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AEO Inc. Reports Strong Fourth Quarter and Fiscal Year 2024 Results; Provides Fiscal Year 2025 Outlook

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American Eagle Outfitters (AEO) reported strong results for Q4 and fiscal year 2024, with total comparable sales up 3% in Q4 and 4% for the full year. Aerie achieved record revenue with Q4 comp growth of 6% and fiscal year comp growth of 5%, while American Eagle saw comp growth of 1% in Q4 and 3% for the year.

Q4 total net revenue was $1.6 billion, with operating income of $142 million. For fiscal year 2024, the company reported total net revenue of $5.3 billion and GAAP operating income of $427 million. Adjusted operating income increased 19% to $445 million.

The company returned over $190 million to shareholders through share repurchases in 2024 and announced a new authorization for an additional 50 million shares. However, AEO noted a slower start to Q1 2025 due to less robust demand and colder weather, leading to proactive steps to strengthen top-line, manage inventory, and reduce expenses.

American Eagle Outfitters (AEO) ha riportato risultati solidi per il quarto trimestre e l'anno fiscale 2024, con vendite comparabili totali in aumento del 3% nel quarto trimestre e del 4% per l'intero anno. Aerie ha raggiunto ricavi record con una crescita delle vendite comparabili del 6% nel quarto trimestre e del 5% per l'anno fiscale, mentre American Eagle ha visto una crescita delle vendite comparabili dell'1% nel quarto trimestre e del 3% per l'anno.

Il fatturato netto totale del quarto trimestre è stato di 1,6 miliardi di dollari, con un reddito operativo di 142 milioni di dollari. Per l'anno fiscale 2024, l'azienda ha riportato un fatturato netto totale di 5,3 miliardi di dollari e un reddito operativo GAAP di 427 milioni di dollari. Il reddito operativo rettificato è aumentato del 19% a 445 milioni di dollari.

L'azienda ha restituito oltre 190 milioni di dollari agli azionisti tramite riacquisti di azioni nel 2024 e ha annunciato una nuova autorizzazione per ulteriori 50 milioni di azioni. Tuttavia, AEO ha notato un avvio più lento per il primo trimestre del 2025 a causa di una domanda meno robusta e di un clima più freddo, portando a misure proattive per rafforzare il fatturato, gestire l'inventario e ridurre le spese.

American Eagle Outfitters (AEO) reportó resultados sólidos para el cuarto trimestre y el año fiscal 2024, con un aumento del 3% en las ventas comparables del cuarto trimestre y del 4% para el año completo. Aerie logró ingresos récord con un crecimiento de 6% en las ventas comparables en el cuarto trimestre y un crecimiento del 5% para el año fiscal, mientras que American Eagle vio un crecimiento de 1% en el cuarto trimestre y del 3% para el año.

Los ingresos netos totales del cuarto trimestre fueron de 1.6 mil millones de dólares, con un ingreso operativo de 142 millones de dólares. Para el año fiscal 2024, la empresa reportó ingresos netos totales de 5.3 mil millones de dólares y un ingreso operativo GAAP de 427 millones de dólares. El ingreso operativo ajustado aumentó un 19% a 445 millones de dólares.

La empresa devolvió más de 190 millones de dólares a los accionistas a través de recompra de acciones en 2024 y anunció una nueva autorización para 50 millones de acciones adicionales. Sin embargo, AEO notó un inicio más lento para el primer trimestre de 2025 debido a una demanda menos robusta y clima más frío, lo que llevó a tomar medidas proactivas para fortalecer los ingresos, gestionar el inventario y reducir gastos.

아메리칸 이글 아울피터스 (AEO)는 2024 회계연도 4분기 및 연간 실적이 강력하다고 보고했으며, 4분기 비교 판매가 3% 증가하고 연간 4% 증가했습니다. Aerie는 4분기 비교 성장률이 6%로 기록적인 수익을 달성했으며, 회계연도 비교 성장률은 5%였습니다. 반면 American Eagle은 4분기 비교 성장률이 1%이고 연간 3% 증가했습니다.

4분기 총 순수익은 16억 달러였으며, 운영 소득은 1억 4200만 달러였습니다. 2024 회계연도에 대해 회사는 총 순수익이 53억 달러이고 GAAP 운영 소득이 4억 2700만 달러라고 보고했습니다. 조정된 운영 소득은 19% 증가하여 4억 4500만 달러에 달했습니다.

회사는 2024년에 주식 매입을 통해 주주에게 1억 9000만 달러 이상을 반환했으며, 추가로 5000만 주에 대한 새로운 승인을 발표했습니다. 그러나 AEO는 2025년 1분기가 덜 강력한 수요와 추운 날씨로 인해 더 느리게 시작되었음을 언급하며, 매출을 강화하고 재고를 관리하며 비용을 줄이기 위한 적극적인 조치를 취했습니다.

American Eagle Outfitters (AEO) a annoncé des résultats solides pour le quatrième trimestre et l'exercice fiscal 2024, avec des ventes comparables totales en hausse de 3 % au quatrième trimestre et de 4 % pour l'année entière. Aerie a atteint des revenus records avec une croissance des ventes comparables de 6 % au quatrième trimestre et de 5 % pour l'exercice fiscal, tandis que American Eagle a connu une croissance des ventes comparables de 1 % au quatrième trimestre et de 3 % pour l'année.

Le chiffre d'affaires net total du quatrième trimestre s'est élevé à 1,6 milliard de dollars, avec un bénéfice d'exploitation de 142 millions de dollars. Pour l'exercice fiscal 2024, l'entreprise a annoncé un chiffre d'affaires net total de 5,3 milliards de dollars et un bénéfice d'exploitation GAAP de 427 millions de dollars. Le bénéfice d'exploitation ajusté a augmenté de 19 % pour atteindre 445 millions de dollars.

L'entreprise a restitué plus de 190 millions de dollars aux actionnaires par le biais de rachats d'actions en 2024 et a annoncé une nouvelle autorisation pour 50 millions d'actions supplémentaires. Cependant, AEO a noté un début plus lent pour le premier trimestre 2025 en raison d'une demande moins dynamique et d'un temps plus froid, ce qui a conduit à des mesures proactives pour renforcer le chiffre d'affaires, gérer les stocks et réduire les dépenses.

American Eagle Outfitters (AEO) hat starke Ergebnisse für das vierte Quartal und das Geschäftsjahr 2024 gemeldet, mit einem Anstieg der vergleichbaren Verkäufe um 3% im vierten Quartal und um 4% für das gesamte Jahr. Aerie erzielte Rekordumsätze mit einem Wachstum der vergleichbaren Verkäufe von 6% im vierten Quartal und 5% im Geschäftsjahr, während American Eagle ein Wachstum von 1% im vierten Quartal und 3% für das Jahr verzeichnete.

Der gesamte Nettoumsatz im vierten Quartal betrug 1,6 Milliarden Dollar, mit einem Betriebsergebnis von 142 Millionen Dollar. Für das Geschäftsjahr 2024 meldete das Unternehmen einen gesamten Nettoumsatz von 5,3 Milliarden Dollar und ein GAAP-Betriebsergebnis von 427 Millionen Dollar. Das bereinigte Betriebsergebnis stieg um 19% auf 445 Millionen Dollar.

Das Unternehmen gab 2024 über 190 Millionen Dollar an die Aktionäre zurück, indem es Aktienrückkäufe durchführte, und kündigte eine neue Genehmigung für weitere 50 Millionen Aktien an. AEO stellte jedoch einen langsameren Start ins erste Quartal 2025 aufgrund einer weniger robusten Nachfrage und kälterem Wetter fest, was zu proaktiven Maßnahmen zur Stärkung des Umsatzes, zur Verwaltung des Inventars und zur Reduzierung der Kosten führte.

Positive
  • Record revenue and significant profit expansion in FY2024
  • Adjusted operating income increased 19% to $445 million
  • Aerie achieved record revenue with 6% Q4 and 5% FY comp growth
  • Total comparable sales increased 4% for the fiscal year
  • Board authorized additional 50 million shares for repurchase
  • Inventory decreased 1% and is reported healthy
Negative
  • Q1 2025 off to slower start due to weak demand
  • Q4 total net revenue declined 4% due to calendar shift
  • Higher freight and product costs impacting gross margin
  • Higher markdowns affecting gross margin
  • Challenging consumer and macroeconomic environment ahead

Insights

AEO delivered solid financial results for fiscal 2024, with 4% comparable sales growth and record revenue despite operating in a challenging retail environment. The company achieved significant profit expansion with adjusted operating income up 19% to $445 million and a healthy operating margin of 8.3%.

The performance was led by Aerie, which posted record revenue with comparable sales growth of 5% for the full year and 6% in Q4. American Eagle also showed improvement with 3% comparable sales growth for the year.

AEO's balance sheet discipline is evident in its inventory management, with total ending inventory down 1%. This positions the company well to navigate the uncertain retail landscape ahead without excessive markdown pressure.

The company demonstrated strong shareholder commitment by returning over $190 million through share repurchases and $96 million in dividends. The new authorization for an additional 50 million shares for repurchase signals management's confidence in long-term prospects despite near-term challenges.

However, investors should note management's cautious commentary regarding Q1 2025, which is "off to a slower start than expected" due to weaker demand and weather impacts. This suggests potential headwinds to near-term performance despite the strong 2024 results.

The planned $300 million capital expenditure for 2025 (including relocation costs) indicates continued investment in growth initiatives despite the uncertain environment, reflecting a balance between prudence and strategic positioning for long-term growth.

AEO's 2024 performance demonstrates effective execution of its "Powering Profitable Growth Plan" in a challenging retail environment. The 4% comparable sales growth outpaced many specialty retailers and shows the company's ability to attract consumers despite inflation pressures.

Particularly impressive is Aerie's continued momentum with 5% annual comp growth following 8% growth in the previous year. This highlights the brand's strong resonance with its target demographic and validates AEO's multi-brand strategy. Aerie continues to be the company's growth engine, while American Eagle has stabilized with 3% comp growth.

The gross margin expansion for the full year indicates effective inventory management and pricing strategies, though Q4 saw some pressure from higher freight and product costs. The company's ability to effectively manage SG&A costs (leveraging by 30 basis points) demonstrates operational discipline.

However, the cautionary outlook for Q1 2025 is concerning and aligns with broader retail industry challenges. Management's acknowledgment of "less robust demand" suggests consumer spending may be weakening beyond seasonal weather impacts. Their proactive approach to "strengthen top-line, manage inventory and reduce expenses" indicates they're preparing for potential continued softness.

The $300 million CapEx plan shows confidence in long-term strategy despite near-term headwinds. The Manhattan office relocation with "more favorable lease terms" suggests smart cost management even while investing for growth.

AEO's inventory position (down 1%) entering 2025 is advantageous compared to peers who might be carrying excess inventory, providing flexibility to respond to changing consumer preferences without excessive markdowns.

Fourth quarter comparable sales growth of 3%, operating income of $142 million

  • Record Aerie revenue with comp growth of 6%; American Eagle comp growth of 1%

Fiscal year comparable sales growth of 4%; record revenue with significant profit expansion

  • Record Aerie revenue with comp growth of 5%. American Eagle comp growth of 3%
  • GAAP operating income of $427 million. Adjusted operating income up 19% to $445 million

Over $190 million returned to shareholders through shares repurchases in 2024; Board of Directors authorizes additional 50 million shares for repurchase

PITTSBURGH--(BUSINESS WIRE)-- American Eagle Outfitters, Inc. (NYSE: AEO) today announced financial results for the fourth quarter and fiscal year 2024 ended February 1, 2025.

“2024 demonstrated significant progress on our Powering Profitable Growth Plan. The team delivered strong operating profit growth with positive momentum across our brands and channels as well as disciplined expense management and operating efficiencies,” commented Jay Schottenstein, AEO’s Executive Chairman of the Board and Chief Executive Officer.

“Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather. While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses. As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities,” he added.

Fourth Quarter 2024 Results:

  • Fourth quarter 2024 results are presented for the 13 weeks ended February 1, 2025 compared to the 14 weeks ended February 3, 2024. Comparable sales metrics are presented for the 13 weeks ended February 1, 2025 compared to the 13 weeks ended February 3, 2024.
  • Total comparable sales increased 3%, following 8% reported comp growth last year.
  • Total net revenue of $1.6 billion declined 4%. This included approximately $85 million of adverse impact from one less selling week and the retail calendar shift.
  • Aerie comparable sales increased 6% on a 13% increase last year. American Eagle comparable sales grew 1% following 6% growth last year.
  • Gross profit of $599 million. Gross margin of 37.3% reflected higher freight and product costs, offset by lower markdowns. BOW costs were roughly neutral.
  • Selling, general and administrative expense of $402 million decreased 6% and leveraged 40 basis points. The improved rate was due to lower compensation, including incentive costs, partially offset by increased advertising.
  • Operating income rose slightly to $142 million, reflecting an operating margin of 8.9%. This included an approximately $20 million adverse impact from one less selling week and the retail calendar shift.
  • Diluted earnings per share was $0.54. Average diluted shares outstanding were 193 million.

Fiscal Year 2024 Results:

  • Fiscal Year 2024 results are presented for the 52 weeks ended February 1, 2025 compared to the 53 weeks ending February 3, 2024. Comparable sales metrics are presented for the 52 weeks ended February 1, 2025 compared to the 52 weeks ended February 3, 2024.
  • Total comparable sales increased 4%, following 3% reported comp growth last year.
  • Total net revenue of $5.3 billion increased 1%. This included an approximately $60 million adverse impact from one less selling week.
  • Aerie comparable sales increased 5% on 8% growth last year. American Eagle comparable sales increased 3% following 1% growth last year.
  • Gross profit of $2.1 billion increased 3%. Gross margin of 39.2% expanded driven by lower rent, utilities and delivery expenses, with a partial offset from higher markdowns.
  • Selling, general and administrative expense of $1.4 billion was roughly in-line to last year and leveraged 30 basis points. The improved rate was due to lower compensation, including incentive costs, partially offset by increased advertising.
  • GAAP Operating income of $427 million. Adjusted operating income of $445 million reflected an operating margin of 8.3%. This included an approximately $5 million adverse impact from one less selling week.
  • GAAP diluted earnings per share was $1.68. Adjusted diluted earnings per share was $1.74. Average diluted shares outstanding were 196 million.

Inventory

Total ending inventory decreased 1% to $637 million. Inventory is healthy and well positioned for the Spring season.

Shareholder Returns

In the fourth quarter the company repurchased 3.5 million shares for $60 million, bringing full-year repurchases to 9.5 million shares for $191 million. The company also returned approximately $24 million in cash to shareholders through its quarterly cash dividend of $0.125 per share, bringing year-to-date cash dividends to $96 million.

New Share Repurchase Authorization

On March 11, 2025, the company's Board of Directors authorized an additional 50 million shares for repurchase under its existing authorization, increasing the total shares available for repurchase to 68.5 million through February 3, 2029.

Share repurchases may be made from time to time in open market or private transactions in such manner as may be deemed advisable from time to time (including, without limitation, pursuant to one or more 10b5-1 trading plans, accelerated share repurchase programs, and any other method that the company may deem advisable) and may be discontinued at any time.

Capital Expenditures

Capital expenditures totaled $65 million in the fourth quarter and $223 million for fiscal year 2024. The company expects 2025 capital expenditures to be approximately $300 million. This includes a one-time $40 million cost of relocating to a new Manhattan office, which provides more favorable lease terms.

Outlook

The company’s outlook reflects near-term headwinds in the consumer and macroeconomic operating environment, balanced with proactive steps the company is taking to strengthen the top-line and reduce expenses.

 

First Quarter 2025 Outlook

Fiscal Year 2025 Outlook

Revenue

Mid-single digit decline

Low-single digit decline

Gross Margin

Down YoY

Down YoY

SG&A

Flat dollars

Low-single digit dollar decline

D&A

-

Approximately $230M

Operating Income

$20 to $25 million

$360 to $375 million

Tax Rate

-

Approximately 25%

Weighted Average Share Count

-

Low 190 million*

Capital Expenditures

-

Approximately $300 million

*Does not include repurchase activity beyond offsetting internal grants

Webcast and Supplemental Financial Information

Management will host a conference call and real time webcast today at 4:30pm Eastern Time. To listen to the call, dial 1-877-407-0789 or internationally dial 1-201-689-8562 or go to www.aeo-inc.com to access the webcast and audio replay. Additionally, a financial results presentation is posted on the company’s website.

About American Eagle Outfitters, Inc.

American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer with a portfolio of beloved apparel brands including American Eagle, Aerie, OFFL/NE by Aerie, Todd Snyder and Unsubscribed. Rooted in optimism, inclusivity and authenticity, AEO’s brands empower every customer to celebrate their unique personal style by offering casual, comfortable, timeless outfitting and high-quality products that are made to last.

AEO Inc. operates stores in the United States, Canada and Mexico, with merchandise available in more than 30 countries through a global network of license partners. Additionally, the company operates a robust e-commerce business across its brands. For more information, visit aeo-inc.com.

Non-GAAP Measures

This press release includes operating income and diluted earnings per share presented on an adjusted or non-GAAP basis, which are non-GAAP financial measures. These financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. Non-GAAP information is provided as a supplement to, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. We believe that this non-GAAP information is useful as an additional means for investors to evaluate our operating performance when reviewed in conjunction with our GAAP Consolidated Financial Statements and provides a higher degree of transparency. These amounts are not determined in accordance with GAAP and, therefore, should not be used exclusively in evaluating our business and operations. The tables included in this release reconcile the GAAP financial measures to the non-GAAP financial measures discussed above for the 52 weeks ended February 1, 2025 and the 13 and 53 weeks ended February 3, 2024.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This release and related statements by management contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995), which represent management’s expectations or beliefs concerning future events, including, without limitation, the outlook for first fiscal quarter and annual fiscal 2025. Words such as “outlook,” "estimate," "project," "plan," "believe," "expect," "anticipate," "intend," “may,” “potential,” and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. All forward-looking statements made by the company are inherently uncertain because they are based on assumptions and expectations concerning future events and are subject to change based on many important factors, some of which may be beyond the company’s control. Except as may be required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise and even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. The following factors, in addition to the risks disclosed in Item 1A., Risk Factors, of our Annual Report on Form 10-K for the fiscal year ended February 3, 2024 and in any other filings that we may make with the Securities and Exchange Commission, in some cases have affected, and in the future could affect, the company's financial performance and could cause actual results to differ materially from those expressed or implied in any of the forward-looking statements included in this release or otherwise made by management: the risk that the company’s operating, financial and capital plans may not be achieved; our inability to anticipate customer demand and changing fashion trends and to manage our inventory commensurately; seasonality of our business; our inability to achieve planned store financial performance; our inability to react to raw material cost, labor and energy cost increases; our inability to gain market share in the face of declining shopping center traffic; our inability to respond to changes in e-commerce and leverage omni-channel demands; our inability to expand internationally; difficulty with our international merchandise sourcing strategies; the possibility that product costs are adversely affected by foreign trade issues (including import tariffs and other trade restrictions imposed by the U.S., China or other countries), currency exchange rate fluctuations, increasing prices for raw materials, supply chain issues, political instability or other reasons; challenges with information technology systems, including safeguarding against security breaches; and global economic, public health, social, political and financial conditions, and the resulting impact on consumer confidence and consumer spending, as well as other changes in consumer discretionary spending habits, which could have a material adverse effect on our business, results of operations and liquidity.

The use of the “company,” “AEO,” “we,” "us," and “our” in this release refers to American Eagle Outfitters, Inc.

 
 

AMERICAN EAGLE OUTFITTERS, INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited; Dollars in thousands)

Fiscal Years Ending

February 1, 2025

February 3, 2024

Assets
Current assets:
Cash and cash equivalents

$

308,962

 

$

354,094

 

Short-term investments

 

50,000

 

 

100,000

 

Merchandise inventory

 

636,655

 

 

640,662

 

Accounts receivable, net

 

262,365

 

 

247,934

 

Prepaid expenses

 

76,088

 

 

65,082

 

Other current assets

 

20,161

 

 

25,578

 

Total current assets

 

1,354,231

 

 

1,433,350

 

Operating lease right-of-use assets

 

1,295,400

 

 

1,005,293

 

Property and equipment, at cost, net of accumulated depreciation

 

751,264

 

 

713,336

 

Goodwill, net

 

225,079

 

 

225,303

 

Non-current deferred income taxes

 

68,158

 

 

82,064

 

Intangible assets, net

 

42,449

 

 

46,109

 

Other assets

 

94,194

 

 

52,454

 

Total assets

$

3,830,775

 

$

3,557,909

 

Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable

$

280,712

 

$

268,308

 

Current portion of operating lease liabilities

 

313,034

 

 

284,508

 

Accrued compensation and payroll taxes

 

113,388

 

 

152,353

 

Unredeemed gift cards and gift certificates

 

70,094

 

 

66,285

 

Accrued income and other taxes

 

30,677

 

 

46,114

 

Other current liabilities and accrued expenses

 

74,751

 

 

73,604

 

Total current liabilities

 

882,656

 

 

891,172

 

Non-current liabilities:
Non-current operating lease liabilities

 

1,133,296

 

 

901,122

 

Other non-current liabilities

 

47,963

 

 

28,856

 

Total non-current liabilities

 

1,181,259

 

 

929,978

 

Commitments and contingencies

 

 

 

 

Stockholders’ equity:
Preferred stock

 

 

 

 

Common stock

 

2,496

 

 

2,496

 

Contributed capital

 

365,845

 

 

360,378

 

Accumulated other comprehensive loss

 

(56,390

)

 

(16,410

)

Retained earnings

 

2,456,063

 

 

2,214,159

 

Treasury stock

 

(1,001,154

)

 

(823,864

)

Total stockholders’ equity

 

1,766,860

 

 

1,736,759

 

Total liabilities and stockholders’ equity

$

3,830,775

 

$

3,557,909

 

 
Current Ratio

 

1.53

 

 

1.61

 

 
 

AMERICAN EAGLE OUTFITTERS, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited; Dollars and shares in thousands, except per share amounts)

GAAP Basis

Fourth Quarter Ended

February 1, 2025

 

February 3, 2024

(In thousands)

 

(Percentage of

revenue)

 

(In thousands)

 

(Percentage of

revenue)

Total net revenue

$

1,604,633

 

100.0

%

$

1,678,910

 

100.0

%

Cost of sales, including certain buying, occupancy and warehouse expenses

 

1,005,458

 

62.7

 

 

1,064,324

 

63.4

 

Gross profit

 

599,175

 

37.3

 

 

614,586

 

36.6

 

Selling, general and administrative expenses

 

401,628

 

25.0

 

 

427,090

 

25.4

 

Impairment, restructuring and other charges

 

-

 

0.0

 

 

120,420

 

7.1

 

Depreciation and amortization expense

 

55,277

 

3.4

 

 

57,840

 

3.5

 

Operating income

 

142,470

 

8.9

 

 

9,236

 

0.6

 

Interest (income), net

 

(2,355

)

(0.1

)

 

(4,961

)

(0.3

)

Other (income), net

 

(3,154

)

(0.2

)

 

(1,505

)

(0.1

)

Income before income taxes

$

147,779

 

9.2

 

$

15,702

 

1.0

 

Provision for income taxes

 

43,433

 

2.7

 

 

9,386

 

0.6

 

Net income

$

104,346

 

6.5

%

$

6,316

 

0.4

%

 
Net income per basic share

$

0.55

 

$

0.03

 

Net income per diluted share

$

0.54

 

$

0.03

 

 
Weighted average common shares outstanding - basic

 

190,497

 

 

197,524

 

Weighted average common shares outstanding - diluted

 

193,496

 

 

199,589

 

 
 

AMERICAN EAGLE OUTFITTERS, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited; Dollars and shares in thousands, except per share amounts)

 

 

 

GAAP Basis

 

 

Fiscal Year Ended

 

 

February 1, 2025

 

February 3, 2024

(In thousands)

(Percentage of

revenue)

(In thousands)

(Percentage of

revenue)

Total net revenue

$

5,328,652

 

100.0

%

$

5,261,770

 

100.0

%

Cost of sales, including certain buying, occupancy and warehouse expenses

 

3,239,719

 

60.8

 

 

3,237,192

 

61.5

 

Gross profit

 

2,088,933

 

39.2

 

 

2,024,578

 

38.5

 

Selling, general and administrative expenses

 

1,431,814

 

26.9

 

 

1,433,300

 

27.2

 

Impairment, restructuring, and other charges

 

17,561

 

0.3

 

 

141,695

 

2.7

 

Depreciation and amortization expense

 

212,255

 

4.0

 

 

226,866

 

4.4

 

Operating income

 

427,303

 

8.0

 

 

222,717

 

4.2

 

Interest (income), net

 

(7,769

)

(0.1

)

 

(6,190

)

(0.1

)

Other (income), net

 

(7,162

)

(0.1

)

 

(10,951

)

(0.2

)

Income before income taxes

$

442,234

 

8.2

 

$

239,858

 

4.5

 

Provision for income taxes

 

112,854

 

2.0

 

 

69,820

 

1.3

 

Net income

$

329,380

 

6.2

%

$

170,038

 

3.2

%

 
Net income per basic share

$

1.71

 

$

0.87

 

Net income per diluted share

$

1.68

 

$

0.86

 

 
Weighted average common shares outstanding - basic

 

193,056

 

 

195,646

 

Weighted average common shares outstanding - diluted

 

196,412

 

 

196,863

 

 
 
AMERICAN EAGLE OUTFITTERS, INC.
NET REVENUE BY SEGMENT
(Unaudited; Dollars in thousands)
Fourth Quarter Ended Fiscal Year Ended
February 1, 2025 February 3, 2024 February 1, 2025 February 3, 2024
Net Revenue:
American Eagle

$

1,000,935

 

$

1,066,092

 

$

3,385,231

 

$

3,361,579

 

Aerie

 

539,673

 

 

537,462

 

 

1,738,414

 

 

1,670,000

 

Other

 

74,906

 

 

159,576

 

 

243,907

 

 

489,056

 

Intersegment Elimination

 

(10,881

)

 

(84,220

)

 

(38,900

)

 

(258,865

)

Total Net Revenue

$

1,604,633

 

$

1,678,910

 

$

5,328,652

 

$

5,261,770

 

 
 

AMERICAN EAGLE OUTFITTERS, INC.

STORE INFORMATION

(Unaudited)

Fourth Quarter Ended

 

Fiscal Year Ended

February 1, 2025

 

February 1, 2025

Consolidated stores at beginning of period

1,186

 

1,182

 

Consolidated stores opened during the period
AE Brand (1)

8

 

22

 

Aerie (incl. OFFL/NE) (2)

5

 

22

 

Todd Snyder

 

4

 

Unsubscribed

1

 

1

 

Consolidated stores closed during the period
AE Brand (1) (3)

(25

)

(45

)

Aerie (incl. OFFL/NE) (2)

(3

)

(13

)

Todd Snyder

 

(1

)

Total consolidated stores at end of period

1,172

 

1,172

 

 
Stores by Brand
AE Brand (1)

829

 

Aerie (incl. OFFL/NE) (2)

318

 

Todd Snyder

19

 

Unsubscribed

6

 

Total consolidated stores at end of period

1,172

 

 
Total gross square footage at end of period (in '000)

7,215

 

7,215

 

 
International license locations at end of period (3) (4)

371

 

371

 

 
(1) AE Brand includes AE stand alone locations, AE/Aerie side-by side locations, AE/OFFL/NE side-by-side locations, and AE/Aerie/OFFL/NE side-by-side locations.
(2) Aerie (incl. OFFL/NE) includes Aerie stand alone locations, OFFL/NE stand alone locations, and Aerie/OFFL/NE side-by-side locations.
(3) Includes 13 AE locations in Hong Kong converted to licensed retail stores in the fourth quarter of 2024.
(4) International license locations (retail stores and concessions) are not included in the consolidated store data or the total gross square footage calculation.
 
 

AMERICAN EAGLE OUTFITTERS, INC.

GAAP to Non-GAAP Reconciliation

(Dollars in thousands, except per share amounts)

Fiscal Year Ended

February 1, 2025

Operating

Income

 

Income Tax

Expense

 

Effective Tax

Rate

 

Net Income

 

Earnings per

Diluted Share

GAAP Basis

$

427,303

 

$

112,854

25.5

%

$

329,380

 

$

1.68

% of Revenue

 

8.0

%

 

6.2

%

 
Add: Impairment, restructuring and other charges

$

17,561

 

$

12,983

 

$

0.06

 
Tax effect of the above

$

4,577

 
Non-GAAP Basis

$

444,864

 

$

117,431

25.5

%

$

342,363

 

$

1.74

% of Revenue

 

8.3

%

 

6.4

%

 
The Fiscal 2024 adjustments relate to restructuring costs related to employee severance, as well as impairment and restructuring costs related to the sale of the Company's Hong Kong retail operations to a third party buyer. Please refer to Note 14. “Impairment, Restructuring and Other Charges,” to the Consolidated Financial Statements included in the Company's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on December 12, 2024 for further information on the nature of these amounts.
 
 

AMERICAN EAGLE OUTFITTERS, INC.

GAAP to Non-GAAP Reconciliation

(Dollars in thousands, except per share amounts)

Fourth Quarter Ended

February 3, 2024

Gross

 

Operating

 

Income Tax

 

Effective

 

Net

 

Earnings per

Profit

 

Income

 

Expense

 

Tax Rate

 

Income

 

Diluted Share

GAAP Basis

$

614,586

 

$

9,236

 

$

9,386

59.8

%

$

6,316

 

$

0.03

% of Revenue

 

36.6

%

 

0.6

%

 

0.4

%

 
Add: Impairment, Restructuring and Other Charges

$

10,950

 

$

131,370

 

$

115,081

 

$

0.58

 
Tax effect of the above

$

16,289

(34.7

)%

 
Non-GAAP Basis

$

625,536

 

$

140,606

 

$

25,675

17.5

%

$

121,397

 

$

0.61

% of Revenue

 

37.3

%

 

8.4

%

 

7.2

%

 
The Fiscal 2023 adjustments relate to certain inventory provisions, asset impairments, restructuring and other charges recognized in relation to Quiet Platforms, as well as the company’s international and corporate operations. Please refer to Note 16. “Impairment, Restructuring and Other Charges,” to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 15, 2024 for further information on the nature of these amounts.
 
 

AMERICAN EAGLE OUTFITTERS, INC.

GAAP to Non-GAAP Reconciliation

(Dollars in thousands, except per share amounts)

Fiscal Year Ended

February 3, 2024

Gross

 

Operating

 

Income Tax

 

Effective

 

Net

 

Earnings per

Profit

 

Income

 

Expense

 

Tax Rate

 

Income

 

Diluted Share

GAAP Basis

$

2,024,578

 

$

222,717

 

$

69,820

29.1

%

$

170,038

 

$

0.86

% of Revenue

 

38.5

%

 

4.2

%

 

3.2

%

 
Add: Impairment, Restructuring and Other Charges

$

10,950

 

$

152,645

 

$

129,875

 

$

0.66

 
Tax effect of the above

$

22,770

(5.3

)%

 
Non-GAAP Basis

$

2,035,528

 

$

375,362

 

$

92,590

23.6

%

$

299,913

 

$

1.52

% of Revenue

 

38.7

%

 

7.1

%

 

5.7

%

 
The Fiscal 2023 adjustments relate to certain inventory provisions, asset impairments, restructuring and other charges recognized in relation to Quiet Platforms, as well as the company’s international and corporate operations. Please refer to Note 16. “Impairment, Restructuring and Other Charges,” to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 15, 2024 for further information on the nature of these amounts.

 

Line Media

412-432-3300

LineMedia@ae.com

Source: American Eagle Outfitters, Inc.

FAQ

What were AEO's comparable sales growth figures for Q4 2024?

AEO reported 3% total comparable sales growth in Q4 2024, with Aerie up 6% and American Eagle up 1%.

How much did AEO return to shareholders in 2024?

AEO returned over $190 million through share repurchases and approximately $96 million in cash dividends to shareholders in 2024.

What is AEO's new share repurchase authorization?

On March 11, 2025, AEO's Board authorized an additional 50 million shares for repurchase, increasing total available shares to 68.5 million through February 2029.

What is AEO's capital expenditure outlook for 2025?

AEO expects 2025 capital expenditures of approximately $300 million, including a one-time $40 million cost for relocating to a new Manhattan office.

How did Aerie perform in fiscal year 2024?

Aerie achieved record revenue with 5% comparable sales growth in fiscal year 2024, following 8% growth in the previous year.
American Eagle Outfitters Inc

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Apparel Retail
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United States
PITTSBURGH