Aeropostale's Profits Rise, Margins Sink

Aeropostale's(ARO Quote) overall sales and earnings rose in its fourth quarter, despite a sharp fall in the apparel chain's same-store sales growth.

The New York-based retailer earned $17.7 million, or 46 cents a share, on $206.4 million in sales in its quarter ended Feb. 1, Aeropostale said on Thursday. In the year-ago quarter, the company earned $13.9 million, or 38 cents a share, on sales of $158 million.

Analysts surveyed by Thomson Financial/First Call were expecting Aeropostale to post earnings of 45 cents a share. The company increased its earnings guidance last month to a range of 44 cents to 46 cents a share from its previous projection of 38 cents to 40 cents per share. ...