Overview
- Q3 net sales rose about 3% to $616.2 million while adjusted EPS came in at $0.79, missing Wall Street expectations on both metrics.
- Genesco cut its full-year view to roughly 2% total sales growth and about $0.95 in adjusted EPS, down from prior targets of 3%–4% growth and $1.30–$1.70 in EPS.
- The stock dropped roughly 26% to 29% on Thursday after the results and guidance reduction.
- CEO Mimi Vaughn said strong back-to-school demand was followed by a late-quarter pullback, then a lift over Black Friday and Cyber Monday, and the company reduced Schuh’s sales and margin assumptions.
- Comparable sales increased about 3% with stores up around 5% and e-commerce down about 3% to 23% of retail; gross margin slipped to 46.8% on tariff and licensing pressures and heavier promotions at Schuh.