Q1 earnings miss expectations for Caleres
30/05/2025
The company, which owns brands such as Famous Footwear, Sam Edelman and Allen Edmonds, posted adjusted earnings per share of $0.22—well below analysts’ forecast of $0.37. Revenue declined 6.8% year-on-year to $614 million, and gross margin contracted by 150 basis points to 45.4%.
Both core segments posted sales declines. Brand Portfolio revenue fell 6.9% to $295 million, while Famous Footwear declined 6.3% to $328 million. Margins also narrowed across the board, though the company gained modest market share in Women’s Fashion Footwear and Kids’ shoes.
Inventory increased 8.1% year-on-year, while total debt remained steady at $259 million with no long-term debt. Adjusted EBITDA over the past 12 months stood at $188 million, or 7.0% of sales.
Caleres outlined a number of strategic priorities for 2025, including reducing sourcing from China, international expansion, cost savings of $15 million, and enhancing its brand mix with premium and accessible luxury products.
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