Companies

Shoe Carnival reaffirms full-year outlook despite soft first quarter

May 27, 2026 United States

The footwear retailer reported lower sales and a net loss in the first quarter of its fiscal year. However, it reaffirmed its full-year guidance, expecting a stronger performance during the back-to-school and fall selling seasons

“While there is more work to do, I am pleased that our first quarter results came in within the range of consensus analyst expectations on the key financial metrics, with sales modestly ahead of consensus and adjusted EPS matching consensus”, said Cliff Sifford, Interim President and Chief Executive Officer. “We are reaffirming our previously communicated Fiscal 2026 guidance, with the back-to-school and fall selling periods representing the bulk of our expected annual earnings opportunity”, he added.

First-Quarter Results

In the first quarter of the 2026 financial year, which ended on the 2^nd of May, Shoe Carnival reported total net sales of 270.7 million US dollars. This reflects a 2.5% decrease compared to the same period in the previous year, with comparable store sales falling by 2.1%.

Net sales at the Shoe Carnival banner totalled 177.3 million US dollars, a decline of 2.2% year-on-year decline, which included a 1.7% decline in comparable store net sales. This represented an improvement on the mid-to-high single-digit quarterly declines seen throughout the previous fiscal year.

Meanwhile, net sales at the Shoe Station banner totalled 93.4 million US dollars, a decline of 3.1% year-on-year, including a comparable store net sales decline of 2.9%. Improved trends in banner store sales were offset by slower growth in the banner’s e-commerce sales.

In the first quarter of the year, the company’s gross profit margin declined to 33.3%, due to higher promotional spending and increased e-commerce shipping costs.

Shoe Carnival posted a first-quarter net loss of 5.6 million US dollars, compared to net income of $9.3 million in the same period last year. On an adjusted basis, however, net income totalled 6.2 million dollars.

Despite the soft quarterly performance, the company emphasised the strength of its balance sheet. It ended the quarter debt-free, with 129.3 million dollars in cash, cash equivalents, and marketable securities. Inventory levels also decreased year-on-year.

Full-Year 2026 Outlook

Shoe Carnival reaffirmed its outlook for fiscal 2026, continuing to expect net sales to be between 1.125 billion and 1.147 billion US dollars. This represents a range of a 1% decline to a 1% increase compared to fiscal 2025. Gross profit margin is forecast to be around 34%, reflecting a year-on-year compression of approximately 260 basis points. Adjusted earnings per share are expected to be between 1.40 and 1.60 US dollars.

Image Credits: millerzell.com

United States Companies Footwear Quarter Results Results Shoe Carnival