Abercrombie & Fitch Shares Surge Over $100 Million Tariff Refund Boost

Abercrombie & Fitch saw its stock rise 34.8% near market close, reaching the highest level since January 2025. A refund of approximately $100 million on tariffs boosted second-quarter operating income to $253 million, up from $207 million a year earlier. The earnings per share of $4.17 dramatically beat the $1.99 forecast.

Net revenue for the quarter increased 5% to $1.3 billion. Following a Supreme Court decision that struck down certain tariffs, the U.S. Court of International Trade ordered refunds for companies that had paid them, benefitting Abercrombie and other retailers. The firm raised its full-year operating-margin guidance by roughly 2.5 percentage points, now targeting a range of 14.5%-15%. It also anticipates an additional $20 million refund in the upcoming quarter.