
PA Turnpike beginning to build open road tolling infrastructure in Pittsburgh region
According to the Pennsylvania Turnpike Commission, more than 500,000 people drive the Turnpike system every single day.
Bill Howe of Donegal is often one of them.
'How often do you drive the Turnpike?' Channel 11′s Andrew Havranek asked him at the Donegal exit.
'Probably about four or five times a week,' Howe said.
Howe said he takes the Turnpike to Cleveland every other month. He said he's looking forward to the Turnpike getting rid of the toll booths — which haven't been staffed in several years — and moving to the open road tolling system.
'You don't have to stop, and as long as you have an EZ Pass, you get a discount,' Howe said.
Open Road Tolling is already in place on the other side of the state — east of Reading and through Philadelphia. It launched at the start of the year.
Work has started here in western Pennsylvania to make the change. Stone poles — called gantries — will hold the overhead technology to read your EZ-Pass device or capture your license plate.
The Turnpike Commission said it'll make getting on and off the highway safer.
'Rather than having to slow down or try to change lanes to get into the lane with the toll booth that will read the equipment, we'll eliminate that and we'll be able to collect your toll as you're traveling down the highway at your normal speed,' said Crispin Havener, of the Turnpike Commission.
This modernization of the toll system will also allow for more access point interchanges to be built -- like the proposed interchange on Route 130 in Penn Township.
'In fact, we would not be able to build that Route 130 interchange if it weren't for open road tolling because your typical interchange model required a lot larger footprint than we need with open road tolling,' Havener said.
While you might see the gantries being built now — like the ones near New Stanton — the Open Road Tolling system here in the western part of the state won't officially launch until January 2027.
The old toll booths will be taken out after.
Once they're gone, the Turnpike Commission said there will be changes made to those interchanges.
'We'll reconfigure that so that it'll be, we won't need all those lanes, so we'll narrow that down and we'll figure out what to do with the excess space down the line,' Havener said.
Havener said Open Road Tolling will save nearly $25 million a year in maintenance costs.
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Miami Herald
7 hours ago
- Miami Herald
Aspire Biopharma Holdings, Inc., Announces Michael C. Howe - With Decades of Experience at Leading and Building Brands in the Healthcare and Consumer Space - To Be Its New Chief Executive Officer
Michael Howe - who currently serves as an Independent Board Member - to assume CEO role on June 10, 2025 Michael's career spans nationally recognized brands such as MinuteClinic, Procter & Gamble, PepsiCo, CEO of Arby's, and as an early-stage investor/board member in healthcare and software businesses HUMACAO, PR AND NEW YORK, NY / ACCESS Newswire / June 10, 2025 / Aspire Biopharma Holdings, Inc. (Nasdaq:ASBP) ("Aspire" or the "Company"), a developer of a multi-faceted patent-pending drug delivery technology, today announced that its Board of Directors has elected Michael C. Howe, as the Company's new chief executive officer. The Board selected Michael Howe to be CEO based on his proven track record of hands-on success during his more than four decades of experience with leading brands and early-stage companies, and his recognized leadership qualities. Kraig Higginson, who has stepped down as CEO and Chairman of the Board, will remain with the Company and serve as Executive Chairman of the Board. Michael Howe is a visionary C-level executive with a proven record of driving transformative success across diverse industries. With a deep understanding of market trends, consumer behavior, and innovative brand positioning, Howe has consistently demonstrated his ability to foresee and shape consumer trends, leading to the creation of groundbreaking operational strategies. His career has been marked by his ability to build and strengthen nationally recognized brands with companies such as MinuteClinic, Procter & Gamble, PepsiCo and Arby's. His strategic leadership has consistently delivered significant growth and financial success, from start-ups to multinational corporations. His healthcare leadership and expertise in creating innovative consumer focused brands was most effectively demonstrated in his leadership of MinuteClinic, a network of board-certified health providers offering high-quality, team-based care services. Howe joined MinuteClinic in June 2005 with 19 clinics in two markets as the brand struggled to define a clear national expansion strategy. Within 15 months, Howe added more than 100 clinics in 13 markets and facilitated the sale of the company to CVS in September 2006, which delivered a nearly sixfold return for investors. He stayed with CVS as CEO of MinuteClinic for 2 additional years leading the national expansion to more than 530 clinics. Since 2022, Howe has served as a Co-founder and CEO of The Good Clinic (TGC), which offered a holistic care approach to primary healthcare services, integrating functional medicine, genetic testing, technology, alternative treatments, and nutrition. Howe is now leading the funding and expansion to relaunch the TGC concept under the newly formed First Choice Healthcare Solutions. Since 2021, he has also served as an independent director for P1 Dental Partners, an Indianapolis-based, PE-funded dental services organization. "Michael is a seasoned strategist with a track record of driving sustainable growth through innovation, and we have every confidence in his ability to lead Aspire during this important time," said Kraig Higginson, Executive Chairman of Aspire. "He brings meaningful expertise in scaling differentiated platforms and has a deep understanding of the health and wellness sector - making him uniquely suited to serve as Aspire's next CEO. I have worked closely with Michael over the past six months as a fellow board member during which time his contributions and insights have confirmed the excellent qualities he brings to the role. Together with the entire Board, I look forward to working with him." On his appointment, Howe said, "I am honored to be named as CEO of Aspire. I am grateful to our Executive Chairman, Kraig Higginson for his commitment, leadership and passion, and to the members of our Board for their leadership, particularly in these recent months, and for the confidence they have placed in me to lead our business." Howe continued "Aspire has a powerful and differentiated drug delivery platform, is engaged in an important clinical trial which could support a submission to the FDA via the 505(b)(2) pathway, and has the opportunity to generate early revenue upon the launch of its novel pre-workout supplement, both of which are expected to occur in 2025. I am eager to build upon the work the entire Aspire team has been doing to position our business for the future and create value for our shareholders over the long-term." Higginson added, "It has been a privilege to lead Aspire. I am proud of what we have accomplished, and I want to express my thanks to the many team members who, through their hard work and commitment to the company, have made our success possible. From the going public process, to commencing the first FDA clinical trials of our high-dose aspirin, to preparing for the launch of our innovative pre-workout product, BUZZ BOMB™, now is the right time to transition the leadership of Aspire to Michael. I believe the Company and shareholders will benefit from his experience as a strategic thinker with a laser focus on capturing current market and operational opportunities." About Michael C. Howe A successful growth-oriented CEO with 40+ years of consumer and healthcare experience. Howe has established a proven track record of leading and building successful consumer focused businesses across several different business sectors including consumer goods, fast food restaurants, SaaS products, and innovative healthcare companies. He began his career at Procter & Gamble with positions in sales and marketing. He then joined PepsiCo in their fast-food division with operational roles with the KFC brand. Five years later, he joined Arby's as a senior operational executive, subsequently rising to the position of President and CEO, growing the brand's revenue by 25% in just 3 years. After a successful term as CEO of Arby's, Howe joined MinuteClinic in June 2005 and within 15 months orchestrated the sale of the company to CVS in September 2006, where he remained for 2 additional years leading the national expansion. After leaving CVS in 2008, he founded Howe & Associates, which focused on supporting start up and early- stage companies in their expansion processes, as an angel investor, board member, and / or executive, leading 11 companies to a successful financial exit. Howe earned both his accounting and business degrees from the University of Minnesota, Duluth after serving 4 years in the U.S. Air Force. About the Aspire Targeted Oral Delivery Platform Aspire's sublingual delivery technology has been developed using our patent-pending methodology, and "trade secret" process. The technology's new mechanism of action allows for rapid sublingual absorption and entry into the bloodstream of supplements and other substances. The benefits of "rapid absorption" are to provide rapid impact in more precise quantities. About Aspire Biopharma, Inc. Headquartered in Humacao, Puerto Rico, Aspire Biopharma has developed a disruptive technology through a Novel Soluble Formulation which can deliver supplements and drugs rapidly and precisely. For more information, please visit Safe Harbor Statement Certain statements made in this communication are "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may generally be identified by the use of words such as "estimate," "projects," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "would," "should," "future," "propose," "potential," "target," "goal," "objective," "outlook" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding the financial position, business strategy and the plans and objectives of management for future operations. These statements are based on various assumptions, whether or not identified in this communication, and on the current expectations of Aspire's management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the control of the parties, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law. Aspire Biopharma Holdings, Inc. ContactTraDigital IRKevin McGrath+1-646-418-7002kevin@ SOURCE: Aspire Biopharma Holdings, Inc.


Indianapolis Star
7 hours ago
- Indianapolis Star
Aspire Biopharma Holdings, Inc., Announces Michael C. Howe – With Decades of Experience at Leading and Building Brands in the Healthcare and Consumer Space – To Be Its New Chief Executive Officer
Michael's career spans nationally recognized brands such as MinuteClinic, Procter & Gamble, PepsiCo, CEO of Arby's, and as an early-stage investor/board member in healthcare and software businesses HUMACAO, PR AND NEW YORK, NY / ACCESS Newswire / June 10, 2025 / Aspire Biopharma Holdings, Inc. (Nasdaq:ASBP) ('Aspire' or the 'Company'), a developer of a multi-faceted patent-pending drug delivery technology, today announced that its Board of Directors has elected Michael C. Howe, as the Company's new chief executive officer. The Board selected Michael Howe to be CEO based on his proven track record of hands-on success during his more than four decades of experience with leading brands and early-stage companies, and his recognized leadership qualities. Kraig Higginson, who has stepped down as CEO and Chairman of the Board, will remain with the Company and serve as Executive Chairman of the Board. Michael Howe is a visionary C-level executive with a proven record of driving transformative success across diverse industries. With a deep understanding of market trends, consumer behavior, and innovative brand positioning, Howe has consistently demonstrated his ability to foresee and shape consumer trends, leading to the creation of groundbreaking operational strategies. His career has been marked by his ability to build and strengthen nationally recognized brands with companies such as MinuteClinic, Procter & Gamble, PepsiCo and Arby's. His strategic leadership has consistently delivered significant growth and financial success, from start-ups to multinational corporations. His healthcare leadership and expertise in creating innovative consumer focused brands was most effectively demonstrated in his leadership of MinuteClinic, a network of board-certified health providers offering high-quality, team-based care services. Howe joined MinuteClinic in June 2005 with 19 clinics in two markets as the brand struggled to define a clear national expansion strategy. Within 15 months, Howe added more than 100 clinics in 13 markets and facilitated the sale of the company to CVS in September 2006, which delivered a nearly sixfold return for investors. He stayed with CVS as CEO of MinuteClinic for 2 additional years leading the national expansion to more than 530 clinics. Since 2022, Howe has served as a Co-founder and CEO of The Good Clinic (TGC), which offered a holistic care approach to primary healthcare services, integrating functional medicine, genetic testing, technology, alternative treatments, and nutrition. Howe is now leading the funding and expansion to relaunch the TGC concept under the newly formed First Choice Healthcare Solutions. Since 2021, he has also served as an independent director for P1 Dental Partners, an Indianapolis-based, PE-funded dental services organization. 'Michael is a seasoned strategist with a track record of driving sustainable growth through innovation, and we have every confidence in his ability to lead Aspire during this important time,' said Kraig Higginson, Executive Chairman of Aspire. 'He brings meaningful expertise in scaling differentiated platforms and has a deep understanding of the health and wellness sector – making him uniquely suited to serve as Aspire's next CEO. I have worked closely with Michael over the past six months as a fellow board member during which time his contributions and insights have confirmed the excellent qualities he brings to the role. Together with the entire Board, I look forward to working with him.' On his appointment, Howe said, 'I am honored to be named as CEO of Aspire. I am grateful to our Executive Chairman, Kraig Higginson for his commitment, leadership and passion, and to the members of our Board for their leadership, particularly in these recent months, and for the confidence they have placed in me to lead our business.' Howe continued 'Aspire has a powerful and differentiated drug delivery platform, is engaged in an important clinical trial which could support a submission to the FDA via the 505(b)(2) pathway, and has the opportunity to generate early revenue upon the launch of its novel pre-workout supplement, both of which are expected to occur in 2025. I am eager to build upon the work the entire Aspire team has been doing to position our business for the future and create value for our shareholders over the long-term.' Higginson added, 'It has been a privilege to lead Aspire. I am proud of what we have accomplished, and I want to express my thanks to the many team members who, through their hard work and commitment to the company, have made our success possible. From the going public process, to commencing the first FDA clinical trials of our high-dose aspirin, to preparing for the launch of our innovative pre-workout product, BUZZ BOMB™, now is the right time to transition the leadership of Aspire to Michael. I believe the Company and shareholders will benefit from his experience as a strategic thinker with a laser focus on capturing current market and operational opportunities.' About Michael C. Howe A successful growth-oriented CEO with 40+ years of consumer and healthcare experience. Howe has established a proven track record of leading and building successful consumer focused businesses across several different business sectors including consumer goods, fast food restaurants, SaaS products, and innovative healthcare companies. He began his career at Procter & Gamble with positions in sales and marketing. He then joined PepsiCo in their fast-food division with operational roles with the KFC brand. Five years later, he joined Arby's as a senior operational executive, subsequently rising to the position of President and CEO, growing the brand's revenue by 25% in just 3 years. After a successful term as CEO of Arby's, Howe joined MinuteClinic in June 2005 and within 15 months orchestrated the sale of the company to CVS in September 2006, where he remained for 2 additional years leading the national expansion. After leaving CVS in 2008, he founded Howe & Associates, which focused on supporting start up and early- stage companies in their expansion processes, as an angel investor, board member, and / or executive, leading 11 companies to a successful financial exit. Howe earned both his accounting and business degrees from the University of Minnesota, Duluth after serving 4 years in the U.S. Air Force. About the Aspire Targeted Oral Delivery Platform Aspire's sublingual delivery technology has been developed using our patent-pending methodology, and 'trade secret' process. The technology's new mechanism of action allows for rapid sublingual absorption and entry into the bloodstream of supplements and other substances. The benefits of 'rapid absorption' are to provide rapid impact in more precise quantities. About Aspire Biopharma, Inc. Headquartered in Humacao, Puerto Rico, Aspire Biopharma has developed a disruptive technology through a Novel Soluble Formulation which can deliver supplements and drugs rapidly and precisely. For more information, please visit Safe Harbor Statement Certain statements made in this communication are 'forward-looking statements' within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may generally be identified by the use of words such as 'estimate,' 'projects,' 'expects,' 'anticipates,' 'forecasts,' 'plans,' 'intends,' 'believes,' 'seeks,' 'may,' 'will,' 'would,' 'should,' 'future,' 'propose,' 'potential,' 'target,' 'goal,' 'objective,' 'outlook' and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding the financial position, business strategy and the plans and objectives of management for future operations. These statements are based on various assumptions, whether or not identified in this communication, and on the current expectations of Aspire's management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the control of the parties, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law. Aspire Biopharma Holdings, Inc. SOURCE: Aspire Biopharma Holdings, Inc.
Yahoo
9 hours ago
- Yahoo
Designer Brands Inc. Reports First Quarter 2025 Financial Results
COLUMBUS, Ohio, June 10, 2025 /PRNewswire/ -- Designer Brands Inc. (NYSE: DBI) (the "Company," "we," "us," "our," and "Designer Brands"), one of the world's largest designers, producers, and retailers of footwear and accessories, today announced financial results for the first quarter ended May 3, 2025. "We experienced a soft start to 2025 amid an unpredictable macro environment and deteriorating consumer sentiment," stated Doug Howe, Chief Executive Officer. "We have shifted our near-term focus to amplifying value in our retail channels, preserving margins, controlling costs, and mitigating the impact of tariffs as part of our response to this volatility. Thanks to our team's focus and discipline, we expect to deliver between $20 million to $30 million in cost savings over the course of 2025." Howe continued, "Given the persistent instability and pressure on consumer discretionary spend, we've made the decision to withdraw our 2025 guidance for the time being. Moving forward, our efforts remain focused on disciplined execution of the initiatives within our control to build a business rooted in the strength of our brand, centered on the customer, and positioned for long-term value creation." First Quarter Operating Results (Unless otherwise stated, all comparisons are to the first quarter of 2024) Net sales decreased 8.0% to $686.9 million. Total comparable sales decreased by 7.8%. Gross profit decreased to $295.1 million versus $330.0 million last year, and gross margin was 43.0% compared to 44.2% last year. Reported net loss attributable to Designer Brands Inc. was $17.4 million, or diluted loss per share of $0.36. Adjusted net loss was $12.5 million, or adjusted diluted loss per share of $0.26. Liquidity Cash and cash equivalents totaled $46.0 million at the end of the first quarter of 2025, compared to $43.4 million at the end of the same period last year, with $125.5 million available for borrowings under our senior secured asset-based revolving credit facility. Debt totaled $522.9 million at the end of the first quarter of 2025 compared to $476.1 million at the end of the same period last year. The Company ended the first quarter with inventories of $623.6 million compared to $620.5 million at the end of the same period last year. Return to Shareholders A dividend of $0.05 per share for both Class A and Class B common shares will be paid on June 18, 2025 to shareholders of record at the close of business on June 5, 2025. Store Count (square footage in thousands) May 3, 2025May 4, 2024Number of StoresSquareFootageNumber of StoresSquareFootage U.S. Retail segment - DSW stores 4949,7265009,939 Canada Retail segment:The Shoe Co. stores 121620122626 Rubino stores 2814928149 DSW Stores 26511254961751,2801751,271 Total number of stores 66911,00667511,210 2025 Financial Outlook Due to macroeconomic uncertainty stemming primarily from global trade policies, the Company is withdrawing its full year 2025 guidance that was provided on March 20, 2025, and is not providing a full year outlook at this time. Webcast and Conference Call The Company is hosting a conference call today at 8:30 am Eastern Time. Investors and analysts interested in participating in the call are invited to dial 1-888-317-6003, or the international dial-in, 1-412-317-6061, and reference conference ID number 6422376 approximately ten minutes prior to the start of the conference call. The conference call will also be broadcast live over the internet and can be accessed through the following link, as well as through the Company's investor website at For those unable to listen to the live webcast, an archived version will be available on the Company's investor website until June 24, 2025. A replay of the teleconference will be available by dialing the following numbers: U.S.: 1-877-344-7529 Canada: 1-855-669-9658 International: 1-412-317-0088 Passcode: 6036167 Important information may be disseminated initially or exclusively via the Company's investor website; investors should consult the website to access this information. About Designer Brands Designer Brands is one of the world's largest designers, producers, and retailers of the most recognizable footwear brands and accessories, transforming and defining the footwear industry through a mission of being shoe obsessed. With a diversified, world-class portfolio of coveted brands, including Topo Athletic, Keds, Vince Camuto, Kelly & Katie, Jessica Simpson, Lucky Brand, Mix No. 6, Crown Vintage and others, Designer Brands designs and produces on-trend footwear and accessories for all of life's occasions delivered to the consumer through a robust direct-to-consumer omni-channel infrastructure and powerful national wholesale distribution. Powered by a billion-dollar digital commerce business across multiple domains and 669 DSW Designer Shoe Warehouse, The Shoe Co., and Rubino stores in North America, Designer Brands delivers current, in-line footwear and accessories from the largest national brands in the industry and holds leading market share positions in key product categories across women's, men's, and kids'. Designer Brands also distributes its brands internationally through select wholesale and distributor relationships while also leveraging design and sourcing expertise to build private label products for national retailers. Designer Brands is committed to being a difference maker in the world and the footwear industry. By leading with our corporate values of We Belong and We Do What's Right, Designer Brands supports the global community and the health of the planet by donating more than eleven million pairs of shoes to the global non-profit Soles4Souls since 2018. To learn more, visit Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 Certain statements in this press release may constitute forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by the use of forward-looking words such as "outlook," "could," "believes," "expects," "potential," "continues," "may," "will," "should," "would," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates," or the negative version of those words or other comparable words. These statements are based on the Company's current views and expectations and involve known and unknown risks, uncertainties, and other factors, many of which are outside of the Company's control, that may cause actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. These factors include, but are not limited to: uncertain general economic and financial conditions, including economic volatility and potential downturn or recession, supply chain disruptions, new or increased tariffs and other barriers to trade, fluctuating interest rates, unemployment rates and inflationary pressures, and the related impacts to consumer discretionary spending, as well as our ability to plan for and respond to the impact of these conditions; our ability to anticipate and respond to rapidly changing consumer preferences, seasonality, customer expectations, and fashion trends; the impact on our consumer traffic and demand, our business operations, and the operations of our suppliers, as we experience unseasonable weather, climate change evolves, and the frequency and severity of weather events increases; our ability to execute on our business strategies, including growing our Brand Portfolio segment, enhancing in-store and digital shopping experiences, and meeting consumer demands; our ability to successfully and efficiently integrate acquisitions in a manner that does not impede growth; our ability to maintain strong relationships with our suppliers, vendors, licensors, and retailer customers; risks related to losses or disruptions associated with our distribution systems, including our distribution centers and stores, whether as a result of reliance on third-party providers or otherwise; risks related to cyber security threats and privacy or data security breaches or the potential loss or disruption of our information technology ("IT") systems, or those of our vendors; risks related to the implementation of new or updated IT systems; our ability to protect our reputation and to maintain the brands we license; our reliance on our reward programs and marketing to drive traffic, sales, and customer loyalty; our ability to successfully integrate new hires or changes in leadership and retain our existing management team, and to continue to attract qualified new personnel; risks related to restrictions imposed by our senior secured asset-based revolving credit facility, as amended, and our senior secured term loan credit agreement, as amended, that could limit our ability to fund our operations; our competitiveness with respect to style, price, brand availability, shopping platforms, and customer service; risks related to our international operations and our reliance on foreign sources for merchandise; our ability to comply with laws and regulations, as well as other legal obligations; risks associated with climate change and other corporate responsibility issues; and uncertainties related to future legislation, regulatory reform, policy changes, or interpretive guidance on existing legislation. Risks and other factors that could cause our actual results to differ materially from our forward-looking statements are described in the Company's Annual Report on Form 10-K for the fiscal year ended February 1, 2025 or our other reports made or filed with the Securities and Exchange Commission. All forward-looking statements speak only as of the time when made. Except as may be required by applicable law, the Company undertakes no obligation to update or revise the forward looking statements included in this press release to reflect any future events or circumstances. DESIGNER BRANDS INC. SEGMENT RESULTS (unaudited) Net SalesThree months ended (dollars in thousands) May 3, 2025May 4, 2024ChangeAmount% of SegmentNet SalesAmount% of Segment Net SalesAmount% Segment net sales:U.S. Retail $ 573,24079.3 %$ 621,36779.6 %$ (48,127)(7.7) % Canada Retail 53,9057.4 %55,5127.1 %(1,607)(2.9) % Brand Portfolio 95,89813.3 %104,13013.3 %(8,232)(7.9) % Total segment net sales 723,043100.0 %781,009100.0 %(57,966)(7.4) % Elimination of intersegment net sales (36,134)(34,413)(1,721)5.0 % Consolidated net sales $ 686,909$ 746,596$ (59,687)(8.0) % Comparable SalesThree months endedMay 3, 2025May 4, 2024 Change in comparable sales:U.S. Retail segment (7.3) %(2.3) % Canada Retail segment (9.2) %(4.9) % Brand Portfolio segment - direct-to-consumer channel (27.0) %(1.7) % Total (7.8) %(2.5) % Gross ProfitThree months ended (dollars in thousands) May 3, 2025May 4, 2024ChangeAmount% of SegmentNet SalesAmount% of SegmentNet SalesAmount%Basis Points Segment gross profit:U.S. Retail $ 242,79642.4 %$ 274,40844.2 %$ (31,612)(11.5) %(180) Canada Retail 25,40447.1 %26,37447.5 %(970)(3.7) %(40) Brand Portfolio 26,67127.8 %33,47732.1 %(6,806)(20.3) %(430) Total segment gross profit 294,87140.8 %334,25942.8 %(39,388)(11.8) %(200) Net recognition (elimination) of intersegment gross profit 255(4,248)4,503 Consolidated gross profit $ 295,12643.0 %$ 330,01144.2 %$ (34,885)(10.6) %(120) Intersegment EliminationsThree months ended (in thousands) May 3, 2025May 4, 2024 Intersegment recognition and elimination activity:Elimination of net sales recognized by Brand Portfolio segment $ (36,134)$ (34,413) Cost of sales:Elimination of cost of sales recognized by Brand Portfolio segment 25,81424,093 Recognition of intersegment gross profit for inventory previously purchased thatwas subsequently sold to external customers during the current period 10,5756,072$ 255$ (4,248) Operating Profit (Loss)Three months ended (dollars in thousands) May 3, 2025May 4, 2024ChangeAmount% of Segment Net SalesAmount% of SegmentNet SalesAmount%Basis Points Segment operating profit:U.S. Retail $ 39,6086.9 %$ 64,20110.3 %$ (24,593)(38.3) %(340) Canada Retail 3650.7 %3,1685.7 %(2,803)(88.5) %(500) Brand Portfolio 2,5912.7 %1,9561.9 %63532.5 %80 Total segment operating profit 42,5645.9 %69,3258.9 %(26,761)(38.6) %(300) Corporate/eliminations (49,826)(59,943)10,117(16.9) % Consolidated operating profit (loss) $ (7,262)(1.1) %$ 9,3821.3 %$ (16,644)NMNM NM - Not meaningful DESIGNER BRANDS INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited and in thousands, except per share amounts) Three months endedMay 3, 2025May 4, 2024 Net sales $ 686,909$ 746,596 Cost of sales (391,783)(416,585) Gross profit 295,126330,011 Operating expenses (301,862)(323,493) Income from equity investments 2,4272,864 Impairment charges (2,953)— Operating profit (loss) (7,262)9,382 Interest expense, net (11,868)(11,561) Non-operating income (expenses), net 8(143) Loss before income taxes (19,122)(2,322) Income tax benefit 1,9863,207 Net income (loss) (17,136)885 Net income attributable to redeemable noncontrolling interest (288)(102) Net income (loss) attributable to Designer Brands Inc. $ (17,424)$ 783 Diluted earnings (loss) per share attributable to Designer Brands Inc. $ (0.36)$ 0.01 Weighted average diluted shares 48,24359,470 DESIGNER BRANDS INC. CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited and in thousands) May 3, 2025February 1, 2025May 4, 2024 ASSETSCurrent assets:Cash and cash equivalents $ 46,025$ 44,752$ 43,434 Receivables, net 56,15950,37196,712 Inventories 623,584599,751620,493 Prepaid expenses and other current assets 47,97539,95078,224 Total current assets 773,743734,824838,863 Property and equipment, net 230,559208,199223,205 Operating lease assets 719,749701,621728,346 Goodwill 130,714130,386133,666 Intangible assets, net 85,06284,63985,252 Deferred tax assets 50,80143,32440,868 Equity investments 54,86256,76162,863 Other assets 46,04649,47050,540 Total assets $ 2,091,536$ 2,009,224$ 2,163,603 LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST, AND SHAREHOLDERS' EQUITYCurrent liabilities:Accounts payable $ 261,787$ 271,524$ 298,968 Accrued expenses 181,207152,153182,767 Current maturities of long-term debt 6,7506,7506,750 Current operating lease liabilities 158,171159,924161,050 Total current liabilities 607,915590,351649,535 Long-term debt 516,192484,285469,328 Non-current operating lease liabilities 650,438635,076657,625 Other non-current liabilities 46,47817,73725,253 Total liabilities 1,821,0231,727,4491,801,741 Redeemable noncontrolling interest 3,5733,2843,390 Total shareholders' equity 266,940278,491358,472 Total liabilities, redeemable noncontrolling interest, and shareholders' equity $ 2,091,536$ 2,009,224$ 2,163,603 DESIGNER BRANDS INC. NON-GAAP RECONCILIATION (unaudited and in thousands, except per share amounts) Three months endedMay 3, 2025May 4, 2024 Operating expenses $ (301,862)$ (323,493) Non-GAAP adjustments:Restructuring and integration costs 3,8754,829 Acquisition-related costs —486 Total non-GAAP adjustments 3,8755,315 Adjusted operating expenses $ (297,987)$ (318,178) Operating profit (loss) $ (7,262)$ 9,382 Non-GAAP adjustments:Restructuring and integration costs 3,8754,829 Acquisition-related costs —486 Impairment charges 2,953— Total non-GAAP adjustments 6,8285,315 Adjusted operating profit (loss) $ (434)$ 14,697 Net income (loss) attributable to Designer Brands Inc. $ (17,424)$ 783 Non-GAAP adjustments:Restructuring and integration costs 3,8754,829 Acquisition-related costs —486 Impairment charges 2,953— Foreign currency transaction losses (gains) (8)143 Total non-GAAP adjustments before tax effect 6,8205,458 Tax effect on above non-GAAP adjustments (1,664)(1,398) Valuation allowance change on deferred tax assets (528)(136) Total non-GAAP adjustments, after tax 4,6283,924 Net income attributable to redeemable noncontrolling interest 288102 Adjusted net income (loss) $ (12,508)$ 4,809 Diluted earnings (loss) per share $ (0.36)$ 0.01 Adjusted diluted earnings (loss) per share $ (0.26)$ 0.08 Non-GAAP Measures To supplement amounts presented in our consolidated financial statements determined in accordance with accounting principles generally accepted in the U.S. ("GAAP"), the Company uses certain non-GAAP financial measures, including adjusted operating expenses, adjusted operating profit (loss), adjusted net income (loss), and adjusted diluted earnings (loss) per share as shown in the table above. These measures adjust for the effects of: (1) restructuring and integration costs, including severance charges; (2) acquisition-related costs; (3) impairment charges; (4) foreign currency transaction losses (gains); (5) the net tax impact of such items; (6) the change in the valuation allowance on deferred tax assets; and (7) net income attributable to redeemable noncontrolling interest. The unaudited adjusted results should not be construed as an alternative to the reported results determined in accordance with GAAP. These financial measures are not based on any standardized methodology and are not necessarily comparable to similar measures presented by other companies. The Company believes that these non-GAAP financial measures provide useful information to both management and investors to increase comparability to prior periods by adjusting for certain items that may not be indicative of core operating measures and to better identify trends in our business. The adjusted financial results are used by management to, and allow investors to, evaluate the operating performance of the Company compared to prior periods, when reviewed in conjunction with the Company's GAAP statements. These amounts are not determined in accordance with GAAP and therefore should not be used exclusively in evaluating the Company's business and operations. Comparable Sales Performance Metric We consider the percent change in comparable sales from the same previous year period, a primary metric commonly used throughout the retail industry, to be an important measurement for management and investors of the performance of our direct-to-consumer businesses. We include in our comparable sales metric sales from stores in operation for at least 14 months at the beginning of the applicable year. Stores are added to the comparable base at the beginning of the year and are dropped for comparative purposes in the quarter in which they are closed. Comparable sales include the e-commerce sales of the U.S. Retail and Canada Retail segments. Comparable sales for the Canada Retail segment exclude the impact of foreign currency translation and are calculated by translating current period results at the foreign currency exchange rate used in the comparable period of the prior year. Stores added as a result of the Rubino acquisition that will have been in operation for at least 14 months at the beginning of 2025, along with its e-commerce sales, will be added to the comparable base for the Canada Retail segment beginning with the second quarter of 2025. Comparable sales include the e-commerce net sales of the Brand Portfolio segment from the direct-to-consumer e-commerce sites. The calculation of comparable sales varies across the retail industry and, as a result, the calculations of other retail companies may not be consistent with our calculation. View original content to download multimedia: SOURCE Designer Brands Inc.