Urban Outfitters, Inc. (NASDAQ:URBN) stock was falling on Wednesday following the release of its earnings report for the third quarter of 2016.
Urban Outfitters, Inc. reported earnings per share of 40 cents for the third quarter of the year. This is down from its earnings per share of 42 cents in the same quarter of 2015. It also didn’t meet Wall Street’s earnings per share estimate of 44 cents for the quarter.
Revenue reported by Urban Outfitters, Inc. in the third quarter of 2016 was $862.49 million. The retail company reported revenue of $825.26 million during the third quarter of the year prior. Analysts were estimating that it would report revenue of $869.07 million in the third quarter of the year.
Urban Outfitters, Inc. reported net income of $47.36 million during its third quarter of 2016. This is down from the $51.99 million in net income that URBN reported during the same time of last year.
Urban Outfitters, Inc. said that its gross profits for the third quarter of 2016 were down 15 basis points when compared to the same time last year. It attributes this decline to an increase in its direct-to-consumer channel. The company says this had customer delivery and overall logistics expense rates for the quarter increasing.
“”I am pleased to announce our teams delivered record third quarter sales,” Richard A. Hayne, CEO of Urban Outfitters, Inc., said in a statement. “These results were driven by the third consecutive quarter of positive Retail segment ‘comps’ and continued strength in our Wholesale segment.”
URBN stock was down 9% as of Wednesday morning, but is up 55% year-to-date.
