Abercrombie & Fitch expects online growth to drive better Q4 results

In its updated fourth quarter 2020 plan, Abercrombie & Fitch Co. said, it now expects net sales to decline in the 5 percent to 7 percent range versus plan of down 5 percent to down 10 percent, reflecting ongoing digital momentum offset by store closures and capacity restrictions in North America and EMEA. The company anticipates gross profit rate to be up at least 130 basis points to last year’s 58.2 percent versus plan of flat to up slightly, benefiting from reduced depth and breadth of promotions and markdowns relative to plan and to last year.