake brand and Hollister, expects fiscal fourth-quarter sales to rise between 4% and 6%, significantly below Wall Street’s forecast of 5.6% growth, according to LSEG. It expects earnings per share to range between $3.40 and $3.70, roughly in line with expectations of $3.55 per share.

Abercrombie beat Wall Street expectations at the top and bottom of its fiscal third quarter. Here’s how the apparel retailer fared in the period ending November 1 compared to what Wall Street was expecting, based on a survey of analysts conducted by LSEG:

• EPS: $2.36 vs. $2.16 expected
• profit: $1.29 billion versus $1.28 billion expected

The company’s reported net income for the quarter was $113 million, or $2.36 per share, compared to $131.98 million, or $2.50 per share, in the previous year.

Sales rose to $1.29 billion, up about 7% from $1.21 billion the previous year.

During the quarter, sales at the Abercrombie brand fell 2% to $617.35 million, well below analysts’ expectations of $631.8 million, according to StreetAccount. Comparable sales fell by a staggering 7%.

For at least the third straight quarter, Hollister bailed out the retailer, with sales rising 16% to $673.27 million, well above analysts’ expectations of $649.7 million, according to StreetAccount. Comparable sales increased 15%.

The company’s namesake banner has fueled its comeback in recent years, but now that the Abercrombie brand’s growth has begun to moderate, Hollister has picked up the baton. Sales at Abercrombie are expected to be flat in the current quarter, CEO Fran Horowitz said, indicating that growth at Hollister is set to drive the company’s holiday shopping season.

Last quarter, Horowitz said the slowdown at Abercrombie was related to old inventory that the company needed to reduce for sale. She said she expected the brand to return to growth by the end of the year, but that no longer appears to be the case.

During Abercrombie’s conference call, investors will be looking for details about the company’s plan to reignite growth at its namesake brand.