Cato Corporation (CATO) reported first-quarter 2024 earnings of 54 cents per share, which marks a significant increase from the prior-year quarter's figure of 22 cents per share. The company's retail sales for the quarter were $175.3 million, down from $190.3 million in the prior-year quarter. The 6% decline in same-store sales was a significant contributor to this drop. Other revenues, mainly from finance charges and layaway fees, were $1.8 million compared to $1.7 million previously. Total revenues stood ...

CHARLOTTE, N.C., May 23, 2024 /PRNewswire/ -- The Cato Corporation (NYSE: CATO) today reported net income of $11.0 million or $0.54 per diluted share for the first quarter ended May 4, 2024, compared to net income of $4.4 million or $0.22 per diluted share for the first quarter ended April 29, 2023. Sales for the first quarter ended May 4, 2024 were $175.3 million, or a decrease of 8% from sales of $190.3 million for the first quarter ended April 29, 2023. The Company's same-store sales for the quarter decr ...

Financial Performance - Net loss for the fiscal year ended February 3, 2024, was $23,941,000 compared to a net income of $29,000 for the previous year[138]. - Total revenues decreased to $708,059,000 from $759,260,000, representing a decline of approximately 6.7% year-over-year[138]. - The company reported an income loss before taxes of $13.801 million for fiscal 2023, compared to an income of $1.770 million in fiscal 2022[295]. - The net loss available to common stockholders for the fiscal year ended February 3, 2024, was $22,594,000, compared to a net income of $34,907,000 in the previous fiscal year[200]. - The basic and diluted earnings per share for the fiscal year ended February 3, 2024, were both $(1.17), a significant decline from $1.65 in the prior year[200]. Assets and Liabilities - Total current assets decreased from $277,673,000 in January 28, 2023, to $243,062,000 in February 3, 2024, representing a decline of approximately 12.5%[134]. - Total liabilities decreased from $553,140,000 in January 28, 2023, to $486,817,000 in February 3, 2024, a decrease of about 12.0%[134]. - The company’s total stockholders' equity decreased from $226,593,000 in January 28, 2023, to $192,321,000 in February 3, 2024, a decrease of about 15.1%[134]. - As of February 3, 2024, total assets were $486.817 million, a decrease from $553.140 million as of January 28, 2023[295]. - Accounts receivable increased to $30,456,000 as of February 3, 2024, compared to $27,258,000 as of January 28, 2023, representing an increase of approximately 8.1%[219]. Inventory and Sales - Merchandise inventories decreased from $112,056,000 in January 28, 2023, to $98,603,000 in February 3, 2024, a reduction of about 12.0%[134]. - The company experienced a significant increase in merchandise inventories, which rose to $13,453,000 from $12,851,000, an increase of approximately 4.7%[135]. - Layaway sales represented approximately 3.0% of retail sales in fiscal 2023, up from 2.7% in both fiscal 2022 and 2021[38]. Expenses - Cost of goods sold was $464,313,000, down from $509,664,000, indicating a reduction of about 8.9%[138]. - Selling, general and administrative expenses increased to $252,742,000 from $242,561,000, reflecting a rise of approximately 4.9%[138]. - The company’s advertising expenditures were approximately 1.0% of retail sales for fiscal 2023, consistent with the previous year[32]. - Advertising expenses for the fiscal year ended February 3, 2024, were approximately $6,277,000, a decrease from $6,868,000 in the prior year[199]. Cash Flow and Investments - Net cash provided by operating activities was $477,000, significantly lower than $13,370,000 in the previous year[135]. - Cash and cash equivalents at the end of the period increased to $27,913,000 from $23,792,000, marking a rise of about 17.8%[135]. - The company's investment portfolio primarily consists of corporate bonds and governmental debt securities, with total assets valued at $88,682,000 as of February 3, 2024[193]. Taxation - The Company reported total income tax expense of $10,140,000 for the fiscal year ended February 3, 2024, significantly higher than $1,741,000 for the previous year[262]. - The effective income tax rate for the fiscal year ended February 3, 2024, was (73.5)%, a significant change from 98.4% in the previous year[272]. - The Company had $11.0 million of net deferred tax assets attributable to U.S. federal net operating loss carryforwards as of February 3, 2024[266]. Shareholder Information - The company’s Class A common stock issued increased from 18,723,225 shares in January 28, 2023, to 18,802,742 shares in February 3, 2024[134]. - Dividends paid remained consistent at $0.68 per share for both the current and previous fiscal years[138]. - The Company had 909,653 shares remaining in open authorizations for its stock repurchase program as of February 3, 2024[175]. Other Financial Metrics - The company incurred asset impairment charges of $1,811,000, $884,000, and $901,000 in fiscal years 2023, 2022, and 2021, respectively[168]. - The Company recognized $1,116,000, $256,000, and $1,482,000 of income on unredeemed gift cards for fiscal years 2023, 2022, and 2021, respectively[152]. - The Company accrued for potential litigation liabilities, although management does not expect any material adverse effects on financial statements from current pending litigation[299].

[Cato Corporation Q4 and Full-Year 2023 Earnings Release](index=1&type=section&id=CATO%20REPORTS%204Q%20AND%20FULL%20YEAR%20LOSS) The company reported a significant net loss for fiscal 2023, driven by declining sales and a substantial income tax expense [Financial Performance Summary](index=1&type=section&id=Financial%20Performance%20Summary) The company reported a $23.9 million net loss for fiscal 2023, driven by a 7% sales decline and a large income tax expense Fiscal 2023 vs. 2022 Performance | Metric | Q4 2023 | Q4 2022 | Full Year 2023 | Full Year 2022 | | :--- | :--- | :--- | :--- | :--- | | Net Income (Loss) | ($23.4M) | ($3.0M) | ($23.9M) | $0.0M | | Diluted EPS | ($1.14) | ($0.14) | ($1.17) | $0.00 | | Sales | $172.1M | $177.5M | $700.3M | $752.4M | | Sales Change | -3% | | -7% | | - The net loss was significantly impacted by an income tax expense of **$10.9 million for Q4** and **$10.1 million for the full year**, primarily due to a non-cash valuation allowance[3](index=3&type=chunk) - Management attributes the negative sales trend to **pressure on customers' discretionary spending** from higher interest rates and inflation[5](index=5&type=chunk) Margin and Expense Analysis (% of Sales) | Metric | Q4 2023 | Q4 2022 | Full Year 2023 | Full Year 2022 | | :--- | :--- | :--- | :--- | :--- | | Gross Margin | 31.0% | 31.3% | 33.7% | 32.3% | | SG&A Expenses | 39.2% | 33.8% | 36.1% | 32.3% | - The full-year gross margin increased due to **lower ocean freight costs** and more regular-priced selling, while the increase in SG&A expenses was due to **higher payroll, insurance, and impairment expenses**[6](index=6&type=chunk) [Store Operations and Business Outlook](index=1&type=section&id=Store%20Operations%20and%20Business%20Outlook) The company reduced its store count in 2023 and plans further optimization in 2024 amid a cautious economic outlook - Management remains **cautious for 2024**, citing the challenging economic environment with high interest rates and inflation impacting customer disposable income[7](index=7&type=chunk) - Strategic priorities for 2024 include **introducing new merchandise**, refining assortments, and investing in productivity and efficiency initiatives[7](index=7&type=chunk)[8](index=8&type=chunk) Store Portfolio Changes | Activity | 2023 (Actual) | 2024 (Planned) | | :--- | :--- | :--- | | Stores Opened | 7 | Up to 15 | | Stores Closed | 109 | Up to 75 | | **Total Stores (End of Period)** | **1,178** | **N/A** | [Financial Statements](index=3&type=section&id=Financial%20Statements) The consolidated statements show a pre-tax loss of $13.8 million and a decline in total assets and stockholders' equity [Condensed Consolidated Statements of Income (Loss)](index=3&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20INCOME%20(LOSS)) The statements detail a significant net loss for both Q4 and the full fiscal year 2023 compared to the prior year Full Year Income Statement Highlights (in thousands) | Line Item | Fiscal Year 2023 | Fiscal Year 2022 | | :--- | :--- | :--- | | Total Revenues | $708,059 | $759,260 | | Gross Margin | $236,005 | $242,706 | | SG&A Expenses | $252,777 | $242,648 | | Income Before Income Taxes | ($13,801) | $1,770 | | Income Tax Expense | $10,140 | $1,741 | | **Net Income (Loss)** | **($23,941)** | **$29** | Q4 Income Statement Highlights (in thousands) | Line Item | Q4 2023 | Q4 2022 | | :--- | :--- | :--- | | Total Revenues | $174,882 | $179,049 | | Gross Margin | $53,367 | $55,590 | | Income Before Income Taxes | ($12,481) | ($4,238) | | Income Tax Expense (Benefit) | $10,937 | ($1,246) | | **Net Income (Loss)** | **($23,418)** | **($2,992)** | [Condensed Consolidated Balance Sheets](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) The balance sheet reflects decreased total assets and stockholders' equity, alongside lower inventory and higher cash levels Balance Sheet Highlights (in thousands) | Account | Feb 3, 2024 | Jan 28, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $23,940 | $20,005 | | Short-term investments | $79,012 | $108,652 | | Merchandise inventories | $98,603 | $112,056 | | Total Current Assets | $243,062 | $277,673 | | **Total Assets** | **$486,817** | **$553,140** | | Total Current Liabilities | $188,008 | $202,957 | | **Stockholders' Equity** | **$192,321** | **$226,593** |

CHARLOTTE, N.C., March 21, 2024 /PRNewswire/ -- The Cato Corporation (NYSE: CATO) today reported a net loss of ($23.4) million or ($1.14) per diluted share for the fourth quarter ended February 3, 2024, compared to a net loss of ($3.0) million or ($0.14) per diluted share for the fourth quarter ended January 28, 2023. Full-year fiscal 2023 net loss was ($23.9) million or ($1.17) per diluted share compared to net income of $0.0 million or $0.00 per diluted share for 2022. Contributing to the net loss is inco ...

Alistair Berg/DigitalVision via Getty ImagesCato Corporation (NYSE:CATO) is an American apparel retailer. The company's stock is a deep value battleground because of its low EV and strong balance sheet coupled with dismal last-decade operational results. I analyze Cato's brand value proposition in this review and discuss some operational challenges. The brand seems outdated, the value proposition is not ideal for apparel retailers in the current context, and operational efficiencies are low. On the deep ...

CHARLOTTE, N.C., March 1, 2024 /PRNewswire/ -- The Board of Directors of The Cato Corporation (NYSE: CATO) declared a regular quarterly dividend of $0.17 per share.  The dividend will be payable on April 1, 2024 to shareholders of record on March 26, 2024. The $0.17 dividend, or $0.68 on an annualized basis, represents an annualized yield of 10.3% at the closing market price on February 29, 2024. The Cato Corporation is a leading specialty retailer of value-priced fashion apparel and accessories operating t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C.20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANTTO SECTION 13 OR 15(d)OF THE SECURITIESEXCHANGE ACT OF 1934 For the quarterly period ended October 28, 2023 OR ☐ TRANSITIONREPORT PURSUANTTO SECTION 13 OR 15(d)OF THE SECURITIESEXCHANGE ACT OF 1934 For the transition period from ________________to__________________ Commission file number 1-31340 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 ...

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☑ QUARTERLY REPORT PURSUANTTO SECTION 13 OR 15(d)OF THE SECURITIESEXCHANGE ACT OF 1934 For the quarterly period ended April 29, 2023 OR ☐ TRANSITIONREPORT PURSUANTTO SECTION 13 OR 15(d)OF THE SECURITIESEXCHANGE ACT OF 1934 For the transition period from ________________to__________________ Commission file number 1-31340 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or ...