=Abercrombie & Fitch (ANF) reported earnings on Fri 1 June 2018 (b/o)

Abercrombie & Fitch beats by $0.21, beats on revs; guides FY19 revs above consensus; comps +5% 

• Reports Q1 (Apr) loss of $0.56 per share, excluding non-recurring items, $0.21 better than the Capital IQ Consensus of ($0.77); revenues rose 10.6% year/year to $730.9 mln vs the $695.68 mln Capital IQ Consensus. Comparable sales increased 5%, with Hollister up 6% and Abercrombie up 3%. Gross margin expanded to 60.5%, up 20 basis points from last year.
• Co issues upside guidance for FY19, sees FY19 revs of +2-4% to ~$3.56-3.63 bln (prior guidance was for low single digit growth) vs. $3.55 bln Capital IQ Consensus Estimate. Comparable sales to be up in the range of 2% to 4%. Net sales in the second quarter to be up high-single digits, including benefits from changes in foreign currency exchange rates and the calendar shift. A gross profit rate up slightly from the fiscal 2017 rate of 59.7%