A&F Sales Fell More Than Expected, About 1/3 Business From Overseas Markets.

In the first 13 weeks ended January 31, 2015, Abercrombie & Fitch Co. (NYSE:ANF) sales fell by 10% compared with the same period last year, far exceeding the market forecast of 8.2%, of which Abercrombie & Fitch, Hollister and Hollister two brands were down 9% and 11%, respectively.

Net sales decreased by 13.8% to $1 billion 120 million a year, less than $1 billion 170 million expected by the market.

Net profit fell from $66 million 106 thousand in the same period in fiscal 2013 to 44 million 388 thousand US dollars, a decrease of 32.9%. EPS decreased from 0.85 US dollars to 0.69 US dollars, and adjusted EPS to US $1.15, which is in line with market expectations.

Abercrombie & Fitch Co. (NYSE:ANF) crashed more than 8% before Wednesday, expanding to 11% in early trading.

As of Tuesday, the stock fell 16% in 2015, while the S & P 500 rose 2.4%.

Abercrombie & Fitch Co. (NYSE:ANF) chairman Arthur Martinez predicts that the decline of the group will continue in the first half of the current fiscal year 2015.

Last year, the group decided to withdraw from the sale of logo clothing in the North American market in the spring of 2015. It is expected that the negative effects of the reduction in sales of logo products will be gradually reduced in the first half of the year, and will be neutralized in the second half of the year.

In the year ended January 31, 2015, the group achieved a net profit of 51 million 800 thousand US dollars, a 4.1% back from the previous year's US $54 million 600 thousand, and EPS EPS rose from $0.69 to US $0.71, adjusted by US $1.54.

Net sales totaled $3 billion 744 million, a decrease of 9.1% compared with $4 billion 117 million in the previous year.

Whole

Slipped 8%, Abercrombie & Fitch and Hollister two brands fell 4% and 10% respectively, which was worse than group expectations.

Thanks to cost reduction and business restructuring, the fourth quarter

A sharp increase of 190 base points to 60.9%, but the gross margin of the whole year decreased by 80 basis points, from 62.6% to 61.8%.

About 1/3 business comes from

Abercrombie & Fitch Co. (NYSE:ANF) warned that the strength of the dollar will continue to weaken this year's performance.

The group's top priority this year is to improve the sales of both the US and the international market through upgrading product categories and customer experience, and will also increase strategic investment directly in the face of consumer channels and multi-channel businesses.

The group did not give specific forecast data for annual sales and EPS.

Mike Jeffries, the former chief executive of Abercrombie & Fitch Co. (NYSE:ANF) for more than 20 years, suddenly announced her retirement in December last year.

At present, the group is in a power vacuum and is still actively looking for the successor of Mike Jeffries. This is a top priority for Abercrombie's Fitch Co. (NYSE:ANF).