American Eagle Outfitters, Inc. (NYSE:AEO) reported EPS of $0.23 for the last quarter ended compared to $0.22 for the prior-year quarter. Excluding restructuring charges of $0.01, the company’s adjusted EPS increased 4% to $0.24, compared to adjusted EPS of $0.23 last year.
The Pittsburgh-based company reported total net revenue increased $63 million, or 8% to a record $886 million compared to $823 million last year. Consolidated comparable sales increased 6%, following a 9% comparable sales increase last year.
Gross profit rose 7% to $325 million from $304 million. The gross margin rate of 36.7% compared to 37.0% last year. Rent leverage and improved product costs were offset by increases in markdowns and delivery expense.
In the first quarter of 2019, the company incurred restructuring charges primarily related to severance and closure costs for company-owned and operated stores in China, totaling $1.5 million, or approximately $0.01 per share.
This compared to $1.6 million in charges in the first quarter of 2018, or approximately $0.01 per share, which primarily related to corporate severance.
CEO Jay Schottenstein commented, "2019 is off to a positive start and we are especially pleased to deliver first quarter sales and EPS growth ahead of our expectations. American Eagle and Aerie continue to leverage strong brand equity, compelling product, and leading customer engagement across stores and digital, resulting in our 17th consecutive quarter of positive comparable sales."
AEO shares spiked $2.51, or 2.8%, to $19.03
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