American Eagle Q2 profit plummets 52%, meets Street

Pittsburgh American Eagle Outfitters reported Thursday that its second-quarter profit dropped 52%, citing lower sales and increased markdowns and promotional costs.

The results met analysts' expectations.

Earnings fell to $28.6 million, compared with $59.8 million a year ago. Sales for the quarter ended Aug. 1 slipped 5% to $657.6 million from $688.8 million, just missing Wall Street's estimate of $659.6 million.

Same-store sales declined 10%.

American Eagle also provided its third-quarter outlook range on Thursday, saying it expects a lower third-quarter profit than the performance a year ago.