Aeropostale's holiday quarter forecast disappoints

Apparel retailer Aeropostale Inc forecast a much bigger-than-expected loss for the holiday-shopping quarter as it struggles to keep up with the tastes of young shoppers, sending its shares down 4 percent in extended trading.

Aeropostale, under pressure from some investors to sell itself, also reported its fourth straight quarterly loss.

The company said it expects a fourth-quarter loss of 24-32 cents per share. Analysts on average were expecting a loss of 8 cents per share, according to Thomson Reuters I/B/E/S.

Aeropostale has been trying to offer more fashionable products in addition to its standard hoodies, jeans and t-shirts. However, it has been hit along with rivals by heavy discounting going into the holiday shopping season.

On Nov. 26, the company adopted a poison pill that would be triggered if a stockholder buys 10 percent of the company.

Aeropostale reported a net loss of $25.6 million, or 33 cents per share, for the third quarter ended Nov. 2, compared with a profit of $24.9 million, or 31 cents per share, a year earlier.

On an adjusted basis, the company reported a loss of 29 cents per share.

Sales fell 15 percent to $514.6 million.

Analysts on average had expected a loss of 24 cents per share, on revenue of $520.2 million.

Aeropostale's shares were at $9.00 in extended trading after closing at $9.36 on the New York Stock Exchange on Wednesday.