{"id":22315,"date":"2012-03-07T16:09:00","date_gmt":"2012-03-07T16:09:00","guid":{"rendered":"https:\/\/www2.thestockmarketwatch.com\/stock-market-news\/american-eagles-profit-drops-41-aeo\/22309\/"},"modified":"2012-03-07T16:09:00","modified_gmt":"2012-03-07T16:09:00","slug":"american-eagles-profit-drops-41-aeo","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/american-eagles-profit-drops-41-aeo\/22315\/","title":{"rendered":"American Eagle\u2019s Profit Drops 41% (AEO)"},"content":{"rendered":"<p><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"ca-pub-1408583772585547\";\n\/* SMW - News Links *\/\ngoogle_ad_slot = \"3490797620\";\ngoogle_ad_width = 468;\ngoogle_ad_height = 15;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/p>\n<p><!--Ad Injection mfunc mode ad include code--><!--mfunc include_once('\/mnt\/Target01\/327806\/www.thestockmarketwatch.com\/web\/content\/stock-market-news\/wp-content\/plugins\/ad-injection\/adshow.php') --><!--\/mfunc--><\/p>\n<p><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/wp-content\/uploads\/2010\/12\/32.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-thumbnail wp-image-2602\" title=\"American Eagle Outfitters\" src=\"https:\/\/storage.googleapis.com\/smw-news-wp\/2010\/12\/32-150x150.jpg\" alt=\"American Eagle Outfitters\" width=\"150\" height=\"150\"><\/a>Despite a 14% surge in revenue, American Eagle\u2019s (<a href=\"https:\/\/thestockmarketwatch.com\/stock.aspx?stock=AEO\">NYSE: AEO<\/a>) profit fell by 41% in the fourth fiscal quarter. The drop in profits is attributed to the reduction in value of some of its stores, higher costs for products and expenses related to an executive transition.<\/p>\n<p><span id=\"more-22315\"><\/span><\/p>\n<p>The teen retailer also reported that it had to take more markdowns during the quarter to boost sales during the holiday season.<\/p>\n<p><!--mfunc adshow_display_ad_file_v2(array('ad_random_1.txt'), array(100), array('align' => 'float right', 'clear' => '', 'margin_top' => '', 'margin_bottom' => '', 'padding_top' => '', 'padding_bottom' => ''), array(), array()) --><\/p>\n<div style=\"float:right;margin-left:5px;\"><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"ca-pub-1408583772585547\";\n\/* SMW - in News 300 *\/\ngoogle_ad_slot = \"5684630733\";\ngoogle_ad_width = 300;\ngoogle_ad_height = 250;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/div>\n<p><!--\/mfunc--><\/p>\n<p>Nonetheless, Company\u2019s adjusted earnings met the Wall-Street\u2019s expectations.<\/p>\n<p>On Wednesday, American Eagle reported that its net income dropped to $51.3 million, or 26 cents per share, for the period ended Jan. 28 from $87 million, or 44 cent per share, a year ago.<\/p>\n<p>However, when both impairment charges and executive transitions were removed, company\u2019s earnings went up to 35 cents a share. Earlier, analysts surveyed by FactSet had also anticipated the same amount earnings per share.<\/p>\n<p>In January, American Eagle\u2019s CEO, James O\u2019Donnell had stepped down. He was replaced by Levi\u2019s executive Robert Hanson.<\/p>\n<p>Quarterly revenue rose by about 14 percent to $1.04 billion from $916.1 million, with online sales climbing up 18 percent. Wall Street anticipated slightly higher revenue of $1.05 billion.<\/p>\n<p>Meanwhile, revenue at stores open at least a year ago, climbed up 10 percent. This figure tends to be an accurate indicator of a retailer&#8217;s health because it excludes results from stores recently opened or closed.<\/p>\n<p>While American Eagle&#8217;s full-year net income soared 8 percent to $151.7 million, or 77 cents per share, from $140.6 million, or 70 cents per share, in the preceding year, Company\u2019s annual revenue climbed up 6 percent to $3.16 billion from $2.97 billion.<\/p>\n<p>Revenue at stores open at least a year ago rose 3 percent, in the same period.<\/p>\n<p>The Company is now expecting modest sales increase and margin improvement for the current year. It expects to provide its full-year earnings outlook in May, when it reports its fiscal first-quarter results.<\/p>\n<p>At last check, shares of American Eagle gained 80 cents, or 5.5 percent, to $15.43 ahead of the market opening.<\/p>\n<p>&nbsp;<\/p>\n<p>More Posts by this author<\/p>\n<ul>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/recent-events\/business-news\/gold-and-silver-prices-rebound-3\/22476\"><br \/>\nGold and Silver Prices Rebound<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/market-updates\/stocks-headed-for-a-third-straight-higher-finish-3\/22474\"><br \/>\nStocks Headed for a Third Straight Higher Finish<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/hot-stocks-to-watch\/novavax-past-year-has-been-transformational-for-the-company-nvax\/22471\"><br \/>\nNovavax &#8211; Past year has been transformational for the company &#8211; NVAX<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/hot-stocks-to-watch\/osiris-therapeutics-pleased-with-the-commercial-performance-of-grafix-and-ovation-osir\/22469\"><br \/>\nOsiris Therapeutics &#8211; Pleased with the commercial performance of Grafix and Ovation &#8211; OSIR<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/hot-stocks-to-watch\/freddie-mac-q4-and-fy11-financial-results-fmcc\/22468\"><br \/>\nFreddie Mac &#8211; Q4 And FY11 Financial Results &#8211; FMCC<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/hot-stocks-to-watch\/coffee-holding-reports-a-strong-quarter-in-both-revenues-and-earnings-jva\/22467\"><br \/>\nCoffee Holding  &#8211; Reports a strong quarter in both revenues and earnings &#8211; JVA<\/a><\/li>\n<li><a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/recent-events\/business-news\/hertz-global-holdings-acquired-arpielle-equipment-co-htz\/22463\"><br \/>\nHertz Global Holdings &#8211; Acquired Arpielle Equipment Co. &#8211; HTZ<\/a><\/li>\n<\/ul>\n<hr>\n<table style=\"border:none;margin:0;\">\n<tr>\n<td style=\"padding:5px;vertical-align:top;\" valign=\"top\">\n<img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www2.thestockmarketwatch.com\/stock-market-news\/wp-content\/uploads\/2024\/08\/5.jpg\" alt=\"edliston\" width=\"125\" height=\"125\" class=\"photo\"><\/td>\n<td style=\"padding:5px;vertical-align:top;\" valign=\"top\">\n<div style=\"font-size:11pt;\"><b>Post Written By: Ed Liston <\/b><\/div>\n<div style=\"font-size:10pt;\">\n<p>Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.\n<\/p><\/div>\n<\/td>\n<\/tr>\n<\/table>\n<p><script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"pub-1408583772585547\";\n\/* 336x280, created 7\/9\/11 *\/\ngoogle_ad_slot = \"3552319058\";\ngoogle_ad_width = 336;\ngoogle_ad_height = 280;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\" src=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script><\/p>\n<div style=\"margin:5px;margin-bottom:20px;font-size:11pt;\">&laquo; <a href=\"https:\/\/thestockmarketwatch.com\/stock-market-news\/\">Return to Stock Market News<\/a> &laquo; <\/div>\n","protected":false},"excerpt":{"rendered":"<p>Despite a 14% surge in revenue, American Eagle\u2019s (NYSE: AEO) profit fell by 41% in the fourth fiscal quarter. The [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50312,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"rank_math_schema_Article":[],"rank_math_focus_keyword":[],"rank_math_description":[],"financial_data_references":[],"stock_symbols_mentioned":[],"footnotes":""},"categories":[3],"tags":[2038],"class_list":["post-22315","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","tag-aeo"],"_links":{"self":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/22315","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/comments?post=22315"}],"version-history":[{"count":0,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/22315\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media\/50312"}],"wp:attachment":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media?parent=22315"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/categories?post=22315"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/tags?post=22315"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}