AEO raises outlook on record sales growth
PITTSBURGH — American Eagle Outfitters' income from continuing operations increased 62% to 21 cents per diluted share for the second quarter, compared with 13 cents per diluted share for the comparable quarter last year. Net income for the second quarter, which includes a loss from discontinued operations, was 9 cents per diluted share, compared with 10 cents per diluted share last year.
Robert Hanson, chief executive officer stated, “While pleased with our results, and therefore raising our annual outlook, we continue to drive for long-term performance improvement through fortifying our brands, further strengthening our products, marketing and customer experience, enhancing operational disciplines and pursuing growth across North America."
The company reported that net sales increased 11% to a record $740 million, compared with $669 million last year. Comparable-store sales, including AE Direct, increased 9%, compared to a 1% increase last year.
For the third quarter, the company expects EPS from continuing operations to be in the range of 37 cents to 38 cents per diluted share, compared with 30 cents last year.
For the year, the company is raising its EPS guidance from continuing operations to a range of $1.33 to $1.36, compared to an adjusted 97 cents last year. EPS guidance is based on comparable store sales growth of mid single-digits for the third quarter and low single-digits for the fourth quarter.