Genesco reports higher Q4 sales and profit on Journeys growth

Core Insights - Genesco reported a 7% increase in fourth-quarter net sales to $799.9 million for the period ending January 31, 2026, driven by strong comparable sales and performance at Journeys and Schuh banners [1] - Net earnings rose to $47.6 million from $34.3 million a year earlier, with diluted earnings per share increasing to $4.43 from $3.06 [1] - Operating income grew by 11% to $51.3 million [1] Revenue Performance - The revenue increase was supported by a 9% rise in comparable sales, which included a 9% gain in same-store sales and an 8% increase in e-commerce comparable sales [2] - Journeys sales increased by 10% in the quarter, Schuh sales rose by 9%, and Johnston & Murphy recorded a 2% gain [2] - E-commerce accounted for 31% of retail sales, up from 30% the previous year [3] Store Operations - The company opened six new stores and closed 15, ending the quarter with 1,236 stores compared to 1,278 the previous year [3] - Genesco Brands experienced a 27% decline in sales, amounting to a $10 million loss [3] Fiscal Year Overview - For fiscal 2026, net sales increased by 5% to $2.43 billion, while comparable sales rose by 6% [3] - The company reported net earnings of $13.3 million, a significant improvement from a net loss of $18.8 million in fiscal 2025, with operating income rising 24% to $17.3 million [4] Future Outlook - For fiscal 2027, Genesco anticipates comparable sales growth of 1% to 2%, with total sales projected to range from down 1% to flat year-on-year [5] - Adjusted diluted earnings per share are forecasted to be between $1.90 and $2.30 [5]