What happened

Shares of Urban Outfitters, Inc. (NASDAQ:URBN), a specialty lifestyle products retailer with brands such as Anthropologie, Free People, and its namesake Urban Outfitters, are up 6.6% as of 11:05 a.m. EDT after the company announced fiscal second-quarter 2019 results, and it's for one simple reason: growth.

So what

In fact, same-store sales during the fiscal second-quarter 2019 jumped an impressive 13% compared to the prior year, with all three brands posting double-digit results. Rising same-store sales fueled a 14% increase in total company net sales during the quarter to a record $992 million, above analysts' estimates calling for $981 million. Earnings per share checked in at $0.84, well above the prior year's $0.44-per-share mark and ahead of analysts' estimates calling for $0.77 per share.

Young adults sitting on a bench with colorful shopping bags at their feet.

Image source: Getty Images.

"I'm pleased to announce our teams produced record Q2 sales and earnings per share," said CEO Richard A. Hayne in a press release. "All three brands delivered double-digit Retail segment 'comp' sales and lower markdown rates to drive these results." 

Now what

URBN Chart

URBN data by YCharts.

It's been a strong 12 months for Urban Outfitters as its investments in digital offerings and international growth are clearly paying off and have helped power four straight quarters of same-store sales gains -- quite a feat as many retailers have struggled in recent years. Another positive takeaway was the company's 320-basis-point operating income margin, up to 11.8% during the second quarter.

What investors will want to watch going forward is whether the company can maintain those levels as its digital business, typically the lower-margin business, becomes a larger portion of net sales.

Daniel Miller has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.