Thu, Jun 13, 1:41 PM (86 days ago)
Genesco Inc. reported a 5.3% decline in net sales for Q1 FY2025, totaling $457.6 million, compared to $483.3 million in Q1 FY2024. The decline was attributed to reduced store sales across all retail segments and decreased wholesale sales, partially offset by a 3% increase in e-commerce sales. Gross margin decreased by 5.5% to $216.3 million, with a flat percentage of net sales at 47.3%, reflecting mixed performance across segments. Operating loss widened to $32.1 million from $23 million, driven by lower sales and increased expenses. Net loss for the quarter was $24.3 million, or $2.23 per diluted share, compared to a net loss of $18.9 million, or $1.60 per diluted share, in the previous year. The company highlighted ongoing inflationary pressures and a challenging consumer environment. Cash flow from operations improved, reducing the net cash used by $26.7 million. The company remains compliant with its credit facility and expects sufficient liquidity for FY2025.