Abercrombie & Fitch

Q2 FY2027 EarningsQ2 FY27 delivered a significant beat on the bottom line, with Diluted EPS of $4.17 well above the $1.97 consensus. Net sales reached $1.27B, slightly exceeding the $1.25B expectation, while operating income of $252.7M surged past the $128.8M mean estimate. A massive ~850bps YoY improvement in gross margin was fueled by a $100M IEEPA tariff refund, though this was partially offset by increased SG&A expenses. Management's execution in the Americas and APAC remains strong, while EMEA continues to face comparable sales headwinds.