Genesco Reports Q2 Earnings with Mixed Performance Across Segments
Genesco, a retail and footwear company operating under the Journeys, Johnston & Murphy, and Schuh brands, reported second-quarter results for fiscal year 2027. Net sales declined by 3% to $530 million due primarily to store closures and lower e-commerce volume. Adjusted diluted earnings per share (EPS) improved from a loss of ($1.14) in the prior-year period to ($0.83), despite a reduced adjusted tax rate. The Journeys segment saw 2% comparable sales growth for the eighth consecutive quarter, while Johnston & Murphy reported 4% growth driven by increased brand awareness and consumer demand shifts toward refined styles. Schuh's performance lagged with a 9% decline in comparable sales due to its strategy of prioritizing full-price selling over promotions. Genesco raised its adjusted EPS guidance for the year to $2.00–$2.40, aiming for the high end after outperforming expectations in Q2. However, it lowered total sales guidance from flat-to-down 1% to a projected decline of 2%. The company also announced cost savings initiatives targeting $40 million to $50 million by fiscal 2029 and received non-operating tariff refunds totaling $22.5 million.
Tickers: $GCO
Topics: financial_performance guidance retail