Retailer Abercrombie & Fitch released its quarterly earnings report on Wednesday showing net sales for the company, which includes Hollister Co., are up 22% from a year earlier, as of the first quarter of 2024.
The company operates two chains of stores: its flagship Abercrombie & Fitch locations, as well as the teen-focused Hollister Co. While net sales at Hollister Co. stores were up 12% in the first quarter of 2024 compared to the same time in 2023, Abercrombie & Fitch stores had a 31% increase in the first quarter of 2024.
Company CEO Fran Horowitz said new trends in denim helped accelerate the company's growth.
"We are seeing some new trends happening in denim, which is exciting," Horowitz said. "The rise is actually going back down a little bit. So this low-rise baggy is coming in pretty strong. Wide-leg jeans are happening ... Denim is very important to our business. It always has been, but striking a balance on our assortments is most important."
Horowitz noted that sales among both men's and women's clothing are strong.
"Abercrombie's results this quarter were driven in part by our continued focus on building and growing concepts within the brand to speak to customers' needs in a relevant authentic way," Horowitz said.
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The company has also already started seeing a strong response to the launch of its Wedding Shop. In March, the company released 100 new pieces for brides, bachelorettes and wedding guests.
"The launch of this Wedding Shop has clearly exceeded our expectations from the beginning. And the wedding season hasn't even technically started yet, right? We got out ahead of that and got that in early," Horowitz said.
All told, the company operates nearly 750 locations throughout the world.
