According to www.just-style.com, Abercrombie & Fitch reported record second-quarter net sales of $1.27bn for the period ended 1 August 2026, reflecting a 5% increase year-over-year and marking its 15th consecutive quarter of net sales growth.
Regional and brand performance
Sales rose across all geographic regions: the Americas grew 5%, Asia-Pacific surged 19%, and Europe, the Middle East and Africa (EMEA) advanced 2%. Within the portfolio, Abercrombie brands delivered an 8% net sales increase, while Hollister posted a 2% rise — both achieving their highest second-quarter sales on record.
Abercrombie & Fitch CEO Fran Horowitz stated:
“We delivered record second quarter net sales and our 15th consecutive quarter of growth, reflecting our teams’ continued focus on serving customers with compelling product, marketing, and experiences. Growth was balanced across our brands and regions, highlighted by accelerating momentum in the Americas and improving trends in EMEA.” — Fran Horowitz, CEO of Abercrombie & Fitch
The company attributed the broad-based expansion to disciplined execution across distribution channels and product categories, with particular strength in core apparel and seasonal collections launched during the quarter.
Financial results and margin expansion
Operating income for Q2 FY26 totaled $253m, up from $207m in the prior-year quarter. The operating margin improved to 19.9%, compared to 17.1% in Q2 FY25 — a gain partly driven by IEEPA tariff refunds that reduced cost of sales. Reported net income per diluted share reached $4.17, exceeding the prior-year figure of $2.91.
Both the operating margin and earnings per share surpassed internal expectations even before accounting for the one-time tariff benefit, underscoring underlying operational leverage.
The company confirmed the tariff refund impact will contribute approximately 160 basis points to the third-quarter operating margin, supporting a projected range of 13.0% to 14.0% for that period.
Revised full-year 2026 guidance
Abercrombie & Fitch raised its fiscal 2026 outlook, now forecasting net sales growth of approximately 5%, up from the previous range of 3% to 5%. Operating margin is expected to land between 14.5% and 15%, versus the earlier estimate of 12% to 12.5%. Net income per diluted share is projected at $13.10 to $13.60, revised upward from $10.20 to $11.00.
For Q3 FY26, the retailer anticipates net sales growth of 5% to 6% and net income per diluted share of $2.90 to $3.20. It also reaffirmed plans to return at least $500 million to shareholders via share repurchases this fiscal year.
Horowitz added:
“After a strong start to the year, we are updating our full-year sales and operating margin outlook and remain confident in our long-term growth path and investment priorities. Importantly, we are adding incremental growth levers across partnerships, distribution channels and product categories.” — Fran Horowitz, CEO of Abercrombie & Fitch
Source: Just Style
Compiled from international media by the SCI.AI editorial team.
