American Eagle Outfitters (AEO) earnings Q2 2025

American Eagle He said that his partnership with Sydney Sweeney on Wednesday was a “best” advertising campaign so far because he announced his second quarter -quarter earnings that meet expectations.

The company’s leap, Still controversialWith the “Euphoria” star, the campaign led to some criticism and backfire, but the launch was combined with a recent partnership with Taylor Swift’s new fiancé, Travis Kelce, led to new customer acquisition and positive traffic among channels.

American Eagle Stock rose more than 8% after the transaction on Wednesday.

“The autumn season makes a positive start. We have seen an increase in customer awareness, participation and comparable sales with more powerful product offers and the success of the latest marketing campaigns with Sydney Sweeney and Travis Kelce.” He said. “We are looking forward to our progress in order to provide higher profitability, long -term growth and shareholder value and to improve the constant power of our iconic brands.”

The company also re -published the full -year guidance after withdrawing earlier this year. According to StreetCount, now expects comparable sales to be approximately flat, than 0.2% decreased by analysts.

He still expects the gross profit margin to fall throughout the year, but he made significant changes in the view of business revenue that carries the tariff effect. The company expects a full -year business revenue between $ 360 million to $ 375 million to be between 255 million and 265 million dollars.

Based on a questionnaire of LSEG’s analysts, it is explained below that the American Eagle performs in this way for this quarter compared to Wall Street’s foreseen:

• Earning per share: 45 cents and 21 cents are expected
• Revenues: Expected 1.28 billion dollars and $ 1.24 billion

The company’s net income for the three -month period, which ended on August 2, was $ 77.6 million per share or 45 cents per share compared to $ 77.3 million or 39 cents per share a year ago.

Sales, compared to the previous year fell slightly from $ 1.29 billion to 1.28 billion dollars fell.

According to StreetCount, for the current quarter, the American Eagle expects comparable sales in low single -digit range to be better than an increase of 0.9%. The same tendency is waiting for the fourth quarter.

This year, American Eagle’s performance was overshadowed as wrong steps, tariffs and an uncertain consumer, which were more selective while spending money on products such as clothes and shoes.

To reverse things, American Eagle launched his campaign with Sweeney in front of the important school shopping season, but in some respects, when he provoked anger from some customers, he recoils.

Slogan American Eagle chose the campaign-“Sydney Sweeney has a great jeans” -Shi the left critics, the word, a double participants and eugenics shook a head. Meanwhile, the right celebrated the campaign and directed President Donald Trump because he said the “hottest” ad weighing and said.

More widespread, the campaign encountered a return of some of the advertisements that the advertisements were extremely sexualized and unclear, which enabled them to wonder what kind of consumers were targeting.

The campaign was launched on 23 July at the tail end of American Eagle’s second quarter, but the company said it has been successful so far despite its return. The Sweeney campaign, along with Kelce, launched a “significant development” with Comps in this quarter in this quarter. American Eagle said that 700,000 new customers have won and, on the contrary, despite some news, the traffic in the channels during August was “constant positive”.

The company said that the Sweeney campaign has led to denim sales, double -digit traffic growth and increasing awareness and participation. Sydney jacket was sold in a day and Sydney Jean is a special style that donates 100% of the income to the crisis text line that provides mental health support sold in a day.

Meanwhile, after the announcement that he was engaged to American Eagle’s pop star, his launch with Kansas City Chieffs Tutt End, he said that he had been three times more than a week in a week. Most of the products worn by Kelce and athletes were sold.

American Eagle’s partnership with Sweeney and Kelce emphasizes the work of the retailer to stay related to consumers and to reduce noise as expenditures remain soft.

It also faces harsh competition from its peers. AberCrombie & Fitch– Openness And Levi’s. Recently, GAP has launched a “Better in Kot” campaign with Katseye and Kelis’s 2003 hit “Milkshake”. Meanwhile, while Levi’s experienced an ongoing campaign with Beyoncé, Abercrombie took a sport focus and partner with NFL.

Combining American Eagle’s challenges is an uncertain tariff environment. American Eagle is trying to reduce his confidence in China below 10% this year, but at the same time the subject of mutual tariffs has a heavy production presence in Vietnam and India.