- Abercrombie & Fitch’s shares soared 25% last month after the company reported its fifth consecutive quarter of positive same-store sales growth.
- Abercrombie & Fitch, which also owns Hollister and Abercrombie Kids, has been working to execute a turnaround at its namesake brand by investing in its stores, closing unprofitable locations, improving product assortment, and shaking off its ’90s brand image.
- Business Insider has crowned the company retail’s biggest comeback of 2018.
Abercrombie’s comeback has been almost four years in the making, but it finally came to fruition in 2018.
As a result, the teen-turned-millennial-focused brand, which counts Hollister and Abercrombie Kids as its sister brands, has been crowned Business Insider’s biggest comeback in retail this year.
Last month, its parent company reported its fifth consecutive quarter of positive same-store sales growth; the Abercrombie brand alone had its fourth consecutive quarter of positive same-store sales growth.
At the time, analysts praised the company for being on the steady road to recovery. The company’s stock soared as much as 25% shortly after it reported earnings.
“The recovery at Abercrombie & Fitch is still a work in progress. However, turning around a once very troubled brand is far from easy,” Neil Saunders, managing director of GlobalData Retail, wrote in a note to clients at the time.
He continued: “Progress and advancement do not all come at once; this is a step-by-step process that will build over time. We are satisfied that management is on the right road to recovery.”
CEO Fran Horowitz has been leading a turnaround effort since she took the helm in February 2017. She has invested in stores, closed unprofitable locations, improved product assortment, and worked hard to change the perception of the brand with new marketing.
“We are not the Abercrombie & Fitch that you once knew,” Horowitz said to an audience at the New…