American Eagle Outfitters says the frenzy about its Sydney Sweeney ad campaign has drawn in swathes of new customers.

The teen clothing retailer rolled out the controversial ad campaign starring the 27-year-old actor over the northern hemisphere summer.

It sparked debate about race, Western beauty standards and the backlash to “woke” American politics and culture.

Negative reactions centred on ads that used the word “genes” instead of “jeans” featuring the blonde-haired, blue-eyed actor known for HBO series Euphoria and White Lotus.

But American Eagle did get noticed, executives said late on Wednesday (US time) in a call after the Pittsburgh retailer posted second quarter earnings.

“We saw a record-breaking new customer acquisition and brand awareness cutting across age, demographics and genders,” CEO Jay Schottenstein said.

Traffic built up throughout the second quarter and continued into August, he said.

The company now expected comparable-store sales to rise by low single-digit percentages in the third and fourth quarters.

It withdrew its outlook for the year this northern spring, citing volatility from the chaotic global economic situation. But it said on Wednesday same-store sales should be flat this year with the bump.

American Eagle did say that its brand also benefited from an ad campaign featuring newly engaged NFL star Travis Kelce.

The company said the Sweeney campaign was always about its clothing and not race, when responding to criticism. A month later, retail rival The Gap put out its own ad featuring girl group KATSEYE. That ad received some praise for its inclusivity.

Gap CEO Richard Dickson, speaking on Thursday at a Goldman Sachs global retail conference in New York City, said its “Better in Denim” campaign received 400 million total views and in three days had more views than the brand’s four prior ads combined.

“I think when the industry creates campaigns that are talked about, it generates interest in the industry, ” Dickson told The Associated Press.

“Our current campaign, Better in Denim, is a great example of that.”

Neil Saunders, managing director of GlobalData, wrote that the frenzy around the Sweeney campaign was something of a “tempest in a teacup”.

“While it generated strong reactions, it ultimately had no serious detrimental impact on sales,” he said.

“Indeed, guidance for the second half points to improved momentum, supported by both the denim marketing and the ongoing Travis Kelce partnership.”

And attention from the Sweeney campaign didn’t seem to have hurt the brand.

“Regardless of the merits of the collaborations, making more noise is exactly what American Eagle needs to do to cut through and regain ground among consumers for whom it has slipped off the radar,” Saunders said.

For the second quarter, American Eagle’s revenue dipped 1 per cent to $US1.28 billion ($A1.96 billion).

Chief marketing officer Craig Brommers said on Wednesday that the Sweeney ad campaign would continue.

“Sydney will be part of our team as we get into the back half of the year and we’ll be introducing new elements of the campaign as we continue forward,” he said.

Shares of American Eagle Outfitters spiked 34 per cent on Thursday are up 10 per cent this year with the latest surge.

-AAP