Urban Outfitters says Q1 revenue growth could be ‘similar to Q4’

CFO Melanie Marein-Efron states: "We are pleased that overall consumer demand has remained strong to start the quarter, and we believe this strength will continue throughout the first quarter. Right now, we believe that first quarter total company sales growth could be similar to Q4. Sales growth in Q1 could result from a doubling of Nuuly segment year and Retail segment comp sales growing low single digit. Our growth in the Retail segment and Nuuly segments is likely to be partially offset by sales decline in our Wholesale segment. Additionally, similar to the fourth quarter, we believe that foreign exchange could negatively impact total sales growth by approximately 100 basis points. Based on current sales performance and plan, we believe our gross profit margins for Q1 could improve by approximately 100bps vs. Q1 of FY23." Comments taken from Q4 earnings conference call.