Latest news with #JaySchmidt
Yahoo
6 days ago
- Business
- Yahoo
CAL Q1 Earnings Call: Management Cites Tariff and Sourcing Headwinds, Suspends Guidance
Footwear company Caleres (NYSE:CAL) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 6.8% year on year to $614.2 million. Its non-GAAP EPS of $0.22 per share was 39.7% below analysts' consensus estimates. Is now the time to buy CAL? Find out in our full research report (it's free). Revenue: $614.2 million (6.8% year-on-year decline) Adjusted EPS: $0.22 vs analyst expectations of $0.37 (39.7% miss) Adjusted Operating Income: $12.21 million vs analyst estimates of $19.4 million (2% margin, 37.1% miss) Operating Margin: 1.9%, down from 6.6% in the same quarter last year Market Capitalization: $558.4 million Caleres' first quarter results were shaped by softer consumer demand and operational pressures across both its Brand Portfolio and Famous Footwear segments. CEO Jay Schmidt pointed to particularly weak February sales, with some improvement in March and April, though overall performance remained below plan. Management attributed the underperformance to lower gross margins, higher inventory reserves, and increased costs tied to sourcing disruptions and tariffs. Schmidt acknowledged, 'Our first quarter results fell short of expectations,' highlighting the company's exposure to both macroeconomic volatility and specific industry challenges. Additional factors included higher-than-anticipated bad debt write-downs, as customer credit conditions worsened compared to last year. Looking ahead, Caleres is suspending formal guidance due to ongoing volatility in tariffs and global sourcing. Management emphasized a focus on cost controls and structural expense reductions, with CFO Jack Calandra detailing a $15 million annualized SG&A reduction initiative. The company is also navigating uncertainty around tariff timelines and potential sourcing disruptions, which could impact both gross margins and inventory. Schmidt noted, 'We must redouble our efforts to drive growth and profitability,' while also pointing to upcoming product launches and store format changes, such as the broader rollout of the Jordan brand and continued expansion of FLAIR locations, as key initiatives to support future performance. The planned integration of Stuart Weitzman is expected to further diversify the portfolio. Management cited tariff escalation, sourcing disruption, and inventory management as the primary drivers behind the quarter's margin and earnings pressure, while highlighting selective strength in international and direct-to-consumer channels. Tariff and sourcing disruption: The company experienced increased costs and operational complexity from shifting production out of China following new U.S. tariffs. This led to order cancellations, higher costs to relocate manufacturing, and additional inventory write-downs, which collectively pressured gross margins. Inventory management challenges: Caleres was unable to adjust its inventory flow quickly enough as demand softened, resulting in elevated inventory levels and a need for higher markdown reserves, especially in its Brand Portfolio segment. International segment growth: Despite overall declines, international sales—particularly from the Sam Edelman brand—showed double-digit growth, supported by expansion in China, the Middle East, and new marketplace partnerships. Management views these international gains as a strategic counterbalance to domestic softness. Brand Portfolio performance: Lead brands such as Sam Edelman outperformed others, with new product assortments like sneakers and sandals resonating well in key markets. However, Allen Edmonds and Naturalizer faced distinct category challenges, and Vionic's decline was attributed to a timing shift in catalog drops. Famous Footwear and product initiatives: The Famous Footwear segment experienced sequential sales improvement during the quarter, aided by growth in e-commerce and the launch of new brands and store formats. The introduction of the Jordan brand and continued rollout of FLAIR stores are anticipated to boost performance in upcoming periods. Caleres' outlook is shaped by volatile tariff policies, cost-saving initiatives, and evolving consumer demand across its core segments. Tariff environment remains fluid: Management has suspended forward guidance due to ongoing uncertainty around U.S. tariffs on Chinese and global imports. Sourcing disruption and possible further escalation or reversal of tariffs could materially affect gross margins and inventory costs in the next several quarters. Expense reduction and operational efficiency: The company is implementing a $15 million annualized SG&A reduction, with savings expected to materialize in the second half of the year. This initiative is designed to offset profit pressure from lower sales and higher sourcing costs, though management noted that further opportunities for efficiency may emerge as integration partners assess the business. Product and format innovation: Upcoming launches, such as the full-door rollout of the Jordan brand at Famous Footwear and expanded FLAIR store locations, are expected to drive renewed customer engagement. Management also cited ongoing investment in international markets and the integration of Stuart Weitzman as potential growth levers, even as domestic wholesale order books remain 'fluid.' Over the coming quarters, the StockStory team will track (1) the company's ability to reduce inventory and capture anticipated SG&A savings, (2) the impact of new product launches—particularly the Jordan brand rollout and FLAIR store conversions—on segment sales, and (3) progress on the integration and performance of Stuart Weitzman. The evolution of global tariff policy and sourcing costs will also be critical to monitor. Caleres currently trades at a forward P/E ratio of 4.4×. Should you double down or take your chips? See for yourself in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. Sign in to access your portfolio
Fashion Network
7 days ago
- Business
- Fashion Network
Caleres Q1 sales drop 6.8%, announces $15 million cost cuts
Caleres said on Thursday revenues for the first quarter fell 6.8%, on the back of a dip in both its Famous Footwear and Brand Portfolio segment. The St. Louis-based footwear company reported sales of $614.2 million, below expectations, for the 13-weeks ended May 3. Earnings per diluted share were $0.21, or $0.22 on an adjusted basis—well below the $0.88 reported in the same quarter last year. Famous Footwear segment net sales decreased 6.3%, with comparable sales down 4.6%; while Brand Portfolio segment net sales declined 6.9%. Direct-to-consumer channels continue to be a significant portion of the company's sales, accounting for approximately 70% of total net sales. 'While our brands continue to resonate with consumers and both segments of our business gained market share in the period, our first quarter results fell short of expectations,' said Jay Schmidt, president and chief executive officer. 'February sales were particularly weak, and although trends improved in March and April, overall performance was below plan. Furthermore, operating earnings were pressured by lower gross margins, increased reserves, and costs to cancel and move inventory.' In response, Caleres announced structural cost-cutting measures expected to reduce selling, general and administrative (SG&A) expenses by $15 million annually, including $7.5 million in savings for fiscal 2025. The company also said it expects to significantly reduce sourcing from China, projecting that less than 10% of dollars will be sourced from the country in the second half of 2025. 'The operating environment has become more challenging, and we must redouble our efforts to drive growth and profitability. In the near term, we are focused on controlling what we can control, including optimizing our sourcing strategy,' added Schmidt. 'Longer term, we are confident in our ability to get back on track, execute our strategic plan, invest to fuel our growth initiatives, and drive sustained value for our shareholders.' Due to ongoing macroeconomic uncertainty, the company has suspended its full-year fiscal 2025 guidance.
Yahoo
29-05-2025
- Business
- Yahoo
Famous Footwear Parent Caleres Suspends Outlook On China Risk, Stock Plunges
Caleres, Inc. (NYSE:CAL) shares are trading lower after the company reported first-quarter FY25 results. Revenues fell 6.8% year over year (Y/Y) to $614.2 million, missing the analyst consensus of $622.05 million. Famous Footwear sales fell 6.3% Y/Y, with comparable store sales down 4.6% Y/Y. Brand Portfolio sales decreased 6.9% Y/Y in the company's gross margin rate contracted 150 basis points year over year to 45.4% and adjusted EBITDA fell to $28.7 million from $57.4 million a year ago quarter. The adjusted EPS of 22 cents missed the consensus of 36 cents. Jay Schmidt, president and CEO, said, 'While our brands continue to resonate with consumers and both segments of our business gained market share in the period, our first quarter results fell short of expectations.' 'February sales were particularly weak, and although trends improved in March and April, overall performance was below plan. Furthermore, operating earnings were pressured by lower gross margins, increased reserves, and costs to cancel and move inventory.' 'In the near term, we are focused on controlling what we can control, including optimizing our sourcing strategy. Additionally, we expect to decrease SG&A by $15 million on an annualized basis through structural expense cuts,' he added. In the quarter, Caleres returned 300,000 shares to shareholders at an average price of $16.81 per share. Borrowings under the revolving credit facility totaled $258.5 million at the end of the period, up $67.5 million from the first quarter of 2024. Caleres said it currently expects dollars sourced from China to be 10% or less by the second half of 2025. Given the uncertainty in the environment, the company suspended guidance for the fiscal 2025 outlook. During the fourth-quarter FY24 earnings call, the company guided FY25 net sales to decline by 1% to up 1%, with an EPS of $2.80 – $3.20. Price Action: CAL shares are trading lower by 14.5% to $14.01 at last check Thursday. Read Next:Photo by Helen89 via Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Famous Footwear Parent Caleres Suspends Outlook On China Risk, Stock Plunges originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
29-05-2025
- Business
- Yahoo
Caleres (NYSE:CAL) Misses Q1 Sales Targets, Stock Drops
Footwear company Caleres (NYSE:CAL) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 6.8% year on year to $614.2 million. Its non-GAAP profit of $0.22 per share was 39.7% below analysts' consensus estimates. Is now the time to buy Caleres? Find out in our full research report. Revenue: $614.2 million vs analyst estimates of $622 million (6.8% year-on-year decline, 1.3% miss) Adjusted EPS: $0.22 vs analyst expectations of $0.37 (39.7% miss) Adjusted EBITDA: $28.68 million vs analyst estimates of $34.53 million (4.7% margin, 16.9% miss) Operating Margin: 1.9%, down from 6.6% in the same quarter last year Free Cash Flow was -$26.8 million, down from $26.27 million in the same quarter last year Market Capitalization: $558.4 million 'While our brands continue to resonate with consumers and both segments of our business gained market share in the period, our first quarter results fell short of expectations. February sales were particularly weak, and although trends improved in March and April, overall performance was below plan. Furthermore, operating earnings were pressured by lower gross margins, increased reserves, and costs to cancel and move inventory,' said Jay Schmidt, president and chief executive officer. The owner of Dr. Scholl's, Caleres (NYSE:CAL) is a footwear company offering a range of styles. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can have short-term success, but a top-tier one grows for years. Unfortunately, Caleres struggled to consistently increase demand as its $2.68 billion of sales for the trailing 12 months was close to its revenue five years ago. This wasn't a great result and suggests it's a low quality business. We at StockStory place the most emphasis on long-term growth, but within consumer discretionary, a stretched historical view may miss a company riding a successful new product or trend. Caleres's recent performance shows its demand remained suppressed as its revenue has declined by 3.8% annually over the last two years. This quarter, Caleres missed Wall Street's estimates and reported a rather uninspiring 6.8% year-on-year revenue decline, generating $614.2 million of revenue. Looking ahead, sell-side analysts expect revenue to grow 1.9% over the next 12 months. While this projection implies its newer products and services will fuel better top-line performance, it is still below the sector average. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) stock benefiting from the rise of AI. Click here to access our free report one of our favorites growth stories. Caleres's operating margin has been trending down over the last 12 months and averaged 5.8% over the last two years. The company's profitability was mediocre for a consumer discretionary business and shows it couldn't pass its higher operating expenses onto its customers. This quarter, Caleres generated an operating profit margin of 1.9%, down 4.7 percentage points year on year. This contraction shows it was less efficient because its expenses increased relative to its revenue. Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Caleres's EPS grew at an astounding 43% compounded annual growth rate over the last five years, higher than its flat revenue. This tells us management responded to softer demand by adapting its cost structure. In Q1, Caleres reported EPS at $0.22, down from $0.88 in the same quarter last year. This print missed analysts' estimates, but we care more about long-term EPS growth than short-term movements. Over the next 12 months, Wall Street expects Caleres's full-year EPS of $2.63 to grow 16.8%. We struggled to find many positives in these results as its revenue, EPS, and EBITDA fell short of Wall Street's estimates. Overall, this was a weaker quarter. The stock traded down 5.6% to $15.47 immediately after reporting. Caleres didn't show it's best hand this quarter, but does that create an opportunity to buy the stock right now? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free.
Business Wire
29-05-2025
- Business
- Business Wire
Caleres Reports First Quarter 2025 Results
ST. LOUIS--(BUSINESS WIRE)--Caleres (NYSE: CAL), a market-leading portfolio of consumer-driven footwear brands, today reported financial results for the first quarter 2025. 'While our brands continue to resonate with consumers and both segments of our business gained market share in the period, our first quarter results fell short of expectations. February sales were particularly weak, and although trends improved in March and April, overall performance was below plan. Furthermore, operating earnings were pressured by lower gross margins, increased reserves, and costs to cancel and move inventory,' said Jay Schmidt, president and chief executive officer. 'Despite the weak quarter, we did experience improving momentum at retail and growth in our strategically important international business.' 'The operating environment has become more challenging, and we must redouble our efforts to drive growth and profitability. In the near term, we are focused on controlling what we can control, including optimizing our sourcing strategy. Additionally, we expect to decrease SG&A by $15 million on an annualized basis through structural expense cuts. We are viewing this as an opportunity to strengthen Caleres and position our company for the future,' said Schmidt. 'Longer term, we are confident in our ability to get back on track, execute our strategic plan, invest to fuel our growth initiatives, and drive sustained value for our shareholders.' First Quarter 2025 Results (13-weeks ended May 3, 2025 compared to 13-weeks ended May 4, 2024) Net sales were $614.2 million, down 6.8% from the first quarter of 2024; Famous Footwear segment net sales decreased 6.3%, with comparable sales down 4.6%; Brand Portfolio segment net sales declined 6.9%; Direct-to-consumer sales represented approximately 70% of total net sales; Gross profit was $278.7 million, while gross margin was 45.4%, down 150 basis points versus last year; Famous Footwear segment gross margin of 45.3%, down 80 basis points versus last year; Brand Portfolio segment gross margin of 43.8%, down 280 basis points versus last year; SG&A as a percentage of net sales was 43.4%, up 300 basis points versus last year, reflecting deleverage on the sales decline; Net earnings of $6.9 million, or earnings per diluted share of $0.21, and adjusted net earnings of $7.4 million, or adjusted earnings per diluted share of $0.22, compared to net earnings of $30.9 million, or earnings per diluted share of $0.88 in the first quarter of 2024; Inventory was up 8.1% compared to the first quarter of 2024; Borrowings under the asset-based revolving credit facility were $258.5 million at the end of the period, up $67.5 million from the first quarter of 2024. Capital Allocation Update During the quarter, Caleres continued to invest in value-driving growth opportunities while at the same time returning cash to shareholders through our dividend. We also repurchased 300,000 shares at an average price of $16.81 per share to offset dilution from stock-based compensation. Given the current challenging environment and the planned acquisition of Stuart Weitzman later this year, the company is re-evaluating its capital spending plans. Caleres will continue to consider business performance and market conditions as it evaluates all opportunities for free cash flow as the year progresses, including share repurchases. Fiscal 2025 Outlook Given the uncertainty in the environment, the company is suspending guidance. Investor Conference Call Caleres will host a conference call at 10:00 a.m. ET today, Thursday, May 29, 2025. The webcast and associated slides will be available at A live conference call will be available at (877) 704-4453 for North America participants or (201) 389-0920 for international participants, no passcode necessary. A replay will also be available at for a limited period. Investors can access the replay through June 12, 2025 by dialing (844) 512-2921 in North America or (412) 317-6671 internationally and using the conference pin 13753803. Definitions All references in this press release, outside of the condensed consolidated financial statements that follow, unless otherwise noted, related to net earnings attributable to Caleres, Inc. and diluted earnings per common share attributable to Caleres, Inc. shareholders, are presented as net earnings and earnings per diluted share, respectively. Non-GAAP Financial Measures and Metrics In this press release, the company's financial results are provided both in accordance with generally accepted accounting principles (GAAP) and using certain non-GAAP financial measures and metrics. In particular, the company provides earnings before interest, taxes, depreciation and amortization (EBITDA) and estimated and future operating earnings, net earnings and earnings per diluted share, adjusted to exclude certain gains, charges and recoveries, which are non-GAAP financial measures, and the debt to EBITDA leverage ratio, which is a non-GAAP financial metric. These results are included as a complement to results provided in accordance with GAAP because management believes these non-GAAP financial measures and metrics help identify underlying trends in the company's business and provide useful information to both management and investors by excluding certain items that may not be indicative of the company's core operating results. These measures and metrics should not be considered a substitute for or superior to GAAP results. Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 This press release contains certain forward-looking statements and expectations regarding the company's future performance and the performance of its brands. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially. These risks include (i) changes in United States and international trade policies, including tariffs and trade restrictions; (ii) changing consumer demands, which may be influenced by general economic conditions and other factors; (iii) inflationary pressures and supply chain disruptions; (iv) rapidly changing consumer preferences and purchasing patterns and fashion trends; (v) supplier concentration, customer concentration and increased consolidation in the retail industry; (vi) intense competition within the footwear industry; (vii) foreign currency fluctuations; (viii) political and economic conditions or other threats to the continued and uninterrupted flow of inventory from China and other countries, where the company relies heavily on third-party manufacturing facilities for a significant amount of its inventory; (ix) cybersecurity threats or other major disruption to the company's information technology systems including those related to our ERP upgrade; (x) transitional challenges with acquisitions and divestitures; (xi) the ability to accurately forecast sales and manage inventory levels; (xii) a disruption in the company's distribution centers; (xiii) the ability to recruit and retain senior management and other key associates; (xiv) the ability to secure/exit leases on favorable terms; (xv) the ability to maintain relationships with current suppliers; (xvi) changes to tax laws, policies and treaties; (xvii) our commitments and shareholder expectations related to responsible business initiatives; (xviii) compliance with applicable laws and standards with respect to labor, trade and product safety issues; and (xix) the ability to attract, retain, and maintain good relationships with licensors and protect our intellectual property rights. The company's reports to the Securities and Exchange Commission contain detailed information relating to such factors, including, without limitation, the information under the caption Risk Factors in Item 1A of the company's Annual Report on Form 10-K for the year ended February 1, 2025, which information is incorporated by reference herein and updated by the company's Quarterly Reports on Form 10-Q. The company does not undertake any obligation or plan to update these forward-looking statements, even though its situation may change. (Unaudited) Thirteen Weeks Ended ($ thousands, except per share data) May 3, 2025 May 4, 2024 Net sales $ 614,221 $ 659,198 Cost of goods sold 335,527 350,103 Gross profit 278,694 309,095 Selling and administrative expenses 266,483 266,337 Restructuring and other special charges, net 627 — Operating earnings 11,584 42,758 Interest expense, net (3,795 ) (3,778 ) Other income, net 686 992 Earnings before income taxes 8,475 39,972 Income tax provision (2,529 ) (9,174 ) Net earnings 5,946 30,798 Net loss attributable to noncontrolling interests (997 ) (141 ) Net earnings attributable to Caleres, Inc. $ 6,943 $ 30,939 Basic earnings per common share attributable to Caleres, Inc. shareholders $ 0.21 $ 0.88 Diluted earnings per common share attributable to Caleres, Inc. shareholders $ 0.21 $ 0.88 Expand SCHEDULE 2 CALERES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS Expand (Unaudited) ($ thousands) May 3, 2025 May 4, 2024 ASSETS Cash and cash equivalents $ 33,139 $ 30,709 Receivables, net 160,433 164,865 Inventories, net 573,615 530,570 Property and equipment, held for sale 16,777 16,777 Prepaid expenses and other current assets 62,428 62,415 Total current assets 846,392 805,336 Lease right-of-use assets 559,713 565,822 Property and equipment, net 185,069 168,154 Goodwill and intangible assets, net 189,515 200,551 Other assets 127,007 121,247 Total assets $ 1,907,696 $ 1,861,110 LIABILITIES AND EQUITY Borrowings under revolving credit agreement $ 258,500 $ 191,000 Trade accounts payable 212,514 267,388 Lease obligations 118,781 120,872 Other accrued expenses 180,461 185,105 Total current liabilities 770,256 764,365 Noncurrent lease obligations 472,981 482,163 Other liabilities 51,555 37,553 Total other liabilities 524,536 519,716 Total Caleres, Inc. shareholders' equity 605,179 570,304 Noncontrolling interests 7,725 6,725 Total equity 612,904 577,029 Total liabilities and equity $ 1,907,696 $ 1,861,110 Expand SCHEDULE 3 CALERES, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS Expand (Unaudited) Thirteen Weeks Ended ($ thousands) May 3, 2025 May 4, 2024 OPERATING ACTIVITIES: Net cash (used for) provided by operating activities $ (5,657 ) $ 36,074 INVESTING ACTIVITIES: Purchases of property and equipment (20,542 ) (9,802 ) Capitalized software (604 ) (524 ) Net cash used for investing activities (21,146 ) (10,326 ) FINANCING ACTIVITIES: Borrowings under revolving credit agreement 135,500 118,500 Repayments under revolving credit agreement (96,500 ) (109,500 ) Dividends paid (2,362 ) (2,442 ) Acquisition of treasury stock (5,044 ) (15,070 ) Issuance of common stock under share-based plans, net (3,067 ) (7,847 ) Contributions by noncontrolling interests 1,750 — Net cash provided by (used for) financing activities 30,277 (16,359 ) Effect of exchange rate changes on cash and cash equivalents 29 (38 ) Increase in cash and cash equivalents 3,503 9,351 Cash and cash equivalents at beginning of period 29,636 21,358 Cash and cash equivalents at end of period $ 33,139 $ 30,709 Expand (Unaudited) Trailing Twelve Months Ended May 3, 2025 May 4, 2024 Pre-Tax Net Earnings (Loss) Pre-Tax Net Earnings (Loss) Impact of Attributable Impact of Attributable Charges/Other to Caleres, Charges/Other to Caleres, ($ thousands) Items Inc. Items Inc. GAAP earnings $ 83,259 $ 167,603 Charges/other items: Stuart Weitzman acquisition and integration costs 627 466 — — Exit of Naturalizer retail store operations 4,216 3,131 — — Pension settlement cost 2,716 2,017 — — Restructuring costs 2,951 2,192 — — Deferred tax valuation allowance adjustments — — — (26,654) Expense reduction initiatives — — 6,103 4,532 Total charges/other items $ 10,510 $ 7,806 $ 6,103 $ (22,122) Adjusted earnings $ 91,065 $ 145,481 Expand SCHEDULE 5 CALERES, INC. SUMMARY FINANCIAL RESULTS Expand (Unaudited) Thirteen Weeks Ended Famous Footwear Brand Portfolio Eliminations and Other Consolidated May 3, May 4, May 3, May 4, May 3, May 4, May 3, May 4, ($ thousands) 2025 2024 2025 2024 2025 2024 2025 2024 Net sales $ 327,676 $ 349,553 $ 295,395 $ 317,211 $ (8,850) $ (7,566) $ 614,221 $ 659,198 Gross profit 148,441 161,005 129,287 147,812 966 278 278,694 309,095 Gross margin 45.3 % 46.1 % 43.8 % 46.6 % (10.9) % (3.7) % 45.4 % 46.9 % Operating earnings (loss) 4,974 16,855 17,415 41,425 (10,805) (15,522) 11,584 42,758 Adjusted operating earnings (loss) 4,974 16,855 17,415 41,425 (10,178) (15,522) 12,211 42,758 Operating margin 1.5 % 4.8 % 5.9 % 13.1 % n/m % n/m % 1.9 % 6.5 % Adjusted operating earnings % 1.5 % 4.8 % 5.9 % 13.1 % n/m % n/m % 2.0 % 6.5 % Comparable sales % (on a 13-week basis) (4.6) % (2.3) % (1.2) % 0.1 % — % — % — % — % Company-operated stores, end of period 835 855 115 99 — — 950 954 n/m – Not meaningful Expand SCHEDULE 6 CALERES, INC. BASIC AND DILUTED EARNINGS PER SHARE RECONCILIATION Expand (Unaudited) Thirteen Weeks Ended May 3, 2025 May 4, 2024 ($ thousands, except per share data) Net earnings attributable to Caleres, Inc.: Net earnings $ 5,946 $ 30,798 Net loss attributable to noncontrolling interests 997 141 Net earnings attributable to Caleres, Inc. 6,943 30,939 Net earnings allocated to participating securities (241 ) (1,208 ) Net earnings attributable to Caleres, Inc. after allocation of earnings to participating securities $ 6,702 $ 29,731 Basic and diluted common shares attributable to Caleres, Inc.: Basic common shares 32,523 33,793 Dilutive effect of share-based awards 128 106 Diluted common shares attributable to Caleres, Inc. 32,651 33,899 Basic earnings per common share attributable to Caleres, Inc. shareholders $ 0.21 $ 0.88 Diluted earnings per common share attributable to Caleres, Inc. shareholders $ 0.21 $ 0.88 Expand SCHEDULE 7 CALERES, INC. BASIC AND DILUTED ADJUSTED EARNINGS PER SHARE RECONCILIATION Expand (Unaudited) Thirteen Weeks Ended May 3, 2025 May 4, 2024 ($ thousands, except per share data) Adjusted net earnings attributable to Caleres, Inc.: Adjusted net earnings $ 6,412 $ 30,798 Net loss attributable to noncontrolling interests 997 141 Adjusted net earnings attributable to Caleres, Inc. 7,409 30,939 Net earnings allocated to participating securities (241 ) (1,208 ) Adjusted net earnings attributable to Caleres, Inc. after allocation of earnings to participating securities $ 7,168 $ 29,731 Basic and diluted common shares attributable to Caleres, Inc.: Basic common shares 32,523 33,793 Dilutive effect of share-based awards 128 106 Diluted common shares attributable to Caleres, Inc. 32,651 33,899 Basic adjusted earnings per common share attributable to Caleres, Inc. shareholders $ 0.22 $ 0.88 Diluted adjusted earnings per common share attributable to Caleres, Inc. shareholders $ 0.22 $ 0.88 Expand SCHEDULE 8 CALERES, INC. CALCULATION OF EBITDA AND DEBT/EBITDA LEVERAGE RATIO (NON-GAAP METRICS) Expand (Unaudited) Thirteen Weeks Ended ($ thousands) May 3, 2025 May 4, 2024 EBITDA: Net earnings attributable to Caleres, Inc. $ 6,943 $ 30,939 Income tax provision 2,529 9,174 Interest expense, net 3,795 3,778 Depreciation and amortization (1) 14,784 13,490 EBITDA $ 28,051 $ 57,381 EBITDA margin 4.6 % 8.7 % Adjusted EBITDA: Adjusted net earnings attributable to Caleres, Inc. (2) $ 7,409 $ 30,939 Income tax provision (3) 2,690 9,174 Interest expense, net 3,795 3,778 Depreciation and amortization (1) 14,784 13,490 Adjusted EBITDA $ 28,678 $ 57,381 Adjusted EBITDA margin 4.7 % 8.7 % Expand (Unaudited) Trailing Twelve Months Ended ($ thousands) May 3, 2025 May 4, 2024 EBITDA: Net earnings attributable to Caleres, Inc. $ 83,259 $ 167,603 Income tax provision 22,416 8,000 Interest expense, net 13,974 17,498 Depreciation and amortization (1) 57,722 54,056 EBITDA $ 177,371 $ 247,157 EBITDA margin 6.6 % 8.8 % Adjusted EBITDA: Adjusted net earnings attributable to Caleres, Inc. (2) $ 91,065 $ 145,481 Income tax provision (3) 25,121 36,225 Interest expense, net 13,974 17,498 Depreciation and amortization (1) 57,722 54,056 Adjusted EBITDA $ 187,882 $ 253,260 Adjusted EBITDA margin 7.0 % 9.0 % (Unaudited) ($ thousands) May 3, 2025 May 4, 2024 Debt/EBITDA leverage ratio: Borrowings under revolving credit agreement (4) $ 258,500 $ 191,000 EBITDA (trailing twelve months) 177,371 247,157 Debt/EBITDA 1.5 0.8 Expand _________________________________ (1) Includes depreciation and amortization of capitalized software and intangible assets. (2) Refer to Schedule 4 for the consolidated reconciliation of net earnings attributable to Caleres, Inc. to adjusted net earnings attributable to Caleres, Inc. (3) Excludes the income tax impacts of the adjustments on Schedule 4. Expand
