AEO Inc. expects Q1 operating loss of $85 million and withdraws 2025 guidance
American Eagle Outfitters preliminarily reported first-quarter results for the period ended May 3, 2025, with revenue expected at about $1.1 billion, down roughly 5% from a year earlier, and a GAAP operating loss of about $85 million. The company attributed the loss to a roughly $75 million inventory write-down on spring and summer merchandise, higher promotional activity, and about $17 million in impairment and restructuring charges. It also withdrew its fiscal 2025 guidance, citing macro uncertainty and a review of its forward plans, and the preliminary figures are unaudited and could change.
Key points
- Revenue expected at about $1.1 billion, down roughly 5% year over year; comparable sales down about 3% (American Eagle down 2%, Aerie down 4%)
- GAAP operating loss of about $85 million; adjusted operating loss of about $68 million
- Inventory charge of roughly $75 million on spring and summer merchandise, plus about $17 million in impairment and restructuring charges tied to closing two fulfillment centers
- Fiscal 2025 guidance withdrawn; final first-quarter results and earnings call scheduled for May 29, 2025
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 1:38 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on May 13, 2025.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.