American Eagle Outfitters (AEO), a US-based specialty retailer offering on-trend clothing, has reported 2 per cent revenue decline to $1.29 billion in its fourth quarter (Q4) FY20 ended on January 30, 2021 compared to the revenue of $1.31 billion in the same period last fiscal. Company’s net income dropped to $3.53 million (Q4 FY19: $4.76 million).
“After an unprecedented year, we ended 2020 on a positive note, with fourth quarter adjusted operating income up 38 per cent, driven by strong margins across brands,” Jay Schottenstein, AEO’s executive chairman of board and chief executive officer, said in a press release. “We ended the year in a healthy cash position and took bold actions to ensure AEO is well positioned for future success, including steps to right-size and strengthen our store fleet, while also continuing to fuel our robust digital platform.”
Gross profit for Q4 rose to $439.86 million ($407.74 million). Selling, general and administrative expenses were $292.05 million ($286.64 million). While AEO’s operating income increased to $3.58 million ($0.47 million).
Revenue of AEO's brand Aerie jumped 25 per cent during Q4 FY20 to $336.70 million ($1.03 billion). Whereas American Eagle brand's revenue fell 9 per cent to $942.89 million ($270.00 million). Digital sales for the reported quarter increased 35 per cent.
“We entered 2021 with momentum, and as reviewed at our January investor meeting, we see significant opportunity to drive Aerie’s growth and deliver strong profit margins in the coming years,” Schottenstein said.
Fibre2Fashion News Desk (JL)
American Eagle Outfitters (AEO), a US-based specialty retailer offering on-trend clothing, has reported 2 per cent revenue decline to $1.29 billion in its fourth quarter (Q4) FY20 ended on January 30, 2021 compared to the revenue of $1.31 billion in the same period last fiscal. Company's net income dropped to $3.53 million (Q4 FY19: $4.76 million).