Urban Outfitters Inc. got an after-market jolt from a turnaround in its comparable-stores sales.
This story first appeared in the December 13, 2011 issue of WWD. Subscribe Today.
The retailer, which posted a 7 percent comp drop for its third quarter ended Oct. 31, said comps were trending toward a midsingle-digit increase this quarter, according to a filing with the Securities and Exchange Commission Monday afternoon.
Investors seized on the reversal and pushed shares of the company up 9.6 percent to $28.99 in after-market trading. That increase came on top of the stock’s 0.5 percent gain during normal trading hours.
Urban Outfitters has been in need of some good news lately, having seen its net income fall in each of the last four quarters.
Last quarter, chief executive officer Glen Senk said tops were a problem, but that the company was tweaking its online assortment to get the formula right and than making the corresponding changes in the stores.