--- title: "Apparel benchmarks from annual reports" description: "What 11 US-listed companies selling clothing through their own stores and sites report: a median gross margin of 48.7%, from 34.8% to 68.7%. Read 13 October 2026." url: https://offersuite.io/benchmarks/apparel updated: 2026-10-13 --- # Apparel benchmarks from annual reports What 11 US-listed companies selling clothing through their own stores and sites report: a median gross margin of 48.7%, from 34.8% to 68.7%. Read 13 October 2026. Gross margin, apparel: gross profit over revenue in each company's latest annual report. 1. J.Jill 68.7% 2. FIGS 66.5% 3. Levi Strauss & Co.61.7% 4. lululemon athletica 56.6% 5. Duluth Holdings 53.4% 6. Lands' End 48.7% 7. Under Armour 45.5% 8. Carter's 45.4% 9. American Eagle Outfitters 36.5% 10. Urban Outfitters 36.0% 11. Torrid 34.8% Median 48.7%, marked on each bar. What each annual report states. A dash: the report gives no such figure. | Company | [Gross margin](https://offersuite.io/benchmarks/gross-margin) | [Average order value](https://offersuite.io/benchmarks/average-order-value) | [Return rate](https://offersuite.io/benchmarks/return-rate) | [Subscription share of sales](https://offersuite.io/benchmarks/subscription-share) | [Fulfilment cost as a share of sales](https://offersuite.io/benchmarks/fulfilment-cost) | | --- | --- | --- | --- | --- | --- | | FIGS [Form 10-K for the year ended 31 December 2025, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1846576/000162828026012333/figs-20251231.htm) | 66.5% Revenue $631.1 million, gross profit $419.8 million | $120 | 10.0% | Not stated | Not stated | | lululemon athletica LULU [Form 10-K for the year ended 1 February 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1397187/000139718726000020/lulu-20260201.htm) | 56.6% Revenue $11.10 billion, gross profit $6.28 billion | Not stated | Not stated | Not stated | Not stated | | Levi Strauss & Co. LEVI [Form 10-K for the year ended 30 November 2025, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/94845/000009484526000008/lvis-20251130.htm) | 61.7% Revenue $6.28 billion, gross profit $3.88 billion | Not stated | Not stated | Not stated | Not stated | | Duluth Holdings DLTH [Form 10-K for the year ended 1 February 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1649744/000119312526117508/dlth-20260201.htm) | 53.4% Revenue $565.2 million, gross profit $301.6 million | Not stated | Not stated | Not stated | Not stated | | Lands' End LE [Form 10-K for the year ended 30 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/799288/000119312526126210/le-20260130.htm) | 48.7% Revenue $1.34 billion, gross profit $650.2 million | Not stated | Not stated | Not stated | Not stated | | J.Jill JILL [Form 10-K for the year ended 31 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1687932/000119312526134566/jill-20260131.htm) | 68.7% Revenue $596.5 million, gross profit $409.7 million | Not stated | Not stated | Not stated | 3.5% | | Under Armour UAA [Form 10-K for the year ended 31 March 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1336917/000133691726000073/ua-20260331.htm) | 45.5% Revenue $4.97 billion, gross profit $2.26 billion | Not stated | Not stated | Not stated | Not stated | | American Eagle Outfitters AEO [Form 10-K for the year ended 31 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/919012/000119312526132097/aeo-20260131.htm) | 36.5% Revenue $5.55 billion, gross profit $2.03 billion | Not stated | Not stated | Not stated | Not stated | | Urban Outfitters URBN [Form 10-K for the year ended 31 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/912615/000119312526137916/urbn-20260131.htm) | 36.0% Revenue $6.17 billion, gross profit $2.22 billion | Not stated | Not stated | Not stated | Not stated | | Carter's CRI [Form 10-K for the year ended 3 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1060822/000106082226000016/cri-20260103.htm) | 45.4% Revenue $2.90 billion, gross profit $1.31 billion | Not stated | Not stated | Not stated | 6.3% | | Torrid CURV [Form 10-K for the year ended 31 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1792781/000179278126000007/thi-20260131.htm) | 34.8% Revenue $1.00 billion, gross profit $348.0 million | Not stated | Not stated | Not stated | Not stated | ## What the filings state Beyond the income statement, these are the figures the reports give, in their own words. - **FIGS: average order value $120** Average order value $120 $113 [Form 10-K for the year ended 31 December 2025, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1846576/000162828026012333/figs-20251231.htm) - **FIGS: return rate 10.0%** our product portfolio has resulted in a return rate of approximately 10% from 2021 through 2025 [Form 10-K for the year ended 31 December 2025, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1846576/000162828026012333/figs-20251231.htm) - **J.Jill: fulfilment cost as a share of sales 3.5% (outbound shipping to customers)** Outbound shipping costs to customers recorded in Selling, general and administrative expenses were $21.0 million, $21.4 million, and $20.2 million [Form 10-K for the year ended 31 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1687932/000119312526134566/jill-20260131.htm) - **Carter's: fulfilment cost as a share of sales 6.3% (distribution expenses)** Distribution expenses included in SG&A were $181.9 million, $176.9 million, and $183.4 million for fiscal 2025, 2024, and 2023 [Form 10-K for the year ended 3 January 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1060822/000106082226000016/cri-20260103.htm) ## Use these figures Open a calculator with this vertical’s figures already entered, then replace them with your own. - [Free shipping threshold calculator, at this vertical's median gross margin](https://offersuite.io/calculators/free-shipping-threshold?productMargin=48.7) 48.7% as the margin on product revenue. Gross margin is before picking and card fees, so lower it by yours. - [Gift with purchase calculator, on apparel brands' figures](https://offersuite.io/calculators/gift-with-purchase-profit?price=120.00&unitCost=40.20&giftCost=4.02&refundRate=19.3) $120.00 average order, unit cost $40.20, a pair of socks at $4.02, 19.3% refund reserve. Offers priced on these costs, with their sources and the offer document for each: - [Gift with purchase for apparel brands](https://offersuite.io/playbooks/gift-with-purchase-for-apparel-brands) - [Free shipping for apparel brands](https://offersuite.io/playbooks/free-shipping-threshold-for-apparel-brands) ## How to read them Gross profit divided by revenue, both from the income statement of the annual report. Companies differ in what they put in cost of sales: some include store occupancy, warehousing or shipping to the customer, others report those below gross profit. Read a company's margin next to its own accounting policy before comparing two. The median of these 11 companies is 48.7%, between Torrid at 34.8% and J.Jill at 68.7%. They are whole companies, most with stores or wholesale beside their own site, so treat the figures as reference points for your own costs. ## Embed this chart Paste this where you want the chart. It carries its sources and a link back to this page. **Show the embed code** ``` ``` ## Related - [Benchmarks **DTC benchmarks from public filings** Gross margin, order value, returns, subscription share and fulfilment cost at 60 US-listed consumer companies, each figure linked to its annual report.](https://offersuite.io/benchmarks) - [Calculator **Free shipping threshold calculator** Price a free-shipping threshold with the shipping you give away on orders that already reach it, and the share of smaller orders that must top up to pay for it.](https://offersuite.io/calculators/free-shipping-threshold) - [Calculator **Gift with purchase profit calculator** What a free gift costs per order, after its unit cost, its extra pick and its handling, and how much conversion it has to add to pay for itself.](https://offersuite.io/calculators/gift-with-purchase-profit) - [Playbook **Gift with purchase for apparel brands** What a free gift costs apparel brands per order on sourced costs, and how much conversion it has to add to pay for itself.](https://offersuite.io/playbooks/gift-with-purchase-for-apparel-brands) - [Playbook **Free shipping for apparel brands** Free shipping for apparel brands on USPS's published label prices: what it gives away on orders that already qualify, and what a top-up earns.](https://offersuite.io/playbooks/free-shipping-threshold-for-apparel-brands) - [Benchmark **Gross margin of consumer brands, from annual reports** The gross margin 60 US-listed consumer companies report: a median of 48.4%, from 28.1% (PetMed Express) to 79.4% (ThredUp). Each links to its filing.](https://offersuite.io/benchmarks/gross-margin)