Youth apparel retailer Aeropostale Inc saw third-quarter net income fall to $15 million, or 39 cents per diluted share, down from $16.4 million, or 45 cents a share, in the year-earlier period.

The company blamed a slowdown in mall traffic and aggressive discounting among retailers.

Third-quarter sales rose 34.3 per cent to $169.2 million, partly on the opening of 88 new stores. Same-store sales rose 5 percent.

Looking ahead, the company expects sales and earnings growth. Fourth-quarter earnings are forecast at 38 cents to 40 cents per share, on sales of $204 million to $207 million.