Specialty retailer Genesco, Inc. (GCO: Quote) on Tuesday reported a 2 percent decline in same-store sales for the quarter-to-date period. Looking ahead, the company now expects fiscal 2013 adjusted earnings per share to be at the low end to the middle of its recently announced guidance range.
The Nashville, Tennessee-based company’s same-store sales for the quarter-to-date period ended January 12, 2013 declined 2 percent from last year, when same store sales rose 13 percent. Sales for the company’s e-commerce and catalog direct sales businesses increased 17 percent on a comparable basis.
Genesco, which owns Journeys and Johnston & Murphy shoe stores, said that comparable sales, including both stores and direct sales, decreased 1 percent for the quarter-to-date period. This compared to a 13 percent increase for the same period last year.
Robert Dennis, chairman, president and chief executive officer of Genesco, said, “Comparable sales for the quarter to date reflect the success of our continuing efforts to integrate our retail store and e-commerce operations. Because of these efforts, we believe that total comparable sales – including same store sales and comparable direct sales – has become a more accurate measure of our retail performance than same store sales alone, and we intend to report the combined number in the future.”
The retailer of footwear and headgear noted that comparable sales at Journeys Group rose 2 percent in the quarter-to-date period. Schuh Group comparable sales increased 8 percent, and Johnston & Murphy Group comparable sales edged up 1 percent. Meanwhile, the Lids Sports Group comparable sales declined 10 percent.
Looking ahead, Genesco noted that while the comparable sales trend so far in January has strengthened, the planned two-week delay in the commencement of federal tax refunds recently announced by the IRS will likely shift some significant portion of sales from the last week of January into the first quarter of the new fiscal year.
Partly as a result of this sales shift, Genesco now expects fiscal 2013 adjusted earnings per share to be at the low end to the middle of its most recently announced guidance range of $5.00 to $5.08 per share.
On average, eight analysts polled by Thomson Reuters expect the company to earn $5.06 per share for the year. Analysts’ estimates typically exclude special items.
Genesco plans to announce its financial results for the fourth quarter and fiscal year 2013 on March 8.
GCO closed Monday’s trading at $56.77, up $0.05 on a volume of 458,400 shares.
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by RTT Staff Writer
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