Monday (March 10), CEO Richard Hayne of the teen apparel store Urban Outfitters reported during a conference call that "when the fashion did change, a number of people, including us, didn’t call the fashion as well as we could have."
Since opening its doors in 1970, UO has been struggling to stay afloat with its chain related clothing stores such as Free People and Anthropologie. Richard Hayne believes it to be an issue regarding their "fashion hits" and misses and also difficulties to sell to the teen market:
Urban Outfitters reported record fourth quarter sales and earnings last night, but this was mainly driven by strong performance at its Anthropologie stores (where sales from stores open for at least a year were up 10%) and its Free People stores (up 20%.) The Urban Outfitters chain continues to struggle: same-store sales were down 9%. The company’s share price has fallen by about 5% this morning."
According to Reuters: "Urban Outfitters' shares were down at $36.75 in trading after the bell. The stock closed at $37.51 on the Nasdaq on Monday."
UO will now attempt to follow more trends in order to sell to young adults and will also stay in tune with the weather to accommodate all climates.