Urban Outfitters, Inc. announced total company sales for the second quarter ended July 31, 2005 jumped by 34% to a record $253.4 million. These record results were driven by:

 -- A 10% rise in total company comparable store sales,
 -- A 31% increase in the number of stores in operation resulting in
    new and noncomparable store sales increases of approximately $33.1
 -- A 54% gain in direct-to-consumer sales, and
 -- An 84% jump in Free People wholesale sales.

The total company comparable store sales increase of 10% during the second quarter, after a 26% comp increase for the same period last year. Comp store sales at the Urban Outfitters, Anthropologie, and Free People brands rose by 13%, 6%, and 36% respectively, this year. Last year during the second quarter, comps increased by 27%, 25%, and 41% respectively.

“We are pleased to report another quarter of double digit comp store sales growth,” said Richard A. Hayne, chairman and president. “The strongest comps of the quarter were registered in July as customers responded positively to the new fall fashion offerings. During the quarter, the Direct and Wholesale channels continued to post very impressive year-over-year revenue gains and both contributed significantly to our record sales,” Mr. Hayne added.

Net Sales for the periods were as follows:

                          Three months ended   Six months ended
                              July 31,             July 31,
                          2005        2004     2005        2004
                           (in thousands)       (in thousands)
 Urban Outfitters store
  sales                    $122,309   $ 90,841   $226,418   $169,407
 Anthropologie store
  sales                      90,603     73,766    177,910    140,340
 Direct-to-consumer sales    28,273     18,373     56,995     36,974
 Free People sales           12,207      6,504     23,394     13,053
                           --------   --------   --------   --------
   Total net sales         $253,392   $189,484   $484,717   $359,774
                           ========   ========   ========   ========

During the first 6 months the company has opened 9 stores, and maintains its plan to open a total of 30-32 new stores, including 2-3 Free People stores, in the current fiscal year.