Latest news with #ShoeCarnival
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2 days ago
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Shoe Carnival First Quarter 2026 Earnings: EPS Beats Expectations, Revenues Lag
Revenue: US$277.7m (down 7.5% from 1Q 2025). Net income: US$9.34m (down 46% from 1Q 2025). Profit margin: 3.4% (down from 5.8% in 1Q 2025). The decrease in margin was driven by lower revenue. EPS: US$0.34 (down from US$0.64 in 1Q 2025). Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue missed analyst estimates by 1.1%. Earnings per share (EPS) exceeded analyst estimates by 48%. Looking ahead, revenue is forecast to grow 1.9% p.a. on average during the next 3 years, compared to a 5.0% growth forecast for the Specialty Retail industry in the US. Performance of the American Specialty Retail industry. The company's shares are up 2.2% from a week ago. What about risks? Every company has them, and we've spotted 1 warning sign for Shoe Carnival you should know about. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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2 days ago
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Shoe Carnival Inc (SCVL) Q1 2025 Earnings Call Highlights: Navigating Challenges with Strategic ...
Net Sales: $277.7 million, a decline of 7.5% compared to last year. Net Income: $9.3 million or $0.34 per diluted share, down from $17.3 million or $0.63 per diluted share last year. Comparable Store Sales: Down 8.1% for the quarter. Shoe Station Sales Growth: Increased by 4.9% and was comp positive. Gross Profit Margin: 34.5%, down 110 basis points from last year. SG&A Expenses: $83.8 million, representing 30.2% of net sales, up 2.1 percentage points from last year. Cash and Cash Equivalents: $93 million, up over 30% compared to the end of Q1 last year. Inventory Levels: Increased by 4% compared to last year. Rebanner Initiative Investment: $10 million in capital expenditures during Q1, with a total expected investment of $30 million to $40 million for the year. Fiscal 2025 Outlook: Net sales of $1.15 billion to $1.23 billion, GAAP EPS of $1.60 to $2.10, and gross profit margins of 35% to 36%. Warning! GuruFocus has detected 4 Warning Signs with SCVL. Release Date: May 30, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Shoe Carnival Inc (NASDAQ:SCVL) reported first-quarter profits that outperformed expectations by approximately 10%. The company's rebanner expansion plans, particularly with Shoe Station, are delivering outstanding results, with Shoe Station achieving a 4.9% sales growth. Shoe Carnival Inc (NASDAQ:SCVL) maintains a debt-free balance sheet with expanded cash reserves, positioning it well for opportunistic buys and margin growth. The rebanner initiative has consistently yielded double-digit sales growth and accretive margins across diverse market types. Shoe Carnival Inc (NASDAQ:SCVL) is strategically maintaining elevated inventory levels to navigate marketplace uncertainties and ensure product availability during key seasons. Shoe Carnival Inc (NASDAQ:SCVL) experienced a 7.5% decline in net sales compared to the previous year, with comparable store sales down 8.1%. The Shoe Carnival banner saw a decline in sales, consistent with industry-wide challenges, with total sales declining 10%. The company anticipates continued challenges in achieving profitable sales growth in the near term due to external conditions and soft consumer confidence. The rebanner initiative, while promising, involves significant planned investments that have impacted near-term profitability. Shoe Carnival Inc (NASDAQ:SCVL) faces uncertainty regarding consumer sentiment, which could affect future sales performance, particularly during the back-to-school season. Q: With the decision to expand Shoe Station stores more quickly, is this due to outperformance and competitive positioning? How does private label exposure factor into this? A: Mark Worden, President and CEO, explained that Shoe Station is capturing new customers at an exciting rate due to unmet needs in the market, particularly in higher-end segments. The competitive set for Shoe Station is different from Shoe Carnival, focusing on premium brands and white space opportunities. Private label exposure is minimal and not a significant factor in the outperformance. Q: How instructive are the initial results from rebannered rural and lower-income locations for future performance? A: Mark Worden noted that early results are encouraging, with rebannered stores maintaining double-digit growth into their second year. The unique offering of Shoe Station, combining non-athletic and athletic products, is attracting customers in these areas, suggesting sustainable performance. Q: What is the expected impact of the rebanner initiative on next year's earnings? A: Patrick Edwards, CFO, stated that the P&L investment for rebannering has been accelerated, with costs expected to be incurred by the end of Q2 next year. While there will be additional costs beyond the previously disclosed $22 million to $27 million, the initiative is expected to support a two- to three-year payback period. Q: Can you provide more details on the Q2 guidance and expected comp performance? A: Mark Worden indicated that the guidance assumes similar comp expectations, with Shoe Carnival underperforming and Shoe Station continuing to outperform. The focus remains on maintaining strong performance at Shoe Station. Q: How are tariffs impacting your guidance and vendor pricing? A: Mark Worden expressed optimism about the tariff situation, noting that Shoe Carnival's position as a retailer without wholesale exposure provides a comparative advantage. The company has secured key products at favorable costs, and no significant cost or price changes have been observed that would impact guidance. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
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2 days ago
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Shoe Carnival CEO Is Upbeat About Shoe Station: Here's Why
Shoe Carnival CEO Mark Worden has reasons to be upbeat about the future, which contributed to the retailer's reaffirmation of Fiscal Year 2025 guidance after posting first quarter earnings results on Friday. He sees the current environment, although volatile, as an 'opportunistic one' for the footwear retailer. With a debt free balance sheet and no manufacturing or wholesale operations, the company can more easily pivot as required by the changing retail landscape. That's where the rebanner of existing Shoe Carnival stores to the Shoe Station brand comes into play. More from WWD Name Game: Shoe Carnival Is Converting More Stores to Shoe Station Banner The Maesa Magic: Building the Next Generation of Beauty Brands Allbirds, Which Produces Most of Its Shoes in Vietnam, Is Tightening Inventory and Adjusting Prices Amid Trump's Tariff Trade War 'I may be a contrarian on this next statement, but I'm starting to feel cautiously optimistic about back-to-school as we have a compelling assortment in hand and our product costs have not skyrocketed,' Worden told analysts during a company conference call on Friday. And added benefit has been the close collaboration with vendor partners. 'We have not yet experienced, nor do we have visibility to any massive product cost or price increases outside of ranges considered in our guidance,' he said, adding that the situation could evolve and that the singular corporate purpose is to be the leading footwear retailer for families. He also cited another benefit: 'We operate no wholesale businesses, and this has us in a comparatively solid and flexible stance to shift our buying decisions as costs evolve. This does not mean we're immune to vendor price volatility.' Since it is not a wholesaler, it also doesn't have any direct manufacturing exposure, the CEO highlighted, noting that the absence also means it is not locked into any production commitments that could 'force uncompetitive decisions.' Moreover, the company's debt free balance sheet and expanded cash reserves 'has us poised to make opportunistic buys in this volatile time and capture margin growth prospects ahead,' Worden said. 'Given all these variables, the executive team does not view it appropriate to withdraw 2025 guidance and today are reaffirming our annual profit guidance as the most likely outcome. For the first quarter ended May 3, net income was $9.3 million, or 34 cents a diluted share, on net sales that fell 7.5 percent to $277.7 million. For Fiscal Year 2025, the company expects earnings per share at between $1.60 to $2.10 on net sales of $1.15 billion to $1.23 billion. The CEO said that the customer was becoming more cautious during the quarter, particularly at Shoe Carnival, which targets a lower-income household, while tax refund season saw 'muted results' that indicated consumer concerns about prices and the speculation of higher prices to come. 'As previously shared, I do not anticipate a Shoe Carnival nor the family footwear industry return to profitable sales growth in the near term based on the current external conditions and soft consumer confidence we are seeing,' he said. Shoe Carnival sales were down 10 percent in the quarter, while those at Shoe Station rose 4.9 percent. The company sees the opportunity to move Shoe Station from a regional chain to a national footwear chain. 'Shoe Station is our premium retail banner attracting higher income households, providing customers the top brands [and] assortments for both non-athletic and athletic branded footwear,' Worden said, adding that the concept offers high levels of service and a contemporary shopping environment. A total of 75 Shoe Carnival stores will be rebranded to the Shoe Station banner this year, ending 2025 with 120 locations. More rebranding will continue in 2026 and by March 2027, over 80 percent of the store fleet will operate under the Shoe Station banner. Worden said Shoe Station has been outpacing the industry and the Shoe Carnival banner quarter-after-quarter for over two years, including producing increased AURs (average unit retail) and accretive product margins 'in markets we expected to win in more affluent, suburban, mature customers.' The CEO said the company is expanding significantly into new markets in Alabama, Mississippi, Georgia, Louisiana, South Carolina, Tennessee and Florida. All are locations where data indicates that metrics for the Shoe Station banner will surpass those for Shoe Carnival. According to Worden, it is 'crystal clear that Shoe Station is the future of our organic growth and future of our store base.' He also noted that vendors and key stakeholders support the rebanner initiative. 'Will Shoe Station represent 100 percent of the current store fleet in the future? I can share the organization is deeply evaluating that,' Worden said. He explained that the company will test the urban market to see if the 'Station banner can better meet all of our store needs,' noting that the company first has to find out how it can satisfy the needs of the 'low household income, highly diverse customer base' in cities such as Chicago and Houston. Looking ahead to the fall, back-to-school and holiday, the CEO said the company made a 'deliberate decision' to maintain elevated inventory levels to better navigate what he described as marketplace uncertainties. 'With our cash rich position we determined the best approach to serve customers during back-to-school and holiday seasons was to invest early in key products, maximize our in-stock position and ensure our stores are fully prepared,' Worden said. 'I want to assure you our customers will find their favorite brands fully stocked across Shoe Station, Shoe Carnival and Rogan's locations throughout 2025.' He added that men's and women's performance running brands continue to deliver 'exceptional results' and were particularly strong with double-digit growth at Shoe Station, where styles for back-to-school have 'robust' AURs over $130 on average. And separately, the CEO said the company remains committed to pursuing M&A—when the right opportunity at a fair valuation becomes avaialble—to achieve its long-term vision to be the nation's leading footwear retailer for families. 'Our M&A targeting focus is on market leading footwear retailers with scale, providing geographic expansion and/or diversifying to a higher income customer base. The leadership team will pursue scale changing M&A,' he told analysts on the call. Best of WWD All the Retailers That Nike Left and Then Went Back Mikey Madison's Elegant Red Carpet Shoe Style [PHOTOS] Julia Fox's Sleekest and Boldest Shoe Looks Over the Years [Photos]
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3 days ago
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Why Shoe Carnival (SCVL) Stock Is Up Today
Shares of footwear retailer Shoe Carnival (NASDAQ:SCVL) jumped 6.3% in the afternoon session after company reported decent first quarter 2025 results: profits ran ahead of expectations, but sales fell short. The upside came from Shoe Station, which posted nearly 5% sales growth while the rest of the market shrank. Adding to the positive aspect, its full-year revenue and EPS guidance exceeded Wall Street's estimates. Overall, this print was mixed but still had some key positives. After the initial pop the shares cooled down to $19.34, up 4.7% from previous close. Is now the time to buy Shoe Carnival? Access our full analysis report here, it's free. Shoe Carnival's shares are very volatile and have had 24 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The biggest move we wrote about over the last year was 9 months ago when the stock gained 13.3% on the news that the company reported strong second-quarter earnings. Notably, the Back-to-School shopping season (the company's most important sales period) was highly successful, driving strong sales momentum. As a result, the company achieved its highest second-quarter sales on record. However, same-store sales came in below expectations, leading to a revenue miss. Its full-year revenue guidance was underwhelming as well. Regardless, the company provided encouraging long-term projections, indicating strong demand for its offerings, as it expects to operate more than 500 stores by 2028 (vs the current count of 430). Overall, this was a decent quarter, with the market cheering the improved momentum following the successful Back-to-School campaign. Shoe Carnival is down 40.1% since the beginning of the year, and at $19.34 per share, it is trading 57.8% below its 52-week high of $45.82 from September 2024. Investors who bought $1,000 worth of Shoe Carnival's shares 5 years ago would now be looking at an investment worth $1,487. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Sign in to access your portfolio
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3 days ago
- Business
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Shoe Carnival Stockpiles Inventory To Dodge Tariffs, Ramps Up Rebannering
Shoe Carnival, Inc. (NASDAQ:SCVL) on Friday reported first-quarter adjusted earnings per share of 49 cents, beating the analyst consensus estimate of 30 cents. On a GAAP basis, Shoe Carnival registered net income per diluted share of 34 cents, compared with 63 cents a year ago. The company estimates that first-quarter 2025 EPS was reduced by about 15 cents due to costs tied to its rebanner strategy, including store closures, construction, grand reopening delays, and customer acquisition company said Shoe Station has been the fastest-growing retailer in its sector over the past two years, while Shoe Carnival and the broader family footwear industry have declined. Shoe Carnival aims to leverage this success by expanding Shoe Station from a Southeast leader to a national presence. They tested rebannering 10 stores in FY2024 and converted 24 more in Q1 2025. Shoe Carnival is now accelerating this strategy, planning to have approximately 120 stores (28% of its fleet) operating as Shoe Station by the end of FY2025, with 51 additional conversions scheduled throughout the remainder of the year, including expansion into new markets. Quarterly sales of $277.71 million (down 7.5% year over year) missed the Street view of $323.64 million. Comparable stores net sales declined 8.1 percent, of which the company estimates approximately 1 percent was due to lost sales as impacted by the rebanner strategy. Shoe Carnival's President and CEO, Mark Worden, reported strong first-quarter results, with profits exceeding expectations by about 10% despite a challenging economic and retail climate. He highlighted the success of the Shoe Station growth strategy, which is delivering industry-leading sales growth and margin improvements across various markets, outperforming both Shoe Carnival and general industry trends. Due to this success, the company is accelerating its 'rebanner initiative,' now aiming for Shoe Station to represent over 80% of its store fleet by March 2027, a significant increase from the previous 51% target, he said. This expansion is being funded by the company's strong financial position, characterized by growing cash reserves and no debt, marking a pivotal shift from a traditional family footwear retailer to a premium, brand-focused national leader, Worden said. The first quarter 2025 gross profit margin was 34.5%, down from 35.6% in the first quarter of 2024. Shoe Carnival said it invested $16.8 million in additional merchandise inventory compared to the year-ago period. Additional inventory purchases were made in the quarter before the tariff increases were announced on April 2. As of May 3, the company had 429 stores, with 334 Shoe Carnival stores, 67 Shoe Station stores, and 28 Rogan's stores. The Shoe Station store count has more than doubled since the end of the first quarter 2024. Going ahead, the company said it is accelerating its rebanner strategy and now expects approximately 120 stores, or 28% of the store fleet, to operate as a Shoe Station store by the end of Fiscal 2025. Shoe Carnival reaffirmed its FY2025 GAAP EPS outlook of $1.60 to $2.10, compared to the $1.94 estimate. The company also maintained its FY2025 sales guidance of $1.15 billion to $1.23 billion, compared with the $1.19 billion consensus. Price Action: SCVL shares are trading higher by 4.77% to $19.32 at last check Friday. Read Next:Photo by JHVEPhoto 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? SHOE CARNIVAL (SCVL): Free Stock Analysis Report This article Shoe Carnival Stockpiles Inventory To Dodge Tariffs, Ramps Up Rebannering 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
