- Facebook/Abercrombie and Hollister
& Fitch reported strong sales growth in the fourth
quarter of 2017.
- This growth was driven by greater investment in stores,
marketing, and omnichannel experiences.
- The company confirmed it would be closing up to 60 of
its Abercrombie & Fitch and Hollister stores in
& Fitch is bouncing back by cutting stores.
On Wednesday, the company was praised by analysts after it
announced positive same-store sales growth in its fourth-quarter
results. Same-store sales were up 9% overall at the company,
boosted by 11% growth at Hollister and 5% at the Abercrombie
However, the company also announced it would be closing up to 60
Abercrombie and Hollister stores in 2o18.
The company has made a significant investment in its stores
over the past year. In 2017, it created seven new
Abercrombie prototype stores, downsized 16 of its stores, and
On a call with investors on Wednesday morning, CFO Joanne
Crevoiserat said that growth in the quarter was driven by strong
direct-to-consumer sales and better traffic in stores.
"The physical store still serves an important role for a customer
journey from a brand experience," Crevoiserat said.
The company has closed more than 400 stores since 2010, and 60%
of its leases are expiring over the next two years,
The company has not yet confirmed which stores would be closing.
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