American Eagle Outfitters reported fourth quarterChristian Fernsby ▼ | March 5, 2020
Total net revenue for the fourth quarter ended February 1, 2020 increased $70 million, or 6% to $1.31 billion compared to $1.24 billion for the fourth quarter ended February 2, 2019.
American Eagle Outfitters Consolidated comparable sales increased 2%
Topics: American Eagle Outfitters
This marked the 20th consecutive quarter of positive comparable sales.
American Eagle comparable sales decreased 3%, compared to a 3% increase last year.
Aerie’s comparable sales increased 26%, following a 23% increase last year, marking the 21st consecutive quarter of double digit sales growth.
Gross profit decreased $23 million or 5% to $408 million, compared to $431 million last year.
The gross margin rate of 31.0% declined from 34.6% last year.
Higher markdowns were the primary cause of the reduction to last year.
Increased distribution center and delivery costs were offset by lower incentives and slight rent leverage.
Depreciation and amortization expense increased 8% to $44 million, increasing 10 basis points to 3.4% as a rate to revenue.
Operating income of $0.5 million compared to $101 million last year.
Adjusted operating income of $77 million excluded $76 million of impairment and restructuring charges.
As a rate to revenue, adjusted operating income decreased to 5.8% from 8.2% last year. ■