American footwear, apparel and accessories retailer Genesco has unveiled its fourth quarter results. The company has noted a 4.4 per cent surge in sales to US $ 932 million in the reporting period. Net sales for the full year ended in January 2016 increased by 5.7 per cent to US $ 3 billion.
Consolidated fourth quarter comparable sales, including same store sales and comparable e-commerce and catalogue sales, zoomed 4 per cent, with a 5 per cent surge in Journeys Group; 3 per cent increase in Lids Sports Group; 2 per cent plunge in Schuh Group; and 6 per cent rise in Johnston & Murphy Group. Comparable sales for Genesco reflected a 2 per cent increase in same store sales and a 21 per cent increase in e-commerce sales. Net earnings for the fourth quarter totalled US $ 46.4 million US dollars, down (-) 7.9 per cent, with the overall 2015 earnings reaching US $ 96.3 million, marking a drop of (-) 1.4 per cent compare to last year.
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Commenting on the results, Robert J. Dennis, Chairman, President and Chief Executive Officer of Genesco said, “Fourth quarter earnings came in just below our guidance range as a result of gross margin pressure related to our decision to make a final, aggressive push to complete our year-long program to right-size inventory in the Lids Sports Group and similarly aggressive efforts to clear inventory after a slow Holiday selling season at Schuh. While we are disappointed with our overall results, we are encouraged by the strong performance of Journeys and Johnston & Murphy and the work we’ve done to prepare the company for sustained, profitable growth going forward.”
