Financial Performance - First quarter 2025 revenue decreased by 5% to $1089.6 million compared to $1143.9 million in the first quarter of 2024[40] - Comparable sales decreased by 3% compared to an increase of 7% in the prior year[24, 38] - The company reported an operating loss of $68 million[24] - Gross margin decreased to 29.6% from 40.6% in the prior year[38] - Net loss was $(64.9) million, or $(0.36) per diluted share[41] - Ending inventory decreased by 5% to $645.1 million compared to $681.1 million in the prior year[37] Brand Performance - American Eagle brand revenue decreased by 4% to $693.9 million[40] - Aerie brand revenue decreased by 3% to $359.8 million[40] Guidance - Second quarter 2025 operating income is expected to be $40 million to $45 million[32] - Second quarter 2025 comparable sales are expected to be down 3%[32]