Benzinga | Jan 11, 2022 08:07AM EST

Urban Outfitters Says Total Net Sales For 2 Months Ended Dec. 31, 2021 Increased 14.6% Vs Same Period In 2019

Total Company net sales for the two months ended December 31, 2021, increased 14.6% compared to the two months ended December 31, 2019. Comparable Retail segment net sales increased 14%, driven by strong double-digit growth in digital channel sales, partially offset by high single-digit negative retail store sales primarily due to reduced store traffic. By brand, comparable Retail segment net sales increased 47% at the Free People Group, 15% at the Anthropologie Group and 3% at Urban Outfitters. Total Retail segment net sales increased 15%. Wholesale segment net sales decreased 18% primarily from reducing the Free People Group's sales to promotional wholesale customers. URBN now believes that the total Company fourth quarter gross margin could deleverage due to higher than anticipated inbound transportation costs.

For the eleven months ended December 31, 2021, total Company net sales increased 14.4% compared to the eleven months ended December 31, 2019. Comparable Retail segment net sales increased 16%, driven by strong double-digit growth in digital channel sales, partially offset by low double-digit negative retail store sales due to reduced store traffic. Wholesale segment net sales decreased 22% primarily from reducing the Free People Group's sales to promotional wholesale customers.