Caleres Inc ( (CAL) ) has released its Q2 earnings. Here is a breakdown of the information Caleres Inc presented to its investors.
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Caleres Inc., a leading company in the footwear industry, manages a diverse portfolio of consumer-driven brands. In its latest earnings report for the second quarter of 2025, Caleres Inc. reported consolidated sales of $658.5 million, marking a 3.6% decrease compared to the previous year. Despite a challenging market environment, the company achieved structural cost savings and completed the acquisition of Stuart Weitzman, enhancing its brand portfolio.
The company’s Brand Portfolio segment saw a sales decrease of 3.5%, while the Famous Footwear segment experienced a 4.9% decline in sales. Gross margin was reported at 43.4%, down from the previous year due to tariff-related costs and inventory markdowns. However, Caleres managed to improve its financial flexibility by amending its credit agreement, increasing its borrowing capacity, and extending the maturity date of its credit facility.
Caleres reported earnings per diluted share of $0.20, with adjusted earnings per diluted share at $0.35, reflecting a discrete tax benefit. The company also highlighted its strategic focus on premium, direct-to-consumer, and international business, with a significant improvement in sales trends at Famous Footwear in July and August.
Looking ahead, Caleres remains cautious due to market uncertainties and has suspended its annual guidance. The company anticipates ongoing gross margin pressure but expects improvements in the fourth quarter as it implements mitigation strategies. Caleres continues to focus on leveraging its capabilities across its portfolio to drive growth and shareholder value.