Pittsburgh — American Eagle Outfitters net income more than doubled as the company cut costs to offset a sales decline. Net income for the three months ended April 30 rose to $28.3 million from $10.9 million last year. Its results met analyst expectations.
Revenue decreasded 6% to $609.6 million,less than expected. Same-store sales fell 8%.
While sales for the quarter came in lower than anticipated, we achieved EPS within our expected range,” said Jim O’Donnell, American Eagle CEO. “A higher merchandise margin and the positive impact of our expense control initiatives contributed to the bottom line. During the quarter, we continued to implement strategic initiatives across our brands that will position the business for improved performance in the second half of the year and fuel longer-term, profitable growth.”
In the second quarter, American Eagle said it will invest in certain inventory items and expand its accessory business.