Executive Summary

• Urban Outfitters reported fiscal 2Q19 revenues of $962.3 million, lower than the consensus estimate of $980.6 million and down 3% year over year. The company reported 2Q19 earning per share (EPS) of $0.61, above the consensus estimate of $0.58 and down 27.4% from the year ago period.
• Comparable net sales decreased 3%, compared to the consensus estimate of down 2%, driven by negative retail store sales growth, partially offset by growth in digital.
• Management said 3Q19 should bring improved comps driven by improved assortments in the apparel category. Gross margin for 3Q19 could decline by approximately 200 basis points.