A shopper walks past an American Eagle store in the mall.

Tim Boyle | Getty Images News | Getty Images

American Eagle released mixed results for the second quarter of its fiscal year on Thursday as earnings beat analysts’ estimates but sales were lower as the e-commerce business slowed year over year.

The company, which also owns lingerie brand Aerie, said reduced promotions and controlled costs increased its profitability over the summer months.

Shares fell more than 4% in pre-trading on the news.

Here’s how American Eagle performed for the quarter ended July 31st compared to Wall Street’s expectations using refinitive estimates:

  • Earnings per share: 60 cents adjusted vs. 55 cents expected
  • Revenue: $ 1.19 billion versus an expected $ 1.23 billion

American Eagle’s net income rose to $ 121.5 million, or 58 cents per share, from a loss of $ 13.8 million, or 8 cents per share, last year. Without one-off effects, it made 60 cents per share, up from the 55 cents analysts had been looking for.

Revenue increased 35% to $ 1.19 billion from $ 883.5 in the same period last year. That fell short of the analyst forecast of $ 1.23 billion.

Aerie sales were $ 336 million, up 34% year-over-year. American Eagle’s sales increased 35% to $ 846 million over the same period.

Digital sales were 5% lower than in 2020. Last summer, due to the Covid pandemic, many consumers chose to shop online rather than visit stores. According to American Eagle, digital sales increased 66% on a two-year basis.

The company did not provide an outlook in its press release.

At the close of trading on Wednesday, American Eagle’s shares were up nearly 50% year-to-date. The company’s market capitalization is $ 5.04 billion.

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