In its second-largest acquisition, Amazon buys the company for $970 million.
The apparel retailer posts 20% growth in online sales.
E-commerce sales provided the only bright spot for apparel retail chain Aeropostale in the second quarter.
For the quarter ended July 30, Aeropostale, No. 110 in the Internet Retailer Top 500 Guide, reported:
- Web sales of $25.1 million, up by about 20.1% from $20.9 million in the second quarter of 2010.
- Total sales decreased about 5.4% to $468.2 million from $494.7 million in the second quarter of last year.
- Comparable-store sales decreased 14%, compared with a same-store sales increase of 4% last year.
- Net income dropped to $2.9 million compared to net income of $43.6 million in Q2 2010.
Internet Retailer calculates that online sales accounted for 5.4% of total sales for the quarter, compared with 4.2% in the same quarter last year.
“While we are very disappointed with our current performance, we are working diligently to integrate the right balance of fashion into our assortment,” says Thomas P. Johnson, CEO. “Additionally, we will find new ways to connect with our customer, and amplify our fashion message. I am very confident that the strategies we have in place and the tenacity of our organization will position us for future growth and success.”
For the six months ending July 30, Aeropostale reported:
- The company didn’t provide exact figures for e-commerce in the first six months, but based on prior reports Internet Retailer calculates online sales were $53.3 million, a rise of 19.2% from $44.7 million the same period a year ago.
- Total sales decreased about 2.2% to $937.4 million from $958.3 million in the same period of 2010.
- Net income dropped to $19.3 million compared to $89.0 million in the first six months of 2010.
Internet Retailer calculates that online sales accounted for 5.7% of total sales for the first six months, compared with 4.7% in the same period last year.