Shares of American Eagle Outfitters ( AEO ) fell after the young adult clothing retailer’s sales missed forecasts and it gave a soft outlook for the current quarter as its smaller brands struggled.

The parent of the American Eagle, Aerie, Unsubscribed, and Todd Snyder brands said second-quarter revenue rose 7.5% to $1.29 billion, about $20 million below the average estimate of analysts surveyed by Visible Alpha. Diluted earnings per share ( EPS ) of $0.39 were in line with expectations.

Sales at its American Eagle stores gained 7.9% to $827.6 million. They were up 9.3% to $415.6 million at Aerie. However, other brand sales slumped 47% to $57.5 million.

The news sent American Eagle’s shares down about 3%. The stock is down for the year, though less than 1%.

CEO Jay Schottenstein said the company was operating in “a dynamic macroeconomic environment,” and will “remain disciplined and focused on delivering profitable growth and long-term shareholder value.”

AEO is anticipating third-quarter revenue to be flat to up slightly from last year’s $1.3 billion, and operating income to be in the range of  $120 million to $125 million. Visible Alpha predictions were for revenue of $1.31 billion and operating income of $137 million.