Urban Outfitters officials have reported first quarter earnings for fiscal year 2015, revealing lower-than-expected results.
Shares of the company's stock dropped up to 11 percent following news of the results, Business Insider reports. Urban Outfitter's total sales (approximately $739 million) fell below analyst estimates (approximately $758 million).
"I am pleased to announce record first quarter sales and positive Retail segment comparable net sales at each of our brands," said CEO Richard Hayne in the release., according to the site.
"I believe our Retail segment comparable net sales growth is being driven by the success of our omni-channel strategy."
Same-store sales of Urban Outfitters products rose four percent, which was approximately one percentage point lower than most estimates. The company has also experienced recent spikes in expenses for online development, taking a toll on earnings.
Urban Outfitters is also said to be confronted with competition from web-based clothing companies.
The company was founded in 1970 in Philadelphia.
