Urban Outfitters Achieves Record Q3 Sales and Income

Urban Outfitters ( (URBN) ) has released its Q3 earnings. Here is a breakdown of the information Urban Outfitters presented to its investors.

Urban Outfitters, Inc. is a lifestyle products and services company that operates a diverse portfolio of global consumer brands, including Anthropologie, Free People, FP Movement, Urban Outfitters, and Nuuly, primarily in the retail sector.

Urban Outfitters reported record-breaking financial results for the third quarter of 2025, with net income reaching $116.4 million and earnings per diluted share at $1.28. The company’s total net sales for the quarter increased by 12.3% to $1.53 billion, marking a significant achievement in its financial performance.

Key highlights of Urban Outfitters’ financial performance include a 9.6% increase in total retail segment net sales, driven by an 8.0% rise in comparable retail segment net sales. The subscription segment saw a remarkable 48.7% increase in net sales, fueled by a 42.2% growth in average active subscribers. Additionally, the wholesale segment experienced a 7.6% increase in net sales, primarily due to an 8.4% rise in Free People wholesale sales. The company’s gross profit rate improved by 31 basis points for the quarter, contributing to a 13.3% increase in gross profit dollars.

The company’s strategic initiatives, including the opening of 41 new retail locations and the repurchase of 3.3 million shares, reflect its commitment to growth and shareholder value. Urban Outfitters’ effective tax rate decreased slightly, contributing to its overall positive financial results.

Looking ahead, Urban Outfitters remains optimistic about its diversified business model, which has demonstrated resilience and adaptability in capturing market share and driving consistent long-term growth. The company’s management continues to focus on expanding its digital and retail channels to sustain its upward trajectory.