Urban Outfitters Inc. shares rose the most in more than three years after fourth-quarter profit topped analysts’ estimates, helped by a shift toward higher-margin merchandise.
Excluding some items, earnings were 61 cents a share, the Philadelphia-based retail chain said in a statement on Monday. Analysts had projected 56 cents on average, according to data compiled by Bloomberg.
Urban Outfitters coped with slumping demand for apparel by steering consumers toward other kinds of merchandise. The company has long sold an offbeat array of housewares, vinyl records and other products, and now it’s expanding into new areas such as pizza parlors.
Urban Outfitters shares climbed to $32.69 in New York, the biggest single-day gain since August 2012. The stock is now up 44 percent this year.