American Eagle Outfitters Q2 2024 Filing

TL;DR

**AEO Q2 2024: Financials filed. Key segments like AE Brand detailed.**

AI Summary

American Eagle Outfitters Inc. reported its second-quarter results for the period ending August 3, 2024. The company's fiscal year ends on January 28th. Key financial data points and segment information were filed, including details on the American Eagle Brand and other corporate segments.

Why It Matters

This filing provides investors with the latest financial performance and operational details for American Eagle Outfitters, influencing investment decisions and market perception.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing with no immediate red flags or significant new risks disclosed.

Key Players & Entities

• AMERICAN EAGLE OUTFITTERS INC (company) — Filer
• 0000919012 (company) — Central Index Key
• 20240803 (date) — Period of Report
• 77 HOT METAL STREET (location) — Business Address
• PITTSBURGH (location) — Business City
• PA (location) — Business State
• 15203 (location) — Business Zip
• American Eagle Brand (company) — Operating Segment

FAQ

Key Financial Figures

• $0.01 — nge on which registered Common Stock, $0.01 par value AEO New York Stock Exchan

Filing Documents

• aeo-20240803.htm (10-Q) — 2568KB
• aeo-ex31_1.htm (EX-31.1) — 12KB
• aeo-ex31_2.htm (EX-31.2) — 11KB
• aeo-ex32_1.htm (EX-32.1) — 8KB
• aeo-ex32_2.htm (EX-32.2) — 8KB
• 0000950170-24-101854.txt ( ) — 8719KB
• aeo-20240803.xsd (EX-101.SCH) — 1050KB
• aeo-20240803_htm.xml (XML) — 1488KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Forward Looking Statements

Forward Looking Statements 4 Item 1.

Financial Statements

Financial Statements 6 Consolidated Balance Sheets: August 3, 2024, February 3, 2024, and July 29, 2023 6 Consolidated Statements of Operations: 13 and 26 weeks ended August 3, 2024 and July 29, 2023 7 Consolidated Statements of Comprehensive Income: 13 and 26 weeks ended August 3, 2024 and July 29, 2023 8 Consolidated Statements of Stockholders' Equity: 13 and 26 weeks ended August 3, 2024 and July 29, 2023 9 Consolidated Statements of Cash Flows: 26 weeks ended August 3, 2024 and July 29, 2023 11

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 12 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 40 Item 4.

Controls and Procedures

Controls and Procedures 40

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 41 Item 1A.

Risk Factors

Risk Factors 41 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 41 Item 3. Defaults Upon Senior Securities N/A Item 4. Mine Safety Disclosures N/A Item 5. Other Information 41 Item 6. Exhibits 42 3

FORWARD LOOKING STATEMENTS

FORWARD LOOKING STATEMENTS This Quarterly Report on Form 10-Q (this "Quarterly Report") contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), that are based on the views and beliefs of management of American Eagle Outfitters, Inc. (the "Company," "AEO," "we," "us," and "our"), as well as assumptions and estimates made by management. Any forward-looking statement speaks only as of the date on which such statement is made, and we do not intend to correct or update any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law. Actual results could differ materially from such forward-looking statements as a result of various risk factors, including those contained in this Quarterly Report and in the Company's Annual Report on Form 10-K for the fiscal year ended February 3, 2024 filed with the Securities and Exchange Commission (the "SEC") on March 15, 2024 (the "Fiscal 2023 Form 10-K") that may not be in the control of management. As used herein, "Fiscal 2024" refers to the 52-week period that will end on February 1, 2025. "Fiscal 2023" refers to the 53-week period ended February 3, 2024. All statements other than statements of historical facts contained in this Quarterly Report are forward-looking statements. Words such as "estimate," "project," "plan," "believe," "expect," "anticipate," "intend," "potential," and similar expressions may identify forward-looking statements. Our forward-looking statements include, but are not limited to, statements about: the planned opening of approximately five to 15 American Eagle stores and approximately 25 to 40 Aerie and OFFLINE stores, which will be a mix of stand-alone and Aerie side-by-sides, during Fiscal 2024; the anticipated selection of approximately 80 to 90 American Eagle and Aerie

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS. AMERICAN EAGLE OUTFITTERS, INC. CONSOLIDATED BALANCE SHEETS (Unaudited; Dollars and shares in thousands, except per share amounts) August 3, February 3, July 29, 2024 2024 2023 (Unaudited) (Unaudited) Assets Current assets: Cash and cash equivalents $ 191,837 $ 354,094 $ 175,315 Short-term investments — 100,000 — Merchandise inventory 663,659 640,662 636,972 Accounts receivable, net 231,750 247,934 271,333 Prepaid expenses and other 161,199 90,660 117,871 Total current assets 1,248,445 1,433,350 1,201,491 Operating lease right-of-use assets 1,153,354 1,005,293 1,038,505 Property and equipment, at cost, net of accumulated depreciation 722,193 713,336 758,736 Goodwill, net 225,213 225,303 264,964 Non-current deferred income taxes 87,245 82,064 21,990 Intangible assets, net 44,241 46,109 90,312 Other assets 59,625 52,454 55,909 Total assets $ 3,540,316 $ 3,557,909 $ 3,431,907 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 259,734 $ 268,308 $ 238,660 Current portion of operating lease liabilities 307,570 284,508 309,517 Accrued compensation and payroll taxes 55,441 152,353 74,509 Unredeemed gift cards and gift certificates 51,791 66,285 51,156 Accrued income and other taxes 41,631 46,114 17,372 Other current liabilities and accrued expenses 78,219 73,604 71,262 Total current liabilities 794,386 891,172 762,476 Non-current liabilities: Non-current operating lease liabilities 1,015,455 901,122 970,862 Long-term debt, net — — 3,225 Other non-current liabilities 36,109 28,856 22,345 Total non-current liabilities 1,051,564 929,978 996,432 Commitments and contingencies — — — Stockholders' equity: Preferred stock, $ 0.01 par value; 5,000 shares authorized; no ne issue

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) 1. Interim Financial Statements The accompanying Consolidated Financial Statements of American Eagle Outfitters, Inc., a Delaware corporation, at August 3, 2024 and July 29, 2023 and for the 13 and 26 week periods ended August 3, 2024 and July 29, 2023 have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. Certain notes and other information have been condensed or omitted from the interim Consolidated Financial Statements presented in this Quarterly Report. Therefore, these Consolidated Financial Statements should be read in conjunction with our Fiscal 2023 Form 10-K. In the opinion of the Company's management, all adjustments (consisting of normal recurring adjustments and those described in the notes that follow) considered necessary for a fair presentation have been included. The existence of subsequent events has been evaluated through the filing date of this Quarterly Report. The Company operates under the American Eagle ("AE") brand and the Aerie brand, which includes the OFFLINE by Aerie brand. We also operate Todd Snyder New York ("Todd Snyder"), a premium menswear brand, and Unsubscribed, which focuses on consciously made slow fashion. Founded in 1977, the Company is a leading multi-brand specialty retailer that operates nearly 1,500 retail stores in the United States ("U.S.") and internationally, online through our digital channels at www.ae.com and www.aerie.com, www.toddsnyder.com, www.unsubscribed.com and through more than 300 i nternational store locations managed by third-party operators. Through its portfolio of brands, the Company offers high quality, on-trend clothing, accessories, and personal care

View Full Filing

View this 10-Q filing on SEC EDGAR