![]() Final Q4 and fiscal year 2020 results are expected on March 3. That would be a significant increase from FY 2019, when revenue was $4.3 billion. The company has set a revenue target of $5.5 billion for 2023, with operating margins expected to expand to 10% in the same timeframe. He also said the company plans to begin testing livestreaming, with store associates engaging directly with customers through their mobile devices. The company will “remain aggressive adopters of both new tools and new technologies” in the digital arena moving forward, said Rempell, pointing to ongoing tests of same-day delivery and in-store customer self-checkout via the American Eagle app. The company’s online channels were a bright point in 2020, with double-digit growth expected across both brands in Q4 and total digital sales for the year expected to reach $1.7 billion, up more than $400 million from 2019. The contrast is due primarily to American Eagle’s higher store penetration and the continued impact of pandemic-related store closures and weak mall traffic. That was reflected in AEO’s Q4 2020 update, which showed Aerie’s Q4 revenue projected to increase in the high 20% range, while American Eagle’s is expected to decline in the low double digits. With American Eagle revenue expected to remain roughly flat through 2023, Aerie will be the driver of growth for the organization over the next few years, said Mike Mathias, CFO of AEO. ![]() By 2023, the company aims to have 500 to 600 Aerie stores in operation and expects revenue from this brand to double to $2 billion. At the same time, the retailer will expand the footprint of its lingerie and activewear brand Aerie with 50 new storefronts opening in 2021, bringing the total to approximately 400 by year end. and Canada over the next two to three years, said Michael Rempell, COO of AEO during the virtual investors meeting on Jan. The company plans to close 200 to 250 of the 880 current American Eagle locations in the U.S. Shares of American Eagle Outfitters (AEO) were up today following the retailer’s 2021 investor meeting, where the company outlined plans to close at least 200 largely mall-based American Eagle locations while at the same time expanding its Aerie brand.
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