US fashion retailer American Eagle Outfitters has confirmed Jay Schottenstein as its new permanent chief executive and posted a rise in third-quarter sales and profits.
Schottenstein has been interim chief executive at the US fashion retailer since January last year. It will be his second spell as boss after 10 years as chief executive between 1992 and 2002.
The retailer credited Schottenstein with the business’s “swift recovery”.
American Eagle’s sales in the three months to the end of October rose 7.6% to $919m (£610m). Operating profits jumped 47% to $109m (£72m).
Operating margin expanded 320 basis points, helped by lower markdowns as the retailer continued to reduce promotional activity.
Schottenstein said: “Both the American Eagle and Aerie brands performed exceptionally well, delivering increased sales and profitability.”
It opened 11 American Eagle stores and one Aerie store in the quarter. The retailer launched in the UK in November last year.
Looking ahead, Schottenstein added: “The holiday season is off to a solid start, and we are optimistic. We will continue executing on our priorities to further strengthen and grow our business, while delivering returns to shareholders.”
Conlumino managing director Neil Saunders said: “While the solid revenue increases at American Eagle Outfitters come off the back of relatively soft comparatives from last year, they are nevertheless evidence that the self-help measures the company has been employing continue to pay dividends.
“This is especially so as they have been achieved against the backdrop of a teen fashion market that remains subdued and competitive, and during a quarter when the weather was mostly against apparel retailers.”