Urban Outfitters Reports Record Q3 Results

Strong performance across brands and geographies, with accelerating Nuuly subscriber growth

Mar. 3, 2026 at 4:55am

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Urban Outfitters (NASDAQ:URBN) reported record third-quarter fiscal 2024 results, with management highlighting broad-based strength across brands and geographies, accelerating subscriber growth at Nuuly, and continued progress on margin improvement despite tariff-related pressure. Total revenue rose 12% and net income increased 13%, both setting new third-quarter records.

Why it matters

Urban Outfitters' strong quarterly performance demonstrates the company's ability to navigate macroeconomic challenges and deliver consistent growth across its diverse portfolio of retail brands. The accelerating subscriber growth at Nuuly, the company's rental subscription service, also highlights the success of its diversification strategy beyond traditional retail.

The details

Chief Executive Officer Richard Hayne said all brands produced positive comparable sales across all geographies, with double-digit comps at Urban Outfitters in North America and Europe, and 'exceptional growth' in subscribers and revenue at Nuuly. Gross profit dollars increased 13% to a record $563 million, while gross margin improved 31 basis points to 36.8%, despite a $2 million impairment charge. SG&A rose 14%, driven by higher marketing spend, but operating income increased more than 12% to $144 million.

  • Urban Outfitters reported record third-quarter fiscal 2024 results on February 28, 2026.

The players

Urban Outfitters, Inc.

A global lifestyle retailer headquartered in Philadelphia, Pennsylvania, established in 1970 and operating multiple retail concepts.

Richard Hayne

Chief Executive Officer of Urban Outfitters, Inc.

Nuuly

Urban Outfitters' rental subscription service, which saw accelerating subscriber growth in the quarter.

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What they’re saying

“All brands produced positive comps across all geographies, with double-digit comparable sales at the Urban Outfitters brand in North America and Europe and exceptional growth in subscribers and revenue at Nuuly.”

— Richard Hayne, Chief Executive Officer

The takeaway

Urban Outfitters' strong third-quarter performance, driven by broad-based growth across its brands and the success of its Nuuly rental subscription service, demonstrates the company's ability to adapt to changing market conditions and consumer preferences while maintaining a diverse portfolio of successful retail concepts.