US apparel retailer American Eagle Outfitters has reported a strong finish to FY25, with fourth-quarter sales rising on the back of continued momentum in its Aerie brand.
The Pittsburgh-based company said revenue for the quarter reached $1.8 billion, up about 10 per cent year on year, while comparable sales increased 8 per cent.
Growth was led by the retailer’s intimates and activewear label Aerie, which delivered 23 per cent comparable sales growth during the quarter. The core American Eagle brand recorded a more modest 2 per cent increase in comparable sales.
Executive chairman and CEO Jay Schottenstein said the retailer benefited from strong product assortments and improved marketing during the holiday season.
“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,” said Schottenstein.
“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.”
For the full fiscal year, American Eagle Outfitters reported revenue of approximately $5.5 billion, representing 3 per cent growth compared with the previous year.
Looking ahead to fiscal 2026, the company expects mid-single-digit comparable sales growth and forecasts operating income between $390 million and $410 million.
American Eagle Outfitters also plans to continue reshaping its store portfolio, with 35 to 40 new Aerie and Offline locations expected to open while 25 to 30 American Eagle stores will close as part of its ongoing optimisation strategy.
“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,” Schottenstein added.
“I’m confident that our strategic actions will lead to long-term profitable growth and shareholder value creation.”
