PITTSBURGH--(BUSINESS WIRE)--Aug. 5, 2013--
American Eagle Outfitters, Inc. (NYSE: AEO) announced that it is
revising its second quarter EPS outlook to approximately $0.10, compared
to EPS from continuing operations of $0.21 last year. The revised
outlook is due to weaker than expected sales and margin results. Total
net revenue decreased approximately 2% in the second quarter, while
consolidated comparable sales, including AEO direct, decreased 7%. This
compares to an 8% increase last year. Second quarter comparable sales
are compared to the 13 weeks ended August 4, 2012.
Robert Hanson, Chief Executive Officer stated, “We are not at all happy
with our second quarter results, which were impacted primarily by a
disappointing performance of our AEO women’s assortment and weak
traffic. Results were exacerbated by a highly promotional retail
environment, which intensified over the course of July. Within this
context, we increased the depth and breadth of markdowns; these actions
have enabled us to achieve a clean inventory position moving into the
“We are encouraged to see strength in our direct business, which posted
a low double-digit increase. Other areas of continued performance
included AEO men’s business, aerie, factory stores, and international
markets, validating our strategic initiatives. Our efforts are keenly
focused on strengthening our women’s business and ensuring our
assortments are compelling, innovative and balanced across core, core
fashion and fashion. The domestic retail environment remains
challenging, however, we have a strong sense of urgency and believe we
are focused on the right actions to regain traction, deliver strong
returns and profitable growth,” continued Hanson.
Management will provide a business update and earnings outlook with the
second quarter earnings release on Wednesday, August 21st.
The company will host a conference call and real time webcast at 9:00
a.m. Eastern Time on that date. To listen to the call, dial
1-877-407-0789 or internationally dial 1-201-689-8562 or go to www.ae.com
to access the webcast and audio replay.
About American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global
specialty retailer offering high-quality, on-trend clothing, accessories
and personal care products at affordable prices under its American Eagle
Outfitters® and Aerie® brands. The company operates more than 1,000
stores in North America, and ships to 81 countries worldwide through its
websites. American Eagle Outfitters and Aerie merchandise also is
available at approximately 57 international franchise stores in 12
countries. For more information, please visit www.ae.com.
"Safe Harbor" Statement under the Private Securities Litigation Reform
Act of 1995: This release contains forward-looking statements, which
represent our expectations or beliefs concerning future events,
specifically regarding second quarter results. All forward-looking
statements made by the company involve material risks and uncertainties
and are subject to change based on factors beyond the company's control.
Such factors include, but are not limited to the risk that the company’s
operating, financial and capital plans may not be achieved and the risks
described in the Risk Factor Section of the company's Form 10-K and Form
10-Q filed with the Securities and Exchange Commission. Accordingly, the
company's future performance and financial results may differ materially
from those expressed or implied in any such forward-looking statements.
The company does not undertake to publicly update or revise its
forward-looking statements even if future changes make it clear that
projected results expressed or implied will not be realized.
Source: American Eagle Outfitters, Inc.
American Eagle Outfitters Inc.
Judy Meehan, 412-432-3300