Shares of American Eagle Outfitters Inc. (AEO, Financial) jumped more than 3% on Wednesday after the company announced third-quarter earnings of 48 cents per share on $1 billion in revenue on Tuesday evening. The company beat earnings estimates by 1 cent, but fell $20 million short of revenue expectations.
“I am proud to announce another outstanding performance this period for AEO, marking record sales and our first $1 billion third quarter,” CEO Jay Schottenstein said.
The gross profit rose 7% from the prior-year quarter to $399 million. The gross margin inched up 80 basis points to 39.8%.
Operating income was $109 million, down from $111 million registered last year. Adjusted operating income declined 5% to $109 million.
Looking ahead to the fourth quarter, the company expects earnings of 40 cents to 42 cents per share.
Shares of Pivotal Software Inc. (PVTL, Financial) gained almost 7% on Wednesday after announcing third-quarter results on Tuesday. The company posted a loss of 5 cents per share on $168.14 million in revenue, a 30.4% increase from the year-ago quarter.The company beat earnings estimates by 3 cents and revenue expectations by $4.03 million.
The operating loss of $35.9 million, or 21% of total revenue, was an improvement from the $36.5 million loss it posted in the prior-year quarter. The non-GAAP operating loss was $14.8 million, or 9% of total revenue, compared to a loss of $25 million in the year-ago period.
Looking ahead to the fourth quarter, the company expects subscription revenue between $109.5 million and $110.5 million, with total revenue between $169 million and $171 million. For full fiscal 2019, it projects subscription revenue in the range of $398 million to $399 million, with total revenue between $657 million and $659 million.
Disclosure:The author holds no positions in any stocks mentioned.
