American Eagle Outfitters Inc (AEO)

AEO Inc. Reports First Quarter Fiscal 2026 ResultsMay 28, 2026 4:05 PM
Business Wire Record first quarter revenue of $1.2 billion, increasing 10% to last year Aerie achieved record first quarter revenue with comps up 25%; surpasses $2 billion in revenue on a trailing 12 month basis Operating profit of $28 million exceeded first quarter guidance Reiterates fiscal 2026 operating income guidance of $390 to $410 million American Eagle Outfitters, Inc. (NYSE: AEO) today announced financial results for the first quarter ended May 2, 2026. “We entered 2026 with strong momentum, delivering double-digit top-line growth and operating income ahead of guidance. This quarter reflected the strength of our portfolio and the power of Aerie. Driven by compelling product assortments and a deep emotional connection with customers, the brand achieved exceptional multi-channel growth and profitability, further amplified by the continued relevance of the '100% Aerie REAL' campaign. While results at American Eagle were mixed, our teams are moving decisively to reignite the women’s business and strengthen product execution and brand positioning,” commented Jay Schottenstein, Executive Chairman of the Board and Chief Executive Officer - AEO Inc. “Looking ahead, ?our priorities are ?clear. ?Despite continued ?consumer ?and macroeconomic ?uncertainty, we ?remain confident ?in our ability to navigate near-term ?headwinds. We are ?focused on ?operational excellence and disciplined ?execution to drive long-term ?value ?for ?AEO ?and our shareholders,” he concluded. First Quarter 2026 Results: Total net revenue of $1.2 billion increased 10% to last year. Total comparable sales increased 8%. Aerie comparable sales grew 25%. American Eagle comparable sales decreased 2%. Gross profit of $456 million rose 41% from $322 million last year. The gross margin of 38.2% increased 860 basis points to last year. Merchandise margins improved 710 basis points, driven primarily by last year’s $75 million inventory writedown. Buying, Occupancy and Warehousing (BOW) expenses leveraged 150 basis points due to the increase in sales and continued cost optimization initiatives. Selling, general and administrative (SG&A) expenses of $376 million increased 11% and 40 basis points to a rate of 31.5%. The increase was driven by planned investments in advertising, partially offset by leverage in the balance of the expense base. Operating profit was $28 million compared to operating loss of $(85) million, or $(68) million on an adjusted basis, last year. Operating margin of 2.4% compared to (7.8)%, or adjusted operating margin of (6.2)%, last year. Other income of $7 million included a $6 million gain on equity method investments. Interest expense of $8 million increased due to an agreement related to the sale of certain tariff refund claims. GAAP diluted earnings per share of $0.14 compared to $(0.36) last year and adjusted diluted earnings per share of $0.14 compared to $(0.29) last year. Average diluted shares outstanding were 172 million. Inventory Total ending inventory increased 27% to $817 million with units up 5%. The increase in cost reflects the impact of tariffs this year and the comparison to last year’s inventory write-down. Shareholder Returns During the first quarter, the company repurchased 3 million shares for $53 million. Additionally, the company returned $21 million to shareholders via its quarterly cash dividend of $0.125 per share. Capital Expenditures Capital expenditures totaled $61 million in the first quarter. The company expects 2026 capital expenditures to be in the range of $250 to 260 million. Outlook *All guidance is based on estimates and includes a tariff rate of 10% for second quarter receipts and 15% for the back-half of the fiscal year. Guidance excludes any impact from International Emergency Economic Powers Act (IEEPA) tariff refunds.   Second Quarter 2026 Outlook Fiscal Year 2026 Outlook Comparable Sales +Mid-to-High Single Digit +Mid Single Digit Gross Margin Down YoY Up YoY SG&A +Mid Teens +HSD Depreciation and Amortization Mid $50 millions Approximately $220 M Operating Income $45M to $50 M $390 to $410 M Weighted Average Share Count Low 170 millions Low 170 millions   Webcast and Supplemental Financial Information Management will host a conference call today at 4:30 p.m. Eastern Time. To access the live webcast and audio replay, please click here. Additionally, a financial results presentation is posted in the Investor Relations section on AEO’s website, www.aeo-inc.com. About American Eagle Outfitters, Inc. American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer with a portfolio of beloved apparel brands including American Eagle, Aerie, OFFL/NE by Aerie, Todd Snyder and Unsubscribed. Rooted in optimism, inclusivity and authenticity, AEO’s brands empower every customer to celebrate their unique personal style by offering casual, comfortable, timeless outfitting and high-quality products that are made to last. AEO Inc. operates stores in the United States, Canada and Mexico, with merchandise available in more than 30 countries through a global network of license partners. Additionally, the company operates a robust e-commerce business across its brands. For more information, visit aeo-inc.com. Non-GAAP Measures This press release includes operating income and diluted earnings per share presented on an “adjusted” or “non-GAAP” basis, which are non-GAAP financial measures. Non-GAAP financial measures are not based on any standardized methodology prescribed by U.S. generally accepted accounting principles (GAAP) and are not necessarily comparable to similar measures presented by other companies. Non-GAAP information is provided as a supplement to, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. We believe that this non-GAAP information is useful as an additional means for investors to evaluate our operating performance when reviewed in conjunction with our GAAP Consolidated Financial Statements and provides a higher degree of transparency. These amounts are not determined in accordance with GAAP and, therefore, should not be used exclusively in evaluating our business and operations. The tables included in this release reconcile the GAAP financial measures to the non-GAAP financial measures discussed above for the 13 weeks ended May 3, 2025. SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 This release and related statements by management contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995), which represent management’s expectations or beliefs concerning future events, including, without limitation, expected results for the second quarter and full-year fiscal 2026. Words such as “outlook,” "estimate," "project," "plan," "believe," "expect," "anticipate," "intend," “may,” “potential,” and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. All forward-looking statements made by the company are inherently uncertain because they are based on assumptions and expectations concerning future events and are subject to change based on many important factors, some of which may be beyond the company’s control. Except as may be required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise and even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. The following factors, in addition to the risks disclosed in Item 1A., Risk Factors, of our Annual Report on Form 10-K for the fiscal year ended January 31, 2026 and in any other filings that we may make with the Securities and Exchange Commission, in some cases have affected, and in the future could affect, the company's financial performance and could cause actual results to differ materially from those expressed or implied in any of the forward-looking statements included in this release or otherwise made by management: the risk that the company’s operating, financial and capital plans may not be achieved; our inability to anticipate fluctuations in customer demand and respond to changing consumer preferences and fashion trends and to manage our inventory commensurately; the seasonality of our business; our inability to achieve planned store financial performance and gain market share in the face of declining shopping center traffic or attract customers to our stores; our inability to react to raw material cost, labor and energy cost increases; our inability to respond to changes in e-commerce and leverage omni-channel capabilities; our inability to execute on our key business priorities; our inability to expand internationally; difficulty with our international merchandise sourcing strategies; the impact that foreign trade issues, including import tariffs and other trade restrictions imposed by the U.S., China or other countries have had, and may continue to have, on our product costs, as well as continued uncertainty with respect to tariffs and other trade restrictions, the possibility that product costs may be affected by other foreign trade issues, such as currency exchange rate fluctuations, increasing prices for raw materials, supply chain issues, the potential for a trade war, political instability or other reasons; challenges with information technology systems, including safeguarding against security breaches; changes to U.S. or other countries' trade policies and tariff and import/export regulations, and global economic, public health, social, political and financial conditions, and the resulting impact on consumer confidence and consumer spending, as well as other changes in consumer discretionary spending habits, which could have a material adverse effect on our business, results of operations and liquidity. The use of the “company,” “AEO,” “we,” "us," and “our” in this release refers to American Eagle Outfitters, Inc.   AMERICAN EAGLE OUTFITTERS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited; Dollars and shares in thousands, except per share amounts) 13 weeks ended May 2, 2026 May 3, 2025 (In thousands) (Percentage of revenue) (In thousands) (Percentage of revenue) Total net revenue $ 1,195,285   100.0   % $ 1,089,599   100.0   % Cost of sales, including certain buying, occupancy and warehouse expenses   739,113   61.8     767,178   70.4   Gross profit   456,172   38.2     322,421   29.6   Selling, general and administrative expenses   376,492   31.5     338,786   31.1   Impairment and restructuring charges   -   -     17,119   1.6   Depreciation and amortization expense   51,454   4.3     51,697   4.7   Operating income (loss)   28,226   2.4     (85,181 ) (7.8 ) Interest expense (income), net   7,853   0.7     (219 ) 0.0   Other (income) expense, net   (7,222 ) (0.6 )   168   0.0   Income (loss) before income taxes $ 27,595   2.3   $ (85,130 ) (7.8 ) Provision (Benefit) for income taxes   4,658   0.4     (19,712 ) (1.8 ) Net income (loss) $ 22,937   1.9   $ (65,418 ) (6.0 ) Net loss attributable to non-controlling interests   588   0.1     519   0.0   Net income (loss) attributable to AEO $ 23,525   2.0   % $ (64,899 ) (6.0 ) %   Basic net income (loss) per common share attributable to AEO $ 0.14   $ (0.36 ) Diluted net income (loss) per common share attributable to AEO $ 0.14   $ (0.36 )   Weighted average common shares outstanding - basic   167,835     179,548   Weighted average common shares outstanding - diluted   172,342     179,548     AMERICAN EAGLE OUTFITTERS, INC. CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands) May 2, 2026 May 3, 2025 Assets Current assets: Cash and cash equivalents $ 103,286   $ 87,853   Merchandise inventory   816,666     645,062   Accounts receivable, net   200,781     228,561   Prepaid expenses   94,383     103,466   Other current assets   23,477     23,082   Total current assets   1,238,593     1,088,024   Operating lease right-of-use assets   1,580,670     1,471,705   Property and equipment, at cost, net of accumulated depreciation   794,943     765,594   Goodwill, net   225,275     225,225   Non-current deferred income taxes   88,068     78,483   Intangible assets, net   36,855     41,549   Other assets   116,466     96,774   Total assets $ 4,080,870   $ 3,767,354   Liabilities and Stockholders’ Equity Current liabilities: Accounts payable $ 203,813   $ 247,994   Current portion of operating lease liabilities   310,586     319,626   Accrued compensation and payroll taxes   67,810     58,380   Unredeemed gift cards and gift certificates   67,408     63,282   Accrued income and other taxes   44,089     23,114   Other current liabilities and accrued expenses   107,920     75,261   Total current liabilities   801,626     787,657   Non-current liabilities: Non-current operating lease liabilities   1,479,103     1,337,489   Long-term debt, net   85,000     110,000   Other non-current liabilities   71,597     57,992   Total non-current liabilities   1,635,700     1,505,481   Stockholders’ equity: Preferred stock   —     —   Common stock   2,496     2,496   Contributed capital   354,723     362,342   Accumulated other comprehensive loss   (15,221 )   (42,105 ) Retained earnings   2,565,906     2,361,273   Treasury stock   (1,263,237 )   (1,212,774 ) Total AEO stockholders' equity   1,644,667     1,471,232   Non-controlling interests   (1,123 )   2,984   Total stockholders’ equity   1,643,544     1,474,216   Total liabilities and stockholders’ equity $ 4,080,870   $ 3,767,354     Current Ratio   1.55     1.38     AMERICAN EAGLE OUTFITTERS, INC. GAAP to Non-GAAP Reconciliation (Dollars in thousands, except per share amounts) (Unaudited) 13 Weeks Ended May 3, 2025 Operating Loss Income Tax Benefit Effective Tax Rate Net Loss Attributable to AEO Earnings per Diluted Share GAAP Basis $ (85,181 ) $ (19,712 ) 23.2 % $ (64,899 ) $ (0.36 ) % of Revenue   (7.8% )   (6.0% )   Add: Impairment and restructuring charges (1) $ 17,119   $ 13,131     0.07     Tax effect of the above (2) $ 3,988     Non-GAAP Basis $ (68,062 ) $ (15,724 ) 23.1 % $ (51,768 ) $ (0.29 ) % of Revenue   (6.2% )   (4.8% )     (1) The Company recorded $15.3 million of asset impairment charges primarily related to closing two fulfillment centers as part of its supply chain network optimization project. Of this amount, $10.4 million of charges relate to ROU assets and $4.9 million relates to property and equipment. The Company also recorded $1.8 million of employee severance, primarily related to closing two fulfillment centers. (2) The tax effect of excluded items is the difference between the tax provision calculated on a GAAP basis and on a non-GAAP basis.   AMERICAN EAGLE OUTFITTERS, INC. NET REVENUE BY SEGMENT (Unaudited; Dollars in thousands) 13 weeks ended May 2, 2026 May 3, 2025 Net Revenue: American Eagle $ 678,476 $ 693,865   Aerie   480,826   359,788   Other   35,983   43,970   Intersegment Elimination   -   (8,024 ) Total Net Revenue $ 1,195,285 $ 1,089,599     AMERICAN EAGLE OUTFITTERS, INC. STORE INFORMATION (Unaudited) 13 weeks ended May 2, 2026 Consolidated stores at beginning of period 1,168 Consolidated stores opened during the period AE Brand (1) 3 Aerie (incl. OFFL/NE) (2) 3 Consolidated stores closed during the period AE Brand (1) (4) Total consolidated stores at end of period 1,170   Stores by Brand AE Brand (1) 804 Aerie (incl. OFFL/NE) (2) 335 Todd Snyder 23 Unsubscribed 8 Total consolidated stores at end of period 1,170   Total gross square footage at end of period (in '000) 7,220   International license locations at end of period (3) 357   (1) AE Brand includes AE stand alone locations, AE/Aerie side-by side locations, AE/OFFL/NE side-by-side locations, and AE/Aerie/OFFL/NE side-by-side locations. (2) Aerie (incl. OFFL/NE) includes Aerie stand alone locations, OFFL/NE stand alone locations, and Aerie/OFFL/NE side-by-side locations. (3) International license locations (retail stores and concessions) are not included in the consolidated store data or the total gross square footage calculation.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260527622383/en/ Corporate Communications & Investor Relations
412-432-3300
LineMedia@ae.com Original: AEO Inc. Reports First Quarter Fiscal 2026 Results

AEO Inc. to Report First Quarter Fiscal 2026 Results on May 28, 2026May 7, 2026 4:30 PM
Business Wire American Eagle Outfitters, Inc. (NYSE: AEO) will report its first quarter fiscal 2026 results by press release on Thursday, May 28, 2026 after market close. At that time, a presentation of AEO’s first quarter results will be available on the company’s website. The company will also host a summary of its first quarter results with a live conference call that will be webcast on Thursday, May 28, 2026 at 4:30 PM (ET). Webcast: To listen to the live webcast, click here.
Replay: A replay will be available approximately 30 minutes following the event's conclusion at this link. The call will be archived and made available online in the Investor Relations section of AEO’s website, www.aeo-inc.com. About American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer with a portfolio of beloved apparel brands including American Eagle, Aerie, OFFL/NE by Aerie, Todd Snyder and Unsubscribed. Rooted in optimism, inclusivity and authenticity, AEO’s brands empower every customer to celebrate their unique personal style by offering casual, comfortable, timeless outfitting and high-quality products that are made to last. AEO Inc. operates stores in the United States, Canada and Mexico, with merchandise available in more than 30 countries through a global network of license partners. Additionally, the company operates a robust e-commerce business across its brands. For more information, visit aeo-inc.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260507845274/en/ Investor Relations and Corporate Communications
412-432-3300
LineMedia@ae.com Original: AEO Inc. to Report First Quarter Fiscal 2026 Results on May 28, 2026

American Eagle Shares Tick Higher Following Sydney Sweeney Summer Campaign LaunchApril 15, 2026 10:18 AM
IH Market News
American Eagle Outfitters (NYSE:AEO) shares rose around 1% after the company unveiled its latest summer marketing campaign featuring actress Sydney Sweeney.The campaign, titled “Syd for Short: American Eagle Jean Shorts,” highlights denim shorts as a key seasonal staple. It builds on the brand’s ongoing collaboration with Sweeney, presenting her in relaxed, everyday environments wearing American Eagle’s denim styles.“From the free-spirits of the 1970s to the trendsetters of today, jean shorts have been the highlight of summer fashion for generations and no one perfects the warm-weather style like American Eagle,” said Jennifer Foyle, President and Executive Creative Director, AE & Aerie.The campaign showcases core products such as the Low-Rise Shortie and promotes the brand’s wide selection of shorts, which includes more than 200 styles and washes across both women’s and men’s ranges. For the summer season, American Eagle is also introducing over 850 new items centered on casual denim and adaptable tops.This initiative marks Sweeney’s second consecutive campaign tied to custom denim pieces supporting Crisis Text Line, a nonprofit focused on providing free mental health assistance. The ‘Syd Jean’ and ‘Syd Short’ designs feature a butterfly motif symbolizing support for survivors of domestic violence, with American Eagle committing 100% of proceeds from these items to the organization.American Eagle stock price

Original: American Eagle Shares Tick Higher Following Sydney Sweeney Summer Campaign Launch

AEO Inc. Reports Strong Fourth Quarter Fiscal 2025 Results; Provides Fiscal 2026 OutlookMarch 4, 2026 4:05 PM
Business Wire

Total revenue increased 10% to a record $1.8 billion, driven by total comparable sales increase of 8% with positive results across brands



Aerie comps +23%, American Eagle comps +2%



Returned $341 million to shareholders in 2025 from $256 million in shares repurchases and $85 million in dividends



Fiscal 2026 operating income guidance of $390 to $410 million



American Eagle Outfitters, Inc. (NYSE: AEO) today announced financial results for the fourth quarter and fiscal year ended January 31, 2026, and provided its outlook for fiscal year 2026.


Jay Schottenstein, Executive Chairman of the Board and Chief Executive Officer, AEO Inc., commented, “I am extremely pleased with the strong execution in the back half of the year, which reignited growth across our brands and channels. Building on the improved trends beginning last summer, we achieved a record fourth quarter and holiday period, with double digit growth at Aerie and OFFLINE and solid, positive performance at American Eagle. Compelling new product collections, supported by fresh marketing campaigns, led to higher demand trends in the quarter. I want to thank our associates for their resilience and outstanding execution to deliver a strong finish to 2025.”


“We enter 2026 from a position of strength with the goal of building on this year’s successes. The first quarter is off to a positive start and we remain focused on investing in our brands and driving additional corporate savings and efficiency across the business. I’m confident that our strategic actions will lead to long-term profitable growth and shareholder value creation,” he concluded.


Fourth Quarter 2025 Results:



Total net revenue of $1.8 billion increased 10% to last year. Total comparable sales increased 8%, on top of 3% comp growth last year.



Aerie comparable sales increased 23% on a 6% increase last year. American Eagle comparable sales grew 2% following 1% growth last year.



Gross profit of $651 million rose 9% from $599 million last year. The gross margin of 37.0% declined 30 basis points to last year.


The net tariff impact was $50 million or 280 basis points to gross margin. Increased markdowns were largely offset by leverage on positive sales combined with lower costs, favorable currency and operational efficiencies.



Buying, Occupancy and Warehousing (BOW) expenses leveraged 50 basis points due to positive sales.






Selling, general and administrative (SG&A) expenses increased 4% to $418 million, leveraging 120 basis points to a rate of 23.8% to revenue. Overall cost efficiencies and lower incentives were offset by planned investments in advertising.



GAAP operating profit was $96 million, which includes $84 million of impairment and restructuring charges related to the company’s exit from the Quiet Platform third party logistics business, store impairments and general corporate restructuring.



Adjusted operating profit of $180 million increased 27% from $142 million last year. The adjusted operating margin of 10.2% expanded 130 basis points from 8.9% last year.



Other income of $15 million reflected unrealized gains on investments previously disclosed.



GAAP Diluted earnings per share of $0.50 compared to $0.54 last year.



Adjusted diluted earnings per share of $0.84 compared to $0.54 last year. Average diluted shares outstanding were 176 million.



Fiscal Year 2025 Results:



Total net revenue of $5.5 billion increased 3% versus last year. Total comparable sales increased 3%, on top of 4% comp growth last year.



Aerie comparable sales increased 9% on 5% growth last year. American Eagle comparable sales were flat following 3% growth last year.



Gross profit of $2.0 billion decreased 3%. Gross margin of 36.9% decreased 230 basis points largely reflecting an inventory write-down taken in the first quarter, higher markdowns and the impact of tariffs, partially offset by business improvement and cost efficiencies in the second half of the year.



Selling, general and administrative expense of $1.5 billion increased 4%, up 10 basis points as a rate to revenue. Lower incentive costs and general cost savings were offset by planned investments in advertising.



GAAP Operating income of $226 million, which includes $102 million of impairment and restructuring charges related to the company’s exit from the Quiet Platforms third party logistics business, store impairments and general corporate restructuring. GAAP operating income was $427 million last year.



Adjusted operating income of $328 million compared to adjusted operating income of $445 million last year.



GAAP diluted earnings per share was $1.09 compared to $1.68 last year.



Adjusted diluted earnings per share was $1.50 compared to adjusted diluted earnings per share of $1.74 last year. Average diluted shares outstanding were 176 million.



Inventory


Total ending inventory increased 10% to $702 million with units up 3%. Ending cost inventory includes the impact of tariffs.


Shareholder Returns


In the fourth quarter the company repurchased one million shares for $25 million, bringing full year repurchases to 21 million shares for $256 million. The company also returned $21 million to shareholders via its quarterly cash dividend of $0.125 per share, bringing year-to-date cash dividends to $85 million.


Capital Expenditures


Capital expenditures totaled $59 million in the fourth quarter, bringing full year spend to $261 million. The company expects 2026 capital expenditures to be in the range of $250 to $260 million.


Outlook


*All guidance is based on estimates and includes tariffs reflecting 2025 IEEPA guidelines.




 






First Quarter 2026 Outlook






Fiscal Year 2026 Outlook








Comparable Sales






+High Single Digit






+Mid Single Digit








Gross Margin






Up YoY






Up YoY








SG&A






+10%






+MSD








Depreciation and Amortization






$54 M






$225 M








Operating Income






$20 to $25 M






$390 to $410 M








Weighted Average Share Count






176 M






177 M








Capital Expenditures






-






$250 to $260 M







About American Eagle Outfitters, Inc.


American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer with a portfolio of beloved apparel brands including American Eagle, Aerie, OFFL/NE by Aerie, Todd Snyder and Unsubscribed. Rooted in optimism, inclusivity and authenticity, AEO’s brands empower every customer to celebrate their unique personal style by offering casual, comfortable, timeless outfitting and high-quality products that are made to last.


AEO Inc. operates stores in the United States, Canada and Mexico, with merchandise available in more than 30 countries through a global network of license partners. Additionally, the company operates a robust e-commerce business across its brands. For more information, visit aeo-inc.com.


Non-GAAP Measures


This press release includes operating income and diluted earnings per share presented on an “adjusted” or “non-GAAP” basis, which are non-GAAP financial measures. Non-GAAP financial measures are not based on any standardized methodology prescribed by U.S. generally accepted accounting principles (GAAP) and are not necessarily comparable to similar measures presented by other companies. Non-GAAP information is provided as a supplement to, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. We believe that this non-GAAP information is useful as an additional means for investors to evaluate our operating performance when reviewed in conjunction with our GAAP Consolidated Financial Statements and provides a higher degree of transparency. These amounts are not determined in accordance with GAAP and, therefore, should not be used exclusively in evaluating our business and operations. The tables included in this release reconcile the GAAP financial measures to the non-GAAP financial measures discussed above for the 13 weeks ended January 31, 2026 and both the 52 weeks ended January 31, 2026 and February 1, 2025.


SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995


This release and related statements by management contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995), which represent management’s expectations or beliefs concerning future events, including, without limitation, expected results for the first quarter and full-year Fiscal 2026. Words such as “outlook,” "estimate," "project," "plan," "believe," "expect," "anticipate," "intend," “may,” “potential,” and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. All forward-looking statements made by the company are inherently uncertain because they are based on assumptions and expectations concerning future events and are subject to change based on many important factors, some of which may be beyond the company’s control. Except as may be required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise and even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. The following factors, in addition to the risks disclosed in Item 1A., Risk Factors, of our Annual Report on Form 10-K for the fiscal year ended February 1, 2025 and in any other filings that we may make with the Securities and Exchange Commission, in some cases have affected, and in the future could affect, the company's financial performance and could cause actual results to differ materially from those expressed or implied in any of the forward-looking statements included in this release or otherwise made by management: the risk that the company’s operating, financial and capital plans may not be achieved; our inability to anticipate fluctuations in customer demand and respond to changing consumer preferences and fashion trends and to manage our inventory commensurately; the seasonality of our business; our inability to achieve planned store financial performance; our inability to react to raw material cost, labor and energy cost increases; our inability to gain market share in the face of declining shopping center traffic or attract customers to our stores; our inability to respond to changes in e-commerce and leverage omni-channel capabilities; our inability to execute on our key business priorities; our inability to expand internationally; difficulty with our international merchandise sourcing strategies; the impact that import tariffs and other trade restrictions imposed by the U.S., China or other countries have had, and may continue to have, on our product costs, as well as continued uncertainty with respect to tariffs and other trade restrictions; the possibility that product costs may be affected by other foreign trade issues, such as currency exchange rate fluctuations, increasing prices for raw materials, supply chain issues, political instability or other reasons; challenges with information technology systems, including safeguarding against security breaches; changes to U.S. or other countries' trade policies and tariff and import/export regulations, and global economic, public health, social, political and financial conditions, and the resulting impact on consumer confidence and consumer spending, as well as other changes in consumer discretionary spending habits, which could have a material adverse effect on our business, results of operations and liquidity.


The use of the “company,” “AEO,” “we,” "us," and “our” in this release refers to American Eagle Outfitters, Inc.



AMERICAN EAGLE OUTFITTERS, INC.


CONSOLIDATED BALANCE SHEETS


(Unaudited; Dollars in thousands)




Fiscal Years Ending




January 31, 2026

February 1, 2025


Assets






Current assets:






Cash and cash equivalents


$






238,923






 







$






308,962






 







Short-term investments


 






—






 







 






50,000






 







Merchandise inventory


 






701,966






 







 






636,655






 







Accounts receivable, net


 






258,624






 







 






262,365






 







Prepaid expenses


 






93,231






 







 






76,088






 







Other current assets


 






21,429






 







 






20,161






 







Total current assets


 






1,314,173






 







 






1,354,231






 







Operating lease right-of-use assets


 






1,483,393






 







 






1,295,400






 







Property and equipment, at cost, net of accumulated depreciation


 






785,622






 







 






751,264






 







Goodwill, net


 






225,269






 







 






225,079






 







Non-current deferred income taxes


 






85,532






 







 






68,158






 







Intangible assets, net


 






37,468






 







 






42,449






 







Other assets


 






111,024






 







 






94,194






 







Total assets


$






4,042,481






 







$






3,830,775






 







Liabilities and Stockholders’ Equity






Current liabilities:






Accounts payable


$






251,761






 







$






280,712






 







Current portion of operating lease liabilities


 






318,078






 







 






313,034






 







Accrued compensation and payroll taxes


 






82,354






 







 






113,388






 







Unredeemed gift cards and gift certificates


 






75,278






 







 






70,094






 







Accrued income and other taxes


 






41,290






 







 






30,677






 







Other current liabilities and accrued expenses


 






96,875






 







 






74,751






 







Total current liabilities


 






865,636






 







 






882,656






 







Non-current liabilities:






Non-current operating lease liabilities


 






1,415,046






 







 






1,133,296






 







Other non-current liabilities


 






70,365






 







 






47,963






 







Total non-current liabilities


 






1,485,411






 







 






1,181,259






 







Commitments and contingencies


 






—






 







 






—






 







Stockholders’ equity:






Preferred stock


 






—






 







 






—






 







Common stock


 






2,496






 







 






2,496






 







Contributed capital


 






382,676






 







 






362,616






 







Accumulated other comprehensive loss


 






(15,586






)







 






(56,390






)







Retained earnings


 






2,552,721






 







 






2,456,063






 







Treasury stock


 






(1,229,154






)







 






(1,001,154






)







Total AEO stockholders' equity


 






1,693,153






 







 






1,763,631






 







Noncontrolling interests


 






(1,719






)







 






3,229






 







Total stockholders’ equity


 






1,691,434






 







 






1,766,860






 







Total liabilities and stockholders’ equity


$






4,042,481






 







$






3,830,775






 











 


Current Ratio


 






1.52






 







 






1.53






 








AMERICAN EAGLE OUTFITTERS, INC.


CONSOLIDATED STATEMENTS OF OPERATIONS


(Unaudited; Dollars and shares in thousands, except per share amounts)




GAAP Basis





Fourth Quarter Ended





January 31, 2026


February 1, 2025





(In thousands)

(Percentage of revenue)


(In thousands)

(Percentage of revenue)



Total net revenue


$






1,760,834






 







100.0






%







$






1,604,633






 







100.0






%







Cost of sales, including certain buying, occupancy and warehouse expenses


 






1,109,773






 







63.0








 






1,005,458






 







62.7








Gross profit


 






651,061






 







37.0








 






599,175






 







37.3








Selling, general and administrative expenses


 






418,198






 







23.8








 






401,628






 







25.0








Impairment, restructuring and other charges


 






84,483






 







4.8








 






—






 







0.0








Depreciation and amortization expense


 






52,635






 







3.0








 






55,277






 







3.4








Operating income


 






95,745






 







5.4








 






142,270






 







8.9








Interest expense (income), net


 






268






 







0.0








 






(2,355






)







(0.1)








Other (income), net


 






(14,781






)







(0.8)








 






(2,375






)







(0.2)








Income before income taxes


$






110,258






 







6.2








$






147,000






 







9.2








Provision for income taxes


 






26,636






 







1.5








 






43,434






 







2.7








Net income


$






83,622






 







4.7








$






103,566






 







6.5








Net loss attributable to noncontrolling interests


 






4,283






 







0.3








 






779






 







0.0








Net income attributable to AEO


$






87,905






 







5.0






%







$






104,345






 







6.5






%





















 


Net income per common share












Basic net income per common share attributable to AEO


$






0.52






 










$






0.55






 










Diluted net income per common share attributable to AEO


$






0.50






 










$






0.54






 
























 


Weighted average common shares outstanding - basic


 






169,188






 










 






190,497






 










Weighted average common shares outstanding - diluted


 






175,701






 










 






193,496






 











AMERICAN EAGLE OUTFITTERS, INC.


CONSOLIDATED STATEMENTS OF OPERATIONS


(Unaudited; Dollars and shares in thousands, except per share amounts)




GAAP Basis





Fiscal Year Ended





January 31, 2026


February 1, 2025





(In thousands)

(Percentage of revenue)


(In thousands)

(Percentage of revenue)



Total net revenue


$






5,496,810






 







100.0






%







$






5,328,652






 







100.0






%







Cost of sales, including certain buying, occupancy and warehouse expenses


 






3,471,489






 







63.1








 






3,239,719






 







60.8








Gross profit


 






2,025,321






 







36.9








 






2,088,933






 







39.2








Selling, general and administrative expenses


 






1,485,535






 







27.0








 






1,431,814






 







26.9








Impairment, restructuring, and other charges


 






101,603






 







1.9








 






17,561






 







0.3








Depreciation and amortization expense


 






211,961






 







3.9








 






212,255






 







4.0








Operating income


 






226,222






 







4.1








 






427,303






 







8.0








Interest expense (income), net


 






4,112






 







0.1








 






(7,769






)







(0.1)








Other (income), net


 






(27,278






)







(0.5)








 






(4,685






)







(0.1)








Income before income taxes


$






249,388






 







4.5








$






439,757






 







8.2








Provision for income taxes


 






63,866






 







1.1








 






112,854






 







2.1








Net income


$






185,522






 







3.4








$






326,903






 







6.1








Net loss attributable to noncontrolling interests


 






6,461






 







0.1








 






2,477






 







0.1








Net income attributable to AEO


$






191,983






 







3.5






%







$






329,380






 







6.2






%





















 


Net income per common share












Basic net income per common share attributable to AEO


$






1.12






 










$






1.71






 










Diluted net income per common share attributable to AEO


$






1.09






 










$






1.68






 
























 


Weighted average common shares outstanding - basic


 






172,165






 










 






193,056






 










Weighted average common shares outstanding - diluted


 






176,141






 










 






196,412






 











AMERICAN EAGLE OUTFITTERS, INC.


GAAP to Non-GAAP Reconciliation


(Dollars in thousands, except per share amounts)


(Unaudited)




13 Weeks Ended




January 31, 2026




Operating Income

Income Tax Expense

Effective Tax Rate

Net Income Attributable to AEO

Earnings per Diluted Share


GAAP Basis


$






95,745






 







$






26,636







24.2






%







$






87,905






 







$






0.50






 







% of Revenue


 






5.4






%











 






5.0






%



















 


Add: Impairment and restructuring charges (1)


$






84,483






 











$






63,992






 







 






0.36






 

















 


Tax effect of the above (2)




$






20,491























 


Net loss attributable to non-controlling interests








$






(3,707






)







 






(0.02






)

















 


Non-GAAP Basis


$






180,228






 







$






47,127







24.2






%







$






148,190






 







$






0.84






 







% of Revenue


 






10.2






%











 






8.4






%



















 


(1) The adjustments relate to the Company's exit from the Quiet Platforms third party logistics business, store impairments, and corporate restructuring.


(2) The tax effect of excluded items is the difference between the tax provision calculated on a GAAP basis and on a non-GAAP basis.



AMERICAN EAGLE OUTFITTERS, INC.


GAAP to Non-GAAP Reconciliation


(Dollars in thousands, except per share amounts)


(Unaudited)




Fiscal Year Ended




January 31, 2026




Operating Income

Income Tax Expense

Effective Tax Rate

Net Income Attributable to AEO

Earnings per Diluted Share


GAAP Basis


$






226,222






 







$






63,866







25.6






%







$






191,983






 







$






1.09






 







% of Revenue


 






4.1






%











 






3.5






%



















 


Add: Impairment and restructuring charges (1)


$






101,603






 











$






76,794






 







$






0.43






 

















 


Tax effect of the above (2)




$






24,809























 


Net loss attributable to non-controlling interests








$






(3,707






)







$






(0.02






)

















 


Non-GAAP Basis


$






327,825






 







$






88,675







25.3






%







$






265,070






 







$






1.50






 







% of Revenue


 






6.0






%











 






4.8






%



















 


(1) The adjustments relate to the Company's exit from the Quiet Platforms third party logistics business, store impairments, and corporate restructuring.


(2) The tax effect of excluded items is the difference between the tax provision calculated on a GAAP basis and on a non-GAAP basis.



AMERICAN EAGLE OUTFITTERS, INC.


GAAP to Non-GAAP Reconciliation


(Dollars in thousands, except per share amounts)


(Unaudited)




Fiscal Year Ended




February 1, 2025




Operating Income

Income Tax Expense

Effective Tax Rate

Net Income Attributable to AEO

Earnings per Diluted Share


GAAP Basis


$






427,303






 







$






112,854







25.7






%







$






329,380






 







$






1.68







% of Revenue


 






8.0






%











 






6.2






%



















 


Add: Impairment, restructuring and other charges (1)


$






17,561






 











$






12,983






 







$






0.06

















 


Tax effect of the above




$






4,577























 


Non-GAAP Basis


$






444,864






 







$






117,431







25.7






%







$






342,363






 







$






1.74







% of Revenue


 






8.3






%











 






6.4






%



















 


(1) The adjustments relate to restructuring costs related to employee severance, as well as impairment and restructuring costs related to the sale of the Company's Hong Kong retail operations to a third party buyer. Please refer to Note 14. “Impairment, Restructuring and Other Charges,” to the Consolidated Financial Statements included in the Company's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on December 12, 2024 for further information on the nature of these amounts.



AMERICAN EAGLE OUTFITTERS, INC.


NET REVENUE BY SEGMENT


(Unaudited; Dollars in thousands)



Fourth Quarter Ended

Fiscal Year Ended




January 31,
2026

February 1,
2025

January 31,
2026

February 1,
2025



Net Revenue:










American Eagle

$






1,019,033






 







$






1,000,935






 







$






3,367,033






 







$






3,385,231






 








Aerie

 






683,841






 







 






539,673






 







 






1,934,702






 







 






1,738,414






 








Other

 






65,910






 







 






74,906






 







 






226,027






 







 






243,907






 








Intersegment Elimination

 






(7,950






)







 






(10,881






)







 






(30,952






)







 






(38,900






)








Total Net Revenue

$






1,760,834






 







$






1,604,633






 







$






5,496,810






 







$






5,328,652






 









AMERICAN EAGLE OUTFITTERS, INC.


STORE INFORMATION


(Unaudited)



Fourth Quarter Ended

Fiscal Year Ended



January 31, 2026

January 31, 2026


Consolidated stores at beginning of period

1,190






 







1,172






 







Consolidated stores opened during the period





AE Brand (1)

6






 







12






 







Aerie (incl. OFFL/NE) (2)

8






 







22






 







Todd Snyder

—






 







4






 







Unsubscribed

—






 







2






 







Consolidated stores closed during the period





AE Brand (1)

(33






)







(36






)







Aerie (incl. OFFL/NE) (2)

(3






)







(8






)







Total consolidated stores at end of period

1,168






 







1,168






 










 


Stores by Brand





AE Brand (1)

805






 









Aerie (incl. OFFL/NE) (2)

332






 









Todd Snyder

23






 









Unsubscribed

8






 









Total consolidated stores at end of period

1,168






 












 


Total gross square footage at end of period (in '000)

7,198






 







7,198






 










 


International license locations at end of period (3)

357






 







357






 










 


(1) AE Brand includes AE stand alone locations, AE/Aerie side-by side locations, AE/OFFL/NE side-by-side locations, and AE/Aerie/OFFL/NE side-by-side locations.


(2) Aerie (incl. OFFL/NE) includes Aerie stand alone locations, OFFL/NE stand alone locations, and Aerie/OFFL/NE side-by-side locations.


(3) International license locations (retail stores and concessions) are not included in the consolidated store data or the total gross square footage calculation.


 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260304490858/en/
Corporate Communications & Investor Relations

412-432-3300

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Original: AEO Inc. Reports Strong Fourth Quarter Fiscal 2025 Results; Provides Fiscal 2026 Outlook