US: Genesco swings to Q2 profit and lifts FY target
- Q2 profit reaches $10.5m
- Sales up 15% to $543.5m
- Company lifts full-year EPS guidance
Cap and footwear retailer Genesco has raised its full-year outlook after swinging to a second-quarter profit helped by a sales boost from UK-based retailer Schuh, which it acquired last year.
Net income for the quarter ended 28 July reached US$10.5m, compared to a loss of $392,000 the same period last year. Net sales increased 15% to $543.5m on the back of positive Schuh Group sales, while comparable store sales climbed 4%.
Comparable sales at its Lids stores edged up 2%, while Journeys and Johnston & Murphy were up 6% and 2% respectively.
"We are pleased with the strength of our second quarter performance," said Robert Dennis, chairman, president and CEO. "We generated significant operating expense leverage on solid sales growth to deliver earnings that were ahead of expectations.
"With August comparable sales up 9%, the third quarter is off to an encouraging start. We believe our merchandise assortment is well positioned for the remainder of back-to-school and the upcoming holiday season."
The company now expects full-year earnings per share to be in the range of $4.88 to $5.00, compared to its previous forecast of $4.70 to $4.82.
Apparel group Genesco has raised its full-year earnings guidance after reporting a 56.7% increase in third-quarter net profit....
- Fashion fit for the future – strategies for speed
- Will new Vietnam wage hinder competitiveness?
- Digitisation to drive new apparel-making models
- Under Armour Lighthouse will disrupt production
- How TAL Apparel is staying ahead of the game
- Gap to shutter all UK Banana Republic stores
- MAS Holdings shares commitment to sustainability
- M&S "unappealing" clothing a barrier to growth
- Reebok Liquid Factory reinvents shoe production
- Bangladesh tops China as lead cotton importer
- Africa-Med strategic sourcing review – comparing East Africa, North Africa and Turkey
- REPORT BUNDLE: Africa-Med, Southeast Asia and Central America strategic sourcing pack
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Apparel (GLOBAL) - Industry Report
- Global Sports and Fitness Wear Market 2016-2020