The Clap
Abercrombie & Fitch (NYSE: ANF) reported an EPS of 1 cent, while analysts were expecting a 0.16 cents loss, prompting the stock to surge more than 21% during the session.
What
During Q3, demand for the company’s product remained relatively study, which led the company to a profitable quarter.
So What
The company overcame increased inflation, while Q4 is expected to be similar to pre-pandemic holiday seasons.
In October, the company saw slower demand which can potentially be attributed to earlier shopping due to inventory issues, a problem faced during 2021.
Now What
A&F’s attempt to deal with excess inventory proved successful, as this attracted wealthier shoppers who are more unfazed by inflation.
