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Feb 01
Shoe Carnival Q4 2024 Earnings Report
Shoe Carnival reported its Q4 2024 earnings, highlighting solid net income and gross profit margins despite a decline in comparable store sales.
Key Takeaways
Shoe Carnival delivered Q4 2024 results with net sales of $262.9 million and adjusted EPS of $0.54. The company demonstrated strong performance through contributions from its Shoe Station and Rogan's acquisition, although comparable store sales fell by 6.3%. Operating income was $14.0 million, supported by efficiency gains and synergy captures.
Q4 2024 net sales were $262.9 million, up from $260.0 million adjusting for the prior year’s extra week impact.
Adjusted EPS for Q4 2024 came in at $0.54, slightly below the $0.59 from the previous year.
Gross profit margin increased by 35 basis points to 34.9%.
Operating income for the quarter totaled $14.0 million, driven by synergy gains from the Rogan’s acquisition.
Shoe Carnival
Shoe Carnival
Forward Guidance
For Fiscal 2025, Shoe Carnival expects net sales between $1.15 billion and $1.23 billion, and GAAP EPS between $1.60 and $2.10, reflecting investments in their rebanner strategy.
Positive Outlook
- Net sales expected to range between $1.15 billion and $1.23 billion.
- GAAP EPS forecasted between $1.60 and $2.10.
- Strong focus on rebannering Shoe Carnival stores to Shoe Station stores.
- Planned investment in scaling up Shoe Station as a national brand.
- Expectation for rebannered stores to have over 10% higher net sales by Fiscal 2027.
Challenges Ahead
- Expected decrease in operating income by $20 to $25 million in Fiscal 2025 due to rebanner investments.
- Anticipated EPS decline of approximately $0.65 in Fiscal 2025 as a result of first-year investment costs.
- Volatility and uncertainty from tariffs and geopolitical factors may affect consumer spending.
- Comparable store sales pressures from nonevent periods are likely to continue.
- Short-term financial impact due to store closures and customer acquisition costs during rebannering.