NYSE$GCO

Genesco Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Profitability exceeded expectations and Fiscal 2023 outlook was reaffirmed.

Genesco Inc. reported GAAP earnings from continuing operations per diluted share of $0.37 for the three months ended April 30, 2022. Net sales decreased 3% to $521 million. The company reaffirmed its Fiscal 2023 full year EPS guidance.

  • Net sales decreased by 3% year-over-year to $521 million, but increased 5% over Q1FY20.
  • Gross margin increased 50 basis points compared to the previous year.
  • GAAP operating income decreased 47% from last year.
  • Non-GAAP EPS from continuing operations was $0.441, compared to $0.79 last year.

Headline financials

Total Revenue

$521M

Previous: $539M-3.3%
EPS (adj)

$0.44

Previous: $0.79-44.3%
Gross Margin

48.3%

Previous: 47.8%+1.0%
E-commerce Penetration

19.0%

Previous: 43.0%-55.8%
Capital Expenditures

-$15.4M

Previous: -$12.1M-27.2%
Free Cash Flow

-$10.5M

Previous: -$3.22M-224.1%
Net Income

$4.95M

Previous: $8.88M-44.3%
Operating Income

$8.25M

Previous: $15.5M-46.9%
Gross Profit

$251M

Previous: $258M-2.4%
Cash & Equivalents

$201M

Previous: $258M-22.3%
Total Assets

$1.55B

Previous: $1.66B-6.9%
Stock-Based Comp

$3.24M

Previous: $1.91M+69.4%

Revenue & EPS history

Genesco · Revenue · Quarterly

$521M

Q1 2023-3.3%vs Q1 2022
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Genesco · $474M total across 3 segments · Q1 2023

  • Journeys Group
    $314M-16.5%
  • Schuh Group
    $88.2M+28.3%
  • Johnston & Murphy Group
    $71M+45.6%

Forward guidance

The Company reaffirms its Fiscal 2023 full year EPS guidance. Adjusted diluted earnings per share from continuing operations in the range of $7.00 to $7.75, with an expectation that earnings per share for the year will be near the mid-point of the range.

Tailwinds

  • Sales to be up 1% to 3%, compared to FY22, incorporating the impact of the lower exchange rates with a stronger U.S. dollar.
  • Adjusted diluted earnings per share from continuing operations in the range of $7.00 to $7.75
  • Earnings per share for the year will be near the mid-point of the range.
  • Sequential retail sales improvement in April and May to-date compared with last year
  • Strong full priced selling

Headwinds

  • Difficult comparison due to government stimulus-fueled consumer spending, especially for our Journeys business
  • Journeys experienced a lack of inventory in the first quarter this year due to the impact of supply chain disruptions
  • Sales would have been higher if not for inventory shortfalls
  • Lower exchange rates with a stronger U.S. dollar
  • Increased freight and logistics costs

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

-2.8%

Avg return

Earnings day

-6.1%

Avg return

5 days after

-5.5%

Avg return

30 days after

40%

26 / 65 earnings

Positive

+38.1%

Q3 2020

Best reaction

-35.5%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+1.6%-1.2%+8.8%
Q3 2026-30.6%-33.6%-29.8%
Q2 2026-6.7%-2.7%-8.3%
Q1 2026+0.2%+1.6%-0.4%
Q4 2025-16.3%-34.5%-44.4%
Q3 2025+11.4%+17.6%+14.1%
Q2 2025-12.6%-16.9%-4.4%
Q1 2025+7.6%+2.7%-5.3%
Q4 2024-13.5%-10.3%-10.3%
Q3 2024-12.8%-21.1%-5.8%
Q2 2024+15.1%+7.0%+5.7%
Q1 2024-35.5%-38.3%-19.6%
Q4 2023-12.4%-23.6%-24.3%
Q3 2023-9.7%-5.1%-4.9%
Q2 2023-24.0%-21.7%-30.5%
Q1 2023+7.6%+2.5%+3.1%
Q4 2022+7.8%+6.6%+2.5%
Q3 2022-0.2%+1.5%+0.6%
Q2 2022-9.2%-11.5%-4.8%
Q1 2022-5.7%-0.4%+9.1%
Q4 2021-1.5%-8.6%-4.3%
Q3 2021+1.7%+7.1%-2.1%
Q2 2021-1.7%-4.8%+3.9%
Q1 2021-14.9%-21.2%-37.4%
Q4 2020-8.3%-38.8%-19.7%
Q3 2020+38.1%+31.9%+28.6%
Q2 2020+15.6%+22.1%+6.1%
Q1 2020+15.0%+7.6%+5.0%
Q4 2019-9.9%-9.3%-6.5%
Q3 2019+2.4%-0.4%+10.7%
Q2 2019+1.8%+0.3%-5.3%
Q1 2019-11.3%-8.8%-10.7%
Q4 2018-1.6%-2.3%+5.1%
Q3 2018-11.3%-7.7%+4.5%
Q2 2018-9.0%-7.5%+4.3%
Q1 2018-17.5%-16.6%-26.2%
Q4 2017+3.9%+4.1%-9.0%
Q3 2017+10.4%+12.1%-1.8%
Q2 2017-32.5%-32.9%-25.0%
Q1 2017+11.1%+9.7%+10.4%
Q4 2016-2.6%
Q3 2016+10.1%
Q2 2016+5.3%
Q1 2016-3.7%
Q4 2015-7.7%
Q3 2015-11.6%
Q2 2015-10.6%
Q1 2015+4.1%
Q4 2014+4.2%
Q3 2014-2.7%
Q2 2014-11.3%
Q1 2014-1.8%
Q4 2013-1.0%
Q3 2013-10.4%
Q2 2013-1.0%
Q1 2012-2.2%
Q1 2013+1.2%
Q4 2012+6.1%
Q4 2010+6.1%
Q3 2011+2.4%
Q3 2012+2.4%
Q2 2012-1.3%
Q2 2011-1.3%
Q4 2011-1.3%
Q1 2011+7.1%

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