Urban Outfitters — May 20, 2026 release

Exhibit 99.1 URBAN OUTFITTERS, INC. First Quarter Results Philadelphia, PA – May 20, 2026 For Immediate Release Contact: Oona McCullough     Executive Director of Investor Relations     (215) 454-4806 URBN Reports Record Q1 Sales and Income PHILADELPHIA, PA, May 20, 2026 – Urban Outfitters, Inc. (NASDAQ:URBN), a leading lifestyle products and services company which operates a portfolio of global consumer brands including the Anthropologie, Free People, FP Movement, Urban Outfitters and Nuuly brands, today announced record net income of $115.7 million and earnings per diluted share of $1.30 for the three months ended April 30, 2026. Total Company net sales for the three months ended April 30, 2026, increased 11.4% to a record $1.48 billion. Total Retail segment net sales increased 8.0%, with comparable Retail segment net sales increasing 5.6%. The increase in Retail segment comparable net sales was driven by high single-digit positive growth in digital channel sales and mid single-digit positive growth in retail store sales. Comparable Retail segment net sales increased 9.8% at FP Group, 9.3% at Urban Outfitters and 1.9% at Anthropologie. Subscription segment net sales increased 34.5% primarily driven by a 33.3% increase in average active subscribers in the current quarter versus the prior year quarter. Wholesale segment net sales increased 24.8% driven by a 26.2% increase in FP Group wholesale sales due to an increase in sales to specialty customers. “We are pleased to report record first quarter sales and earnings driven by positive retail segment ‘comps’ at all brands and impressive double-digit growth in both our Wholesale and Subscription segments,” said Richard A. Hayne, Chief Executive Officer. “Our customers remain engaged and are responding to compelling fashion trends, giving us confidence in URBN's continued success,” finished Mr. Hayne. Net sales by brand and segment for the three-month periods were as follows:   Three Months Ended     April 30,     2026     2025   Net sales by brand           Anthropologie $ 589,073     $ 569,931   FP Group   411,719       353,112   Urban Outfitters   304,727       273,505   Nuuly   167,264       124,354   Menus & Venues   8,562       8,599   Total Company $ 1,481,345     $ 1,329,501               Net sales by segment           Retail Segment $ 1,220,914     $ 1,130,510   Subscription Segment   167,264       124,354   Wholesale Segment   93,167       74,637   Total Company $ 1,481,345     $ 1,329,501   For the three months ended April 30, 2026, the gross profit rate decreased by 16 basis points compared to the three months ended April 30, 2025, and gross profit dollars increased 10.9% to $542.6 million from $489.1 million. The decrease in gross profit rate was due to a non-recurring gain of $4.8 million, or 36 basis points, recorded in the prior year quarter not repeated in the current year quarter. This was partially offset by a 20 basis point improvement in the underlying gross profit rate primarily due to improved Retail segment markdowns driven by lower markdowns at FP Group and Urban Outfitters, partially reduced by deleverage in initial merchandise costs due to tariffs. The increase in gross profit dollars was due to higher net sales.     As of April 30, 2026, total inventory increased by $63.1 million, or 9.5%, compared to total inventory as of April 30, 2025. Total Retail segment inventory increased 10.6% and Retail segment comparable inventory increased 10.0%. Wholesale segment inventory decreased 1.2%. The increase in Retail segment inventory was due to the increase in net sales as well as early receipts to reduce the potential risk of shipping delays due to the Middle East conflict. For the three months ended April 30, 2026, selling, general and administrative expenses increased by $42.0 million, or 11.7%, compared to the three months ended April 30, 2025. Selling, general and administrative expenses deleveraged 5 basis points as a percentage of net sales compared to the three months ended April 30, 2025, which includes a discrete benefit of $6.9 million, or 47 basis points, in the current year quarter due to the reversal of a litigation accrual, offset by 52 basis points of deleverage primarily related to marketing expenses to support customer growth and increased sales in the Retail and Subscription segments, along with increased technology investments to support AI initiatives. The dollar growth in selling, general and administrative expenses was primarily due to increased store payroll expenses to support the growth in Retail segment store net sales, as well as increased marketing expenses to support customer growth and increased net sales in the Retail and Subscription segments. The Company’s effective tax rate for the three months ended April 30, 2026, was 20.7%, compared to 21.4% in the three months ended April 30, 2025. The decrease in the effective tax rate for the three months ended April 30, 2026, was primarily attributable to the favorable impact of equity activity in the current year quarter. Net income for the three months ended April 30, 2026, was a record $115.7 million and earnings per diluted share were $1.30. On June 4, 2019, the Company’s Board of Directors authorized the repurchase of 20 million common shares under a share repurchase program. During the three months ended April 30, 2026, the Company repurchased and subsequently retired 4.6 million shares for approximately $300 million. During the year ended January 31, 2026, the Company repurchased and subsequently retired 3.3 million shares for approximately $154 million. As of April 30, 2026, 10.0 million common shares were remaining under the program. Store data for the three months ended April 30, 2026, was as follows:     January 31,                 April 30,       2026     Openings     Closings     2026   Anthropologie NA     234       2       —       236   Anthropologie EU     20       —       —       20   Total Anthropologie     254       2       —       256   Free People NA     167       3       1       169   FP Movement NA     88       6       —       94   Free People EU     13       —       —       13   Total FP Group     268       9       1       276   Urban Outfitters NA     177       —       1       176   Urban Outfitters EU     76       —       —       76   Total Urban Outfitters     253       —       1       252   Menus & Venues     9       —       1       8   Total Company-Owned Stores     784       11       3       792   Franchisee-Owned Stores (1)     9       —       —       9   Total URBN     793       11       3       801   (1) Includes 7 Urban Outfitters franchisee-owned stores and 2 Anthropologie franchisee-owned stores. Urban Outfitters, Inc. offers lifestyle-oriented general merchandise and consumer products and services through a portfolio of global consumer brands comprised of Anthropologie stores in the United States, Canada and Europe, catalogs and websites; FP Group stores (including Free People and FP Movement stores) in the United States, Canada and Europe, catalogs and websites; Urban Outfitters stores in the United States, Canada and Europe and websites; Menus & Venues restaurants; and Urban Outfitters franchisee-owned stores and Anthropologie franchisee-owned stores in the Middle East. Free People, FP Movement and Urban Outfitters wholesale sell their products through department and specialty stores worldwide, digital businesses and the Company’s Retail segment. Nuuly is primarily a women's apparel subscription rental service which offers a wide selection of rental product from the Company's own brands, third-party brands and one-of-a-kind vintage pieces.     A conference call will be held today to discuss first quarter results and will be webcast at 5:00 pm. ET at: https://edge.media-server.com/mmc/p/ocrpxphv/. As used in this document, unless otherwise defined, “Anthropologie” refers to the Company’s Anthropologie, Terrain and Maeve brands and “FP Group” refers to the Company’s Free People and FP Movement brands. This news release is being made pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Certain matters contained in this release may contain forward-looking statements. When used in this release, the words “project,” “believe,” “plan,” “will,” “anticipate,” “expect” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Any one, or all, of the following factors could cause actual financial results to differ materially from those financial results mentioned in the forward-looking statements: overall economic and market conditions (including current levels of inflation) and worldwide political events and the resultant impact on consumer spending patterns and our pricing power, the difficulty in predicting and responding to shifts in fashion trends, changes in the level of competitive pricing and promotional activity and other industry factors, currency fluctuations, economic conditions and legal or regulatory changes, the effects of war and geopolitical instability, including impacts of the conflicts in the Middle East and impacts of the war between Russia and Ukraine and from related sanctions imposed by the United States, European Union, United Kingdom and others, terrorism and civil unrest, natural disasters, severe or unseasonable weather conditions (including as a result of climate change) or public health crises, labor shortages and increases in labor costs, raw material costs and transportation costs, availability of suitable retail space for expansion, timing of store openings, risks associated with international expansion, seasonal fluctuations in gross sales, response to new concepts, our ability to integrate acquisitions, risks associated with digital sales, our ability to maintain and expand our digital sales channels, any material disruptions or security breaches with respect to our technology systems, our effective utilization of technological advancements, including in artificial intelligence, the departure of one or more key senior executives, import risks (including any shortage of transportation capacities or delays at ports), changes to U.S. and foreign trade policies (including the enactment of tariffs such as retaliatory tariffs), border adjustment taxes or increases in duties or quotas, the unexpected closing or disruption of, or any damage to, any of our distribution centers, our ability to protect our intellectual property rights, failure of our manufacturers and third-party vendors to comply with our social compliance program, risks related to environmental, social and governance activities, changes in our effective income tax rate, changes in accounting standards and subjective assumptions, regulatory changes and legal matters and other risks identified in our filings with the Securities and Exchange Commission. The Company disclaims any intent or obligation to update forward-looking statements even if experience or future changes make it clear that actual results may differ materially from any projected results expressed or implied therein. ### (Tables follow)     URBAN OUTFITTERS, INC. Condensed Consolidated Statements of Income (amounts in thousands, except share and per share data) (unaudited)     Three Months Ended     April 30,     2026     2025   Net sales $ 1,481,345     $ 1,329,501   Cost of sales   938,779       840,437             Gross profit   542,566       489,064   Selling, general and administrative expenses   402,885       360,837             Income from operations   139,681       128,227   Other income, net   6,185       9,646            Income before income taxes   145,866       137,873   Income tax expense   30,161       29,526             Net income $ 115,705     $ 108,347               Net income per common share:                  Basic $ 1.32     $ 1.18          Diluted $ 1.30     $ 1.16               Weighted-average common shares outstanding:                  Basic   87,503,853       91,752,408          Diluted   88,801,846       93,475,835                           AS A PERCENTAGE OF NET SALES           Net sales   100.0 %     100.0 % Cost of sales   63.4 %     63.2 %          Gross profit   36.6 %     36.8 % Selling, general and administrative expenses   27.2 %     27.2 %           Income from operations   9.4 %     9.6 % Other income, net   0.4 %     0.8 %          Income before income taxes   9.8 %     10.4 % Income tax expense   2.0 %     2.3 %           Net income   7.8 %     8.1 %       URBAN OUTFITTERS, INC. Condensed Consolidated Balance Sheets (amounts in thousands, except share data) (unaudited)     April 30,     January 31,     April 30,     2026     2026     2025   ASSETS                 Current assets:                     Cash and cash equivalents $ 301,364     $ 369,206     $ 189,433       Marketable securities   111,978       326,724       285,585       Accounts receivable, net of allowance for doubtful accounts          of $1,189, $1,209 and $1,964, respectively   115,903       95,668       93,248       Inventory   726,858       700,945       663,803       Prepaid expenses and other current assets   280,545       193,561       206,990               Total current assets   1,536,648       1,686,104       1,439,059   Property and equipment, net   1,620,770       1,466,236       1,346,557   Operating lease right-of-use assets   1,037,062       1,051,109       973,831   Marketable securities   237,471       461,858       365,937   Other assets   332,817       342,306       331,692              Total Assets $ 4,764,768     $ 5,007,613     $ 4,457,076                     LIABILITIES AND SHAREHOLDERS’ EQUITY                 Current liabilities:                     Accounts payable $ 332,949     $ 327,903     $ 302,104       Current portion of operating lease liabilities   225,005       225,478       231,361       Accrued expenses, accrued compensation and other          current liabilities   483,050       564,713       495,593              Total current liabilities   1,041,004       1,118,094       1,029,058   Non-current portion of operating lease liabilities   979,600       1,000,088       909,168   Other non-current liabilities   133,554       74,144       87,043              Total Liabilities   2,154,158       2,192,326       2,025,269                     Shareholders’ equity:                     Preferred shares; $.0001 par value, 10,000,000 shares          authorized, none issued   —       —       —       Common shares; $.0001 par value, 200,000,000 shares authorized,          85,601,280, 89,698,222 and 89,614,734 shares issued and          outstanding, respectively 9     9     9       Additional paid-in-capital   —       19,912       —       Retained earnings   2,637,046       2,817,448       2,460,876       Accumulated other comprehensive loss   (26,445 )     (22,082 )     (29,078 )            Total Shareholders’ Equity   2,610,610       2,815,287       2,431,807              Total Liabilities and Shareholders’ Equity $ 4,764,768     $ 5,007,613     $ 4,457,076         URBAN OUTFITTERS, INC. Condensed Consolidated Statements of Cash Flows (amounts in thousands) (unaudited)       Three Months Ended       April 30,       2026     2025   Cash flows from operating activities:             Net income   $ 115,705     $ 108,347   Adjustments to reconcile net income to net cash provided by operating activities:             Depreciation and amortization     36,069       29,554   Non-cash lease expense     53,310       52,805   Provision for deferred income taxes     89,732       13,701   Share-based compensation expense     8,137       7,763   Amortization of tax credit investment     3,726       4,293   Loss on disposition of property and equipment, net     380       94   Changes in assets and liabilities:             Receivables     (20,364 )     (15,036 ) Inventory     (26,735 )     (37,386 ) Prepaid expenses and other assets     (105,296 )     (17,058 ) Payables, accrued expenses and other liabilities     (78,032 )     (54,114 ) Operating lease liabilities     (61,148 )     (59,931 ) Net cash provided by operating activities     15,484       33,032   Cash flows from investing activities:             Cash paid for property and equipment     (193,244 )     (46,158 ) Cash paid for marketable securities     (78,294 )     (117,878 ) Sales and maturities of marketable securities     514,251       203,416   Net cash provided by investing activities     242,713       39,380   Cash flows from financing activities:             Share repurchases related to share repurchase program     (299,996 )     (151,935 ) Share repurchases related to taxes for share-based awards     (21,513 )     (20,241 ) Tax credit investment liability payments     (3,859 )     (4,172 ) Net cash used in financing activities     (325,368 )     (176,348 ) Effect of exchange rate changes on cash and cash equivalents     (671 )     2,888   Decrease in cash and cash equivalents     (67,842 )     (101,048 ) Cash and cash equivalents at beginning of period     369,206       290,481   Cash and cash equivalents at end of period   $ 301,364     $ 189,433