Footwear retailer Caleres' Q2 sales beat estimates on gains across brands
Footwear retailer Caleres' Q2 sales beat estimates on gains across brands
Overview
U.S. footwear brand portfolio's Q2 sales rose 5.6% yr/yr, beating analyst expectations
Adjusted EPS exceeds Co's expectations
Famous Footwear sales declined 6.3%, impacted by later Back-to-School and weak lifestyle athletic demand
Outlook
Caleres expects Q3 net sales up low-single digits, GAAP EPS $0.62 to $0.70
Company sees full-year net sales up low-to-mid-single digits, GAAP EPS $2.80 to $2.95
Caleres raises lower end of full-year adjusted EPS guidance to $1.50-$1.65 from $1.40-$1.65
Result Drivers
BRAND PORTFOLIO GROWTH - Broad-based gains across brands, channels, and geographies drove strong sales and margin expansion in Brand Portfolio
TARIFF REFUNDS - Reported gross margin was boosted by $55.6 mln in tariff refunds; adjusted gross margin also improved
FAMOUS FOOTWEAR WEAKNESS - Sales declined due to a later Back-to-School season and weak demand for lifestyle athletic products
Company press release: ID:nBw6pvmCJa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $695.45 mln | $686.73 mln (3 Analysts) |
Q2 EPS |
| $1.71 |
|
Q2 Net Income |
| $59.42 mln |
|
Q2 Basic EPS |
| $1.72 |
|
Q2 EBIT |
| $77.61 mln |
|
Q2 Gross Profit |
| $380.98 mln |
|
Q2 Pretax Profit |
| $77.73 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the apparel & accessories retailers peer group is "buy"
Wall Street's median 12-month price target for Caleres Inc is $17.00, about 41.3% above its September 8 closing price of $12.03
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 8 three months ago
Reuters Recommended Reads
Sept 8 - Homewares retailer Dunelm prelim FY26 sales slightly beat on digital and omnichannel growth
Sept 7 - UK retailer Next wins appeal to pay warehouse staff higher basic pay
Sept 9 - Zara owner Inditex reports profit miss despite strong August sales
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
Recent news on Caleres
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Footwear retailer Caleres' Q2 sales beat estimates on gains across brands
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