(Source: Associated Press/AP Online)
PITTSBURGH - Teen apparel retailer American Eagle Outfitters Inc. said Thursday that sales in stores open at least a year fell 5 percent in October, missing analyst expectations that the key metric would increase.
Analysts surveyed by Thomson Reuters, on average, forecast an increase of 1.7 percent.
Sales at stores open at least a year are considered a key measure of retailer performance, because they measure growth at existing stores rather than from newly opened ones.
Total sales for the four weeks ended Oct. 31 fell 5 percent to $195.1 million.
Total sales for the third quarter, which also ended Oct. 31, fell 1 percent to $749 million, while sales at stores open at least a year dropped 4 percent.
The company raised the lower end of its guidance for the third quarter to a range of 20 cents to 21 cents, up from its previous range of 19 cents to 21 cents. Its new range excludes an expected tax benefit of 7 cents a share associated with earnings from Canada.
Analysts predict the company earns 22 cents a share in the quarter, according to Thomson Reuters. Those estimates typically exclude one-time charges.
Shares of American Eagle fell $1.94, or 11 percent, to $15.92 in morning activity.
The company, based in Pittsburgh, reports third quarter results Nov. 24.
A service of YellowBrix, Inc.
