Gross profit decreased 18% to $1.14 billion and decreased 540 basis points to 34.6% as a rate to revenue, primarily as a result of higher promotional activity and the deleverage of rent on negative comparable sales.

 

American Eagle Outfitters, Inc. reported adjusted earnings of $0.27 per share for the 13 week period ended February 1, 2014, compared to adjusted #

Selling, general and administrative expense of $789 million decreased 5%, and deleveraged 10 basis points to 23.9% as a rate to revenue. The decrease resulted primarily from lower incentive costs, offset by higher store payroll and corporate salaries.

 

American Eagle Outfitters, Inc. reported adjusted earnings of $0.27 per share for the 13 week period ended February 1, 2014, compared to adjusted #

Operating income decreased 47% to $234 million. The operating margin decreased 550 basis points to 7.1%.

 

American Eagle Outfitters, Inc. reported adjusted earnings of $0.27 per share for the 13 week period ended February 1, 2014, compared to adjusted #

Adjusted EPS of $0.74 compares to $1.39 last year, a 47% decrease.

Inventory

 

American Eagle Outfitters, Inc. reported adjusted earnings of $0.27 per share for the 13 week period ended February 1, 2014, compared to adjusted #

Total merchandise inventories at the end of the fourth quarter declined 12% to $292 million compared to $332 million last year. At cost per foot, inventory decreased 16%, driven by a change in ownership terms. Excluding the change in ownership terms, ending inventory at cost per foot increased in the high single-digits, compared to an 8% decline last year. First quarter 2014 ending inventory at cost per foot is expected to decline in the mid single-digits.