by Christopher Freeburn | August 17, 2012 11:05 am
Shares of clothing retailer Aeropostale (NYSE:ARO) fell more than 10% in Friday morning trading after it matched its own already-lowered second-quarter forecasts, and warned of weak sales in the current quarter.
The company announced late Thursday that it earned $71,000 during the second quarter, down 98% from $2.9 million in the same period last year.
The apparel retailer said that it recorded revenue of $485.3 million, up 4% from $468.2 million in 2011, in line with Wall Street expectations, which were cut after the company lowered its guidance for the quarter two weeks ago, the Associated Press noted.
On a per-share basis, the company broke even for the quarter, which also matched analyst’s predictions.
Aeropostale warned investors late Thursday that its third quarter would see lower profits due to soft seasonal sales.
The chain said that it now expects earnings of between 25 cents and 30 cents a share. That disappointed Wall Street, which was anticipating profits of about 38 cents a share.
Back-to-school sales are sluggish, the company said.
Rival apparel retailer Gap (NYSE:GPS) announced second-quarter earnings today that beat Wall Street predictions and raised its earnings outlook for the year. On Wednesday, Abercrombie & Fitch (NYSE:ANF) topped its own lowered profit outlook, but warned that same-store sales would fall during coming quarters.
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