American Eagle Outfitters' sales edge up

Benefiting from mild spring weather, American Eagle Outfitters Inc. saw same store sales increase 2 percent for April, compared with a weak month last year when sales decreased by 10 percent.

The clothing retailer, based on Pittsburgh's South Side, attributed the slight increase in sales to more store traffic in part due to warming weather as well as to the company's new summer collections.

Overall, American Eagle (NYSE: AEO) saw its total sales for the four weeks that ended May 3 increase by 15 percent to $197.7 million as the company continues to expand its base of more than 850 stores.

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The uptick in April sales couldn't overcome what in some ways has still been a down quarter for American Eagle. Although the company's total sales for the first quarter grew by 5 percent to $640.2 million, same-store sales for the quarter decreased by 6 percent.

The company maintained its first-quarter earnings guidance of $0.18 to $0.20 per share, compared to $0.35 per share last year.

American Eagle's results were less positive than those of what is often considered its biggest rival, New Albany, Ohio-based Abercrombie & Fitch, which generally sells its mix of teen-focused clothing at somewhat higher price points.

Abercrombie & Fitch Co. (NYSE: ANF) saw its same store sales for the four-week period of April grow by six percent as the company's overall net sales increased by 18 percent, reaching $241 million.

At the same time, April saw a major competitor of American Eagle on the lower-priced segment of the teen market, Aeropostale Inc. (NYSE: ARO) realized a 25 percent sales jolt.

Besieged by rapidly increasing prices for gas, food and other basic expenses, the retail industry saw some relief with a number of earnings reports this week that suggested shoppers were spending, no matter how restrained their buying habits have become.

The International Council of Shopping Centers' monthly report saw April sales rise 3.6 percent, higher than the 2 percent growth estimate and following a grim March in which sales declined by 0.5 percent.

Sales for other apparel retailers were mixed, with sales at Limited Brands Inc. (NYSE: LTD) , Gap Inc. (NYSE: GPS) and Pacific Sunwear of California Inc. (NYSE: PSUN) all faring worse than expected, while luxury department store Saks Inc. (NYSE: SKS) achieved a sales increase of 23.9 percent.

A number of analyst and quarterly reports view many of the revenue increases happening because retailers are holding more sales to draw customers back at the expense of profit margins.