Genesco Reports Q2 Earnings Beat Despite Sales Decline
Shares of Genesco (GCO) rose nearly 8% in pre-market trading after the footwear retailer reported second-quarter results that beat analyst expectations. The company posted a net loss of $0.83 per share, an improvement from last year’s $1.14 per share loss, despite a 3% decline in net sales to $530 million. Genesco attributed the drop in revenue to store closures, reduced licensed sales, and lower e-commerce performance at Schuh. The company highlighted positive contributions from Journeys and Johnston & Murphy brands, which saw flat or increased comparable sales during the quarter. CEO Mimi Vaughn stated that these results validate the effectiveness of Genesco’s 'Footwear First' strategy. The firm also received $22.5 million in tariff refunds this quarter but noted no further refunds are expected for 2027. Looking ahead, Genesco raised its full-year adjusted earnings per share guidance to the high end of the $2.00–$2.40 range and expects a strong third-quarter start driven by back-to-school demand.
Tickers: $GCO
Topics: financial_performance footwear retail