American Eagle Outfitters announced its financial results for the third quarter of fiscal 2024, which ended November 2, 2024. The company reported total net revenue of $1.289 billion, a 1% decrease year-over-year, which included a $45 million negative impact from a retail calendar shift. Comparable sales, however, increased by 3% across all brands and channels.
Gross profit for the quarter was $526.6 million, resulting in a gross margin of 40.9%, down from 41.8% in the prior year. Operating income reached $106.1 million, with an operating margin of 8.2%, compared to $125.4 million and 9.6% in the previous year. The company also recorded an $18 million impairment and restructuring charge, with $6 million being non-cash, related to streamlining corporate costs and transitioning Hong Kong operations to a licensed model.
For the fourth quarter of fiscal 2024, American Eagle expects comparable sales to be up approximately 1%, with total revenue down 4% due to an $85 million impact from the retail calendar shift and one less selling week. Operating income is projected to be between $125 million and $130 million. For the full fiscal year 2024, the company anticipates comparable sales growth of approximately 3% and adjusted operating income in the range of $428 million to $433 million.
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