Abercrombie & Fitch Company (ANF)

Net profit margin

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Net income (ttm)	US$ in thousands	328,123	208,009	109,584	35,856	2,816	37,048	86,495	211,829	270,066	279,893	274,931	171,895	-114,021	-113,281	-149,029	-185,635	39,358	-19,855	-30,231	-41,550
Revenue (ttm)	US$ in thousands	4,280,679	4,027,579	3,851,233	3,720,979	3,697,747	3,659,287	3,684,363	3,744,122	3,712,765	3,673,455	3,587,948	3,421,426	3,125,380	3,187,890	3,231,709	3,374,459	3,623,072	3,299,716	3,278,658	3,168,479
Net profit margin		7.67%	5.16%	2.85%	0.96%	0.08%	1.01%	2.35%	5.66%	7.27%	7.62%	7.66%	5.02%	-3.65%	-3.55%	-4.61%	-5.50%	1.09%	-0.60%	-0.92%	-1.31%

February 3, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $328,123K ÷ $4,280,679K
= 7.67%

The net profit margin of Abercrombie & Fitch Company has shown fluctuations over the period observed. In the most recent period ending February 3, 2024, the net profit margin was 7.67%, reflecting a healthy profitability level. This indicates that for every dollar of revenue generated by the company, 7.67 cents translated into profit.

The trend in net profit margin has demonstrated improvement compared to the earlier periods, with a significant increase from the negative margins reported in early 2021. This positive trend suggests enhanced efficiency in cost management and revenue generation activities within the company.

It is essential for Abercrombie & Fitch Company to maintain this upward trajectory in net profit margin to ensure sustained profitability and shareholder value creation. Additionally, the company should continue to monitor and optimize its operational efficiency to capitalize on revenue growth opportunities while managing costs effectively.