AEO's net revenue for 13 weeks ended May 2 fell by 38%

09 Jun '20

2 min read

Pic: American Eagle Outfitters, Inc

American Eagle Outfitters’ (AEO) total net revenue for the 13 weeks ended May 2, 2020, decreased by $335 million, or 38 per cent, to $552 million compared to $886 million for the 13 weeks ended May 4, 2019, according to the company, which recently announced its latest quarterly results. By brands, American Eagle’s revenue fell by 45 per cent, following a 5 per cent increase last year, while Aerie’s revenue decreased by 2 per cent, following a 28 per cent rise last year.

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 and Aerie brands.

The company’s digital demand, as measured by ordered sales, increased by 33 per cent. Aerie rose by 75 per cent and American Eagle increased 15 per cent.

The company experienced buying, occupancy and warehousing pressure due to the sales decline, its said in a statement.

“Store closures and aggressive inventory liquidation had a significant impact on our first quarter financials. Yet customer engagement remained high and digital demand accelerated, well-exceeding our expectations. Aerie’s performance was truly exceptional despite store closures,” said Jay Schottenstein, AEO’s chairman and chief executive officer.

“We view this moment as an inflection point to accelerate strategies to emerge stronger, leaner, and more agile to effectively win in a post-COVID-19 world,” he added.

Fibre2Fashion News Desk (DS)

More American Eagle Outfitters Inc News... More Apparel/Garments News - United States Of America...