Abercrombie & Fitch Reports Higher Q3 Profit Above View; To Buy Back Up To $500 Mln Of Shares

(RTTNews) - Abercrombie & Fitch Co. (ANF) on Tuesday reported higher net income in the third quarter, helped by revenue growth in its largest market U.S and also improved digital sales. The Board also approved a new share buyback program of up to $500 million.

Net income was $47.23 million or $0.77 per share in the third quarter, higher than 42.27 million or $0.66 per share in the same quarter a year ago.

Excluding one-time items, earnings were $0.86 per share, that beat the average estimate of ten analysts polled by Thomson Reuters at $0.66 per share. Analysts' estimates typically exclude special items.

Net sales for the quarter increased 10 percent year-over-year at $905.16 million from $819.65 million. The consensus estimate was for $896.86 million.

There has been a 17% growth in its U.S. market year-on-year. It also reported digital sales growth of 8 percent from last year.

The company's Board has approved a new share repurchase program of up to $500 million, replacing the old one of 10 million shares, announced in February, which had about 3.9 million shares remaining.

Abercrombie & Fitch stock is down more than 6% in pre-market. Monday it closed at $47.04, up $1.85 or 4.09%.