American Eagle reports third quarter net income of $78.6 million
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The holiday sales period started off well, American Eagle Outfitters said this morning, with "record" results over the Thanksgiving weekend.
Meanwhile, in the third quarter, the South Side retailer reported net income of $78.6 million, or 39 cents per share, compared to $52.4 million, or 27 cents per share, during the same period last year.
Results for the three months ended Oct. 27 were dampened by a loss from the discontinued 77kids business that American Eagle shed earlier this year. The new owners are in the process of changing the children's clothing chain's name to Ruum.
Income from continuing American Eagle operations rose 37 percent in the third quarter to 41 cents per share, compared to 30 cents last year. Analysts polled by Thomson Financial had been looking, on average, for 39 cents per share.
The teen retailer said sales rose 11 percent to hit $910 million in the third quarter. Sales at stores that have been open at least a year, including online sales, were up 10 percent.
While the Black Friday weekend launched by the Thanksgiving holiday is important, American Eagle's fourth quarter continues into January. The company is projecting earnings per share from continuing operations in the range of 54 to 56 cents per share, while analysts are looking for 55 cents.
For the fiscal year, the company is targeting earnings per share from continuing operations in the range of $1.38 to $1.40, exceeding the consensus Wall Street target of $1.37.
First Published November 28, 2012 8:51 am