Companies

Shoe Carnival with record net sales

Sep 7, 2020 United States

The US-based footwear retailer has reported record net sales of 300.8 million US dollars for the second quarter exceeding the previous record set in the third quarter of fiscal 2017 by 4.6%

“The strength of our team was on full display during the second fiscal quarter. Our customer-centric culture and exceptional operational execution enabled us to swiftly and safely welcome our loyal shoppers and new customers into our stores. At the same time, our strategic investments in technology supported sustained triple-digit growth in e-commerce sales. The positive response by both our in-store and online customers led to record quarterly revenues and comparable same store sales growth of 12.6%. We also achieved an important milestone surpassing 25 million Shoe Perks loyalty members”, commented Cliff Sifford, Shoe Carnival’s Vice Chairman and Chief Executive Officer.

Second Quarter Results

Shoe Carnival reported record net sales of 300.8 million US dollars for the second quarter exceeding the previous record set in the third quarter of fiscal 2017 by 4.6%. Comparable store sales increased by 12.6%. E-commerce sales increased by 332% and represented more than 20% of total sales in the second quarter of fiscal 2020. Brick-and-mortar sales were adversely impacted by COVID-19 related closures early in the second quarter and COVID-19 related delays in back-to-school shopping late in the quarter. Net income for the second quarter of fiscal 2020 totaled 10.1 million US dollars, or 0.71 US dollars per diluted share. For the second quarter of fiscal 2019, the company reported net income of 11.8 million US dollars, or 0.80 US dollars per diluted share.

First Semester Results

Net sales for the first six months of fiscal 2020 reached 448.3 million US dollars compared to 522.0 million US dollars in the first six months of fiscal 2019. Comparable store sales decreased by 14.0% for the first six months of fiscal 2020. Net loss for the first six months of fiscal 2020 was 6.1 million US dollars, or a loss of 0.44 US dollars per diluted share, compared to net income of 25.7 million US dollars, or 1.71 US dollars per diluted share, for the first six months of fiscal 2019.

Fiscal 2020 Outlook

As the COVID-19 pandemic is expected to continue to affect macroeconomic conditions and consumer spending in the retail sector, Shoe Carnival believes considerable uncertainty surrounding the impact the pandemic may have on the Company’s sales and operations result in the decision to not providing guidance for fiscal year 2020.

Store Openings and Closings

Two new stores were opened in the second quarter of fiscal 2020 and ten stores were closed. For the first six months of fiscal 2020, the company has opened two stores and closed 12 stores. Shoe Carnival expects a total of four store openings and 13 store closings during fiscal 2020 compared to one store opening and six store closings in fiscal 2019.

Image credits: Madison Kaminski on Unsplash

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