Aeropostale web sales outshine stores in 2011
E-commerce was the only growth channel for chain retailer Aeropostale Inc. last year.
For the year ended Jan. 29, Aeropostale, No. 110 in the Internet Retailer Top 500 Guide, reported:
- Online sales increased about 13.7% to $182.1 million from $160.2 million in 2010.
- Total sales of $2.34 billion, a decrease of 2.5% from $2.40 billion.
- Comparable-store sales decreased 9%.
- Net income for fiscal 2011 was $69.5 million, down by 233% from net income of $231.3 million in 2010. Net income was partially affected by $14.8 million in store asset impairment charges recorded in the fourth quarter, the company says.
The web accounted for 7.8% of total sales in 2011, compared with 6.7% in 2010.
For the fourth quarter:
- E-commerce sales increased about 7.6% to $83.2 million from $77.3 million in Q4 2011.
- Total sales decreased about 3.7% to $808.4 million from $839.3 million.
- Comparable-store sales declined 9%.
- Net income was $26.1 million, down by 69% from net income of $83.8 million in the fourth quarter last year.
The web accounted for 10.3% of total sales in Q4 2011, compared with 9.2% in the prior year quarter.
For fiscal 2012 the company plans to open about 18 Aeropostale stores and 30 P.S. from Aeropostale stores, remodel around five stores, and close about 10 Aeropostale stores. P.S. from Aeropostale and its e-commerce site PS4u.com offer apparel and accessories for children age 4-12.
The company says it will spend about $66 million on its 2012 store growth plans, as well as unspecified information technology investments. Aeropostale had capital expenditures of about $73.3 million in fiscal 2011.