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Abercrombie & Fitch Q3 2025 earnings: key takeaways

Abercrombie & Fitch Q3 2025 earnings underscore steady momentum into the peak season. Management tightened guidance and signaled confidence.

• Net sales rose 7% to about $1.29 billion. Diluted EPS was $2.36. Operating margin reached 12.0%.
• The company narrowed full‑year ranges to 6%–7% sales growth and $10.20–$10.50 EPS. The abercrombie operating margin 2025 outlook remains 13.0%–13.5%.
• abercrombie q4 2025 guidance calls for 4%–6% sales growth, EPS of $3.40–$3.70, a ~30% tax rate, and ~14% operating margin.
• Brand mix was mixed: hollister q3 2025 sales growth was 16%, while Abercrombie brands declined 2% year over year.
• The company executed $100 million in Q3 buybacks and $350 million year‑to‑date. The plan for abercrombie share repurchases 2025 is about $450 million.
• Shares jumped about 18% in premarket trading on the news.

Abercrombie & Fitch Q3 2025 earnings by the numbers

Revenue landed near $1.29 billion, up 7% year over year. Profitability held, with a 12.0% operating margin and $2.36 diluted EPS. Comparable sales increased, according to available reports.

Moreover, the results aligned with the company’s full‑year parameters. That said, management still highlighted discipline on costs and inventory. This supports the abercrombie operating margin 2025 framework.

Timeline: Q3 results, FY2025 outlook update, Q4 guidance

• Nov. 25: Abercrombie & Fitch Q3 2025 earnings were released alongside detailed commentary.
• The company then tightened its full‑year view and nudged the low end higher. In effect, abercrombie 2025 outlook raised the floor on growth and EPS.
• Finally, abercrombie q4 2025 guidance arrived with clear ranges for sales, EPS, margin, and tax.
• On the same day, shares rose sharply, with moves of roughly 18% reported premarket.

FY2025 outlook raised and narrowed to 6%–7% growth

Management now expects 6%–7% net sales growth and EPS of $10.20–$10.50. With abercrombie 2025 outlook raised, the ranges are tighter while the abercrombie operating margin 2025 stays at 13.0%–13.5%. Additionally, leadership emphasized consistent execution against demand signals.

Therefore, the company sees durable profitability even with mixed brand trends. The update focuses expectations into a tighter band.

Q4 FY2025 guidance: 4%–6% sales growth, EPS $3.40–$3.70

For the holiday quarter, abercrombie q4 2025 guidance points to 4%–6% sales growth and EPS of $3.40–$3.70. The company also modeled an effective tax rate around 30% and an operating margin near 14%. This sits above the midpoint of abercrombie operating margin 2025 for the full year.

Furthermore, management signaled continued cost discipline. Inventory and promotions remain key watch items.

Brand performance: Hollister up, Abercrombie down

Hollister led the quarter. hollister q3 2025 sales growth reached 16% year over year, according to company disclosures. Meanwhile, Abercrombie brands declined 2% in the period.

Notably, Reuters reported Hollister represents over half of total sales. As a result, strong hollister q3 2025 sales growth cushioned softness in the namesake brand.

Capital returns: $100M Q3 buybacks, ~$450M FY target

The company repurchased $100 million of shares in Q3 and $350 million year‑to‑date. Moreover, abercrombie share repurchases 2025 are now targeted at approximately $450 million. That plan underscores confidence in free cash flow and valuation.

Additionally, management intends to keep capital allocation balanced. abercrombie share repurchases 2025 will proceed alongside growth investments.

What’s Next

Focus shifts to holiday execution and delivering within guidance. Abercrombie & Fitch Q3 2025 earnings set a base for the quarter ahead. As abercrombie q4 2025 guidance plays out, investors will monitor traffic, inventory, and margin.

Looking ahead, abercrombie 2025 outlook raised and cost discipline frame expectations. Continued brand mix improvement and the abercrombie operating margin 2025 target remain key.