In the first quarter, Aerie - launched in 2006 as a sub-brand of American Eagle Outfitters - proved that intimate apparel can be a powerhouse. Revenues surged 33 percent to $480.8 million, with comparable sales up 25 percent, propelling the parent company to a record $1.2 billion in total revenue. This is a striking chapter in lingerie history: Aerie, born in an era when Victoria's Secret still dominated mall culture, has redefined the category by championing body positivity and unretouched imagery - a stark departure from the airbrushed glamour of its predecessors. The brand's "100% Aerie REAL" campaign, now featuring Pamela Anderson, deepened that emotional connection, driving multichannel growth and profitability. While the American Eagle division saw a 2.2 percent revenue decline, Aerie's ascent offset the drag. Net earnings swung from a $64.9 million loss to a $23.5 million profit, beating analyst expectations. Yet investors, perhaps wary of inventory rising 27 percent to $817 million, sent shares down 10.6 percent. CEO Jay Schottenstein framed the quarter as proof of Aerie's "winning formula," noting its focus on everyday comfort - a concept that echoes the 1920s when brassieres first shifted from rigid corsetry to softer, more practical designs. As Aerie and its activewear sibling Offline plan 40 new doors this year, the brand continues to challenge historical norms, proving that intimate apparel is not merely functional but a vehicle for cultural change.
Originally reported by WWD