earnings
confidence high
sentiment neutral
materiality 0.50
AEO Q4-to-date revenue down ~3%; gross margins at high end of guidance
AMERICAN EAGLE OUTFITTERS INC
- Fourth quarter-to-date brand revenue down approximately 3% through Jan 7, 2023; American Eagle slightly ahead, Aerie in line.
- Gross margins tracking at high end of 32-33% guidance, driven by controlled promotions and strong inventory management.
- Quiet Logistics expected to add 2 percentage points to Q4 brand revenue.
- Quarter-end inventory expected down vs prior year, in line with prior guidance.
- Second highest holiday sales period in company history despite record prior year.