In This Article:
Paul Weaver / SOPA Images / LightRocket / Getty Images
Key Takeaways
-
Shoe Carnival's sales for the fourth quarter and projections for 2025 fell short of estimates.
-
Adjusted profits and sales each fell from the same time last year.
-
CEO Mark Worden also announced a rebranding plan that will result in more than half of the company's stores becoming Shoe Station locations in the next two years.
Shoe Carnival (SCVL) on Thursday reported fourth-quarter sales and projections for fiscal 2025 that came in short of analysts' estimates.
The footwear seller reported adjusted earnings per share (EPS) of $0.54, down 5 cents from the same quarter a year ago and above the analyst consensus compiled by Visible Alpha. Sales also fell year-over-year to $262.94 million, about $8 million below analysts' expectations.
Comparable store sales decline by 6.3% in the quarter, just over triple the 2% decline that analysts had forecast.
Shoe Carnival forecast sales of $1.15 billion to $1.23 billion in fiscal 2025, below the $1.25 billion analyst consensus.
CEO Announces Rebranding Effort, 175 Stores to Become 'Shoe Station' Locations
CEO Mark Worden said Thursday that the company's transition of some Shoe Carnival stores to a brand called Shoe Station, which Shoe Carnival acquired in 2021, has "exceeded my expectations." The CEO announced a new plan to rebrand 175 of its stores as Shoe Station stores.
The company currently operates 431 stores, with 346 Shoe Carnival stores and 57 Shoe Station stores, along with 28 recently acquired Rogan's stores. The new rebranding project will make more than half of the company's fleet Shoe Station locations over the next two years.
Shoe Carnival shares were up more than 1% Thursday morning, and are down more than 30% over the last 12 months.
Read the original article on Investopedia