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ABERCROMBIE & FITCH CO . REPORTS THIRD QUARTER RESULTS New Albany , Ohio , November 23 , 2021 : Abercrombie & Fitch Co. ( NYSE : ANF ) today announced results for the third quarter ended October 30 , 2021. These compare to results for the third quarter ended October 31 , 2020. Descriptions of the use of non GAAP financial measures and reconciliations of GAAP and non - GAAP financial measures accompany this release . Achieves best third quarter operating income and operating margin since 2012 Announces Board of Director's approval of $ 500 million share repurchase program Fran Horowitz , Chief Executive Officer , said , " We were very pleased with our third quarter results . Total net sales grew 10 % year over - year , or 5 % from 2019 levels . Our largest market , the U.S. , experienced ongoing strength , growing 17 % on a one - year and 12 % on a two - year basis . Digital net sales rose 8 % from last year , representing 46 % of total third quarter sales . Gross profit rate declined 30 basis points on a one - year and increased 360 basis points on a two - year basis , benefiting from AUR improvements , offset by elevated supply chain costs . Combined with ongoing tight expense controls , we achieved an 8 % operating margin , representing our best third quarter operating margin and income since 2012. " " The start of the holiday season has been promising . Customers have come out early to shop and have been responding well to assortments . We continue to actively manage through ongoing supply chain constraints , including production and delivery delays and elevated costs , and are confident that we have the product , marketing voice and omnichannel experience to surprise and delight new and existing customers throughout the fourth quarter . " Details related to net income per diluted share for the third quarter are as follows : GAAP Excluded items , net of tax effect ( 1 ) Adjusted non - GAAP Impact from changes in foreign currency exchange rates ( ² ) . . $ $ $ 2021 0.77 $ ( 0.09 ) 0.86 $ Adjusted non - GAAP constant currency ( 1 ) Excluded items consist of pre - tax store asset impairment charges and the tax effect of pre - tax excluded items . ( 2 ) The estimated impact from foreign currency is calculated by applying current period exchange rates to prior year results using a 26 % tax rate . 0.86 $ 1 2020 A summary of results for the third quarter ended October 30 , 2021 as compared to the third quarter ended October 31 , 2020 : Net sales of $ 905 million , up 10 % as compared to last year and up 5 % as compared to pre - COVID 2019 third quarter net sales . 0.66 ( 0.09 ) 0.76 ( 0.05 ) 0.71 Digital net sales of $ 413 million increased 8 % as compared to last year and increased 55 % as compared to pre - COVID 2019 third quarter digital net sales . Gross profit rate of 63.7 % , down approximately 30 basis points as compared to last year and up approximately 360 basis points as compared to 2019. The year - over - year decline is driven by approximately 300 basis points of higher average unit cost from freight inflation and efforts to offset supply chain issues , almost fully offset by higher average unit retail on lower promotions . Operating expense , excluding other operating income , net , was up 8 % compared to last year and remained flat as compared to 2019. The year - over - year increase reflects an increase in marketing expenses and payroll and a decrease in store occupancy . Operating expense as a percentage of sales decreased to 55.8 % from 56.8 % last year and from 58.4 % as compared to 2019 . Operating income of $ 73 million and $ 79 million on a reported and adjusted non - GAAP basis , respectively , as compared to operating income of $ 59 million and $ 65 million last year , on a reported and adjusted non - GAAP basis , respectively . Net income per diluted share of $ 0.77 and $ 0.86 on a reported and adjusted non - GAAP basis , respectively , as compared to net income per diluted share last year of $ 0.66 and $ 0.76 on a reported and adjusted non - GAAP basis , respectively .