Abercrombie & Fitch Company (ANF) shares jumped nearly 19% in premarket trading Wednesday after the retailer reported third-quarter results that sailed past Wall Street's expectations and raised its full-year guidance.

The Numbers Tell a Good Story

The company posted adjusted earnings per share of $2.36, comfortably ahead of the $2.16 analyst consensus. Quarterly sales hit $1.29 billion, up 7% from the prior year and slightly above the Street's $1.28 billion estimate.

Geographically, the sales growth came from solid 7% increases in both the Americas and EMEA regions, though these gains were partially offset by a 6% decline in the Asia-Pacific market.

Here's where things get interesting: Hollister brands absolutely crushed it with 16% year-over-year growth, powered by a strong back-to-school season and smooth transition into fall merchandise. Meanwhile, the flagship Abercrombie brands saw a 2% decline, creating an unusual contrast within the company's portfolio.

Operating margin came in at 12.0%, down from 14.8% in the prior year. As of November 1, 2025, inventories stood at $730 million, with cash and equivalents at $606 million.

Management Sounds Confident

"We remain on track toward record net sales for fiscal 2025, on the foundation of consistent quarterly top-line growth, top-tier profitability, and healthy cash flow," said CEO Fran Horowitz.

Looking Ahead

The company raised its full-year EPS guidance to $10.20-$10.50, up from the previous range of $10.00-$10.50, and above the $10.11 consensus estimate. Net sales growth expectations also got a boost to 6%-7%, compared to the prior outlook of 5%-7%.

For the fourth quarter specifically, Abercrombie expects EPS between $3.40 and $3.70 versus the $3.58 estimate, with net sales growth of 4%-6%.

ANF shares were trading up 19.07% at $78.12 as of the last check Wednesday.