Abercrombie & Fitch Profit Rises, Margins Narrow

Teen retailer Abercrombie & Fitch Co. reported a 29% increase in fiscal third-quarter profit, helped by international sales and a strong back-to-school season, but profit margins narrowed.

The high-priced teen-apparel retailer has shown signs of recovery from woeful year-earlier results--including international sales that have continued their recent strength with an 87% increase in the latest period. Overall, retailers finished the back-to-school season strong, raising hopes for the holidays, though much of the sales came at the cost of heavy promotions in a competitive environment, especially among those catering to teens.

At Abercrombie & Fitch, gross margin narrowed to 63.7% from 64.1%.

For the quarter ended Oct. 30, Abercrombie & Fitch posted a profit of $50 million, or 56 cents a share, up from $38.8 million, or 44 cents a share, a year earlier, which included a net 9-cent tax gain.

The company said earlier this month net sales climbed 18% to $885.8 million, following last year's 15% drop. Same-store sales rose 7% while direct-to-consumer sales rose 32%.

Black Pearl in the upper teeth at least ten thousand dollars per

Currently, varieties of pearls on the market summed up in two categories: natural pearls and cultured pearls. Natural pearls are extremely rare, seen currently on the market almost all cultured pearls. Today, pearls are cheap, completely unable to feel it's valuable, which is flooding the market with a large number of low-grade freshwater pearls on. At present, the total production of freshwater pearls reach 2,000 tons, accounting for more than 90% of the world, but although the absolute advantage in production, quality is generally not high, with a basket at the exhibition to the scene said the common pearl, pearls become cheap goods.
By contrast, foreign sudden emergence of high-quality water beads. Sea water droplets good quality, popular in the international market, while the rare South Sea pearls and black pearls the most expansive, record breaking high in the auction market. South Sea pearls from Australia, Indonesia, Philippines, flashing golden color brandy-like most sought after South Sea pearl, bead diameter 12 mm golden South Sea pearls each tablet at least $ 20,000. South Sea Pearl is more rare than the black pearls, South Sea Pearl annual production is only 1%, most produced in the Polynesian island of Tahiti, a bead diameter of 10 to 14 mm in the upper Black Pearl has more than ten thousand U.S. dollars . "Global financial tsunami, freshwater pearl price instability, but the top water beads are still highly sought after people. And as climate warming, South Sea pearls, black pearl production be affected, the price of space is expected to rise." Wang Xiangxin said.