Aeropostale Earnings: Here’s Why Investors are Selling Shares Now
Aeropostale, Inc. (NYSE:ARO) had a loss and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 11.20%.
Aeropostale, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased to $-0.34 in the quarter versus EPS of $0.00 in the year-earlier quarter.
Revenue: Decreased 6.46% to $454 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Aeropostale, Inc. reported adjusted EPS loss of $0.34 per share. By that measure, the company missed the mean analyst estimate of $-0.24. It beat the average revenue estimate of $453.97 million.
Quoting Management: Thomas P. Johnson, Chief Executive Officer, commented, “As previously reported, our second quarter results did not change materially from earlier in the year. Our business was pressured by a challenging teen retail environment with weak traffic trends and high levels of promotional activity. Our results were particularly disappointing given the level of change we have registered with the Aeropostale brand in recent periods.”
Key Stats (on next page)…