Designer Brands(US:DBI) Prnewswire·2025-12-09 11:45Core Insights - Designer Brands Inc. reported a significant increase in diluted earnings per share (EPS), with a generated diluted EPS of $0.35 and adjusted diluted EPS of $0.38, both up over 40% compared to the same period last year [1][7][19] - The company achieved a 210-basis point improvement in gross margin year-over-year, reaching 45.1% [1][7][16] - For fiscal 2025, the company expects adjusted operating income to be in the range of $50.0 million to $55.0 million [1][8] Financial Performance - Net sales for the third quarter decreased by 3.2% to $752.4 million, while total comparable sales decreased by 2.4% [7][18] - Gross profit increased to $339.6 million from $333.8 million last year, contributing to the improved gross margin [7][16] - Reported net income attributable to Designer Brands Inc. was $18.2 million, with an adjusted net income of $19.6 million [7][19] Operational Highlights - The company noted stronger consumer demand and improved in-store execution, which contributed to better comparable sales in the third quarter compared to the second quarter [2] - Cash and cash equivalents at the end of the third quarter totaled $51.4 million, an increase from $36.2 million at the same time last year [7][19] - The total number of stores as of November 1, 2025, was 672, with a slight decrease in square footage compared to the previous year [6] Shareholder Returns - A dividend of $0.05 per share for both Class A and Class B common shares will be paid on December 19, 2025, to shareholders of record as of December 5, 2025 [5] Future Outlook - The company anticipates a decline in net sales for fiscal 2025, projected to be down 3% to 5% [8] - The management expressed confidence in navigating macroeconomic pressures while continuing to make progress on long-term strategies [2]