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Last Update: 15-Mar-13 07:37 ET
Aeropostale shares fall 5% following downside guidance to loss in Q1
Aeropostale (ARO $13.80 -0.71) reported fourth quarter earnings of $0.24 per share, $0.01 better than the Capital IQ consensus of $0.23, while revenues fell 1.3% year/year to $797.7 million versus the million $784.12 consensus. (The company Warned $0.20-0.24 EPS on Jan 10) Co issues downside guidance for Q1, sees EPS loss of ($0.15) - ($0.20) vs. $0.10 Capital IQ consensus. Fourth quarter comparable sales, including the e-commerce channel, decreased 8% (est of ~ -7.4%) compared to a 7% decrease for the corresponding 14-week period of the prior year. Fourth quarter comparable store sales, excluding the e-commerce channel, decreased 9%, compared to a decrease of 9% for the corresponding 14-week period of the prior year. E Commerce: Net revenues from the Company's e-commerce business for the fourth quarter of fiscal 2012, including net revenues from the GoJane business beginning November 14, 2012, increased 16% to $96.8 million, from $83.2 million in the year ago period. For fiscal 2013, the Company plans to open approximately 14 Aeropostale stores, approximately 60 P.S. from Aeropostale stores, remodel approximately 30 stores, and close approximately 15 to 20 Aeropostale stores. Guidance Commentary: "We anticipate a challenging first quarter as a result of expected margin pressures from Holiday carryover inventory, and the impact of a weak macroeconomic environment. We will continue to plan our business conservatively and manage our cost structure carefully. While we face near-term challenges, we believe we have the right strategies and the right team in place to improve the trajectory of our business."
