By Dean Seal
Genesco is guiding for a small gain in sales during the new fiscal year as it closes certain stores.
The retailer behind brands including Johnston & Murphy and Journeys expects sales to be flat year-over-year or up 1% in fiscal 2026, which started Feb. 2. Adjusted earnings, which strip out one-time items, are projected to hit $1.30 to $1.70 a share.
The outlook includes negative impacts from foreign currency fluctuations and the impacts of its store closures.
For the three months that ended Feb. 1, Genesco posted a profit of $34.4 million, or $3.13 a share, compared with $28.2 million, or $2.47 a share, in the same quarter a year earlier.
Stripping out one-time items, adjusted earnings were $3.26 a share.
Sales rose 1% to $746 million. Comparable sales rose 10%, thanks to an 18% jump in e-commerce and 6% rise in same-store sales. That was largely offset by a calendar shift that cut a week of sales out of the quarter and shifted a higher-volume week into an earlier quarter, as well as store closures.
Comparable sales at Journeys were up 14% during the quarter, while Johnston & Murphy turned in a flat performance and its Schuh footwear chain logged a 2% comparable sales gain.
Shares slid 4.5% to $30.95 in premarket trading.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
March 07, 2025 07:27 ET (12:27 GMT)
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