Abercrombie & Fitch reports strong Q1 earnings, but shares surge despite lowered full-year outlook due to tariffs.

Abercrombie & Fitch reported better-than-expected first-quarter earnings, with EPS of $1.59 and sales of $1.1 billion, up 8% year-over-year. Despite a strong quarter, the company lowered its full-year outlook due to tariffs, predicting EPS between $9.50 and $10.50, down from $10.40 to $11.40 previously. Shares soared 25% on the news, reflecting the positive first-quarter results despite the profit warning.