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Genesco (GCO) investor relations material
Genesco Q3 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved fifth consecutive quarter of positive comparable sales growth, with Q3 comps up 3% and Journeys leading with 6% comp growth and over 50% increase in operating income, despite headwinds from license exits, tariffs, and margin pressure at Schuh.
Q3 FY26 sales reached $616 million, up 3% year-over-year, with e-commerce representing 23% of retail sales and store comps up 5%.
Operating income and EPS improved significantly compared to the prior year, with non-GAAP EPS at $0.79 versus $0.61 last year.
Journeys' strategic initiatives, including the Life on Loud campaign and Nike brand launch, are driving market share gains and customer engagement.
Formation of Journeys Global Retail Group to drive synergies and growth across banners.
Financial highlights
Q3 revenue was $616 million, up 3% year-over-year, driven by 3% comp sales growth; store comps up 5%, e-commerce comps down 3%.
Gross margin declined 100 basis points to 46.8%, impacted by product liquidations, tariffs, and promotional activity at Schuh.
Adjusted operating income rose to $12.9 million from $10.3 million last year; adjusted EPS was $0.79 versus $0.61.
SG&A expense leveraged 140 basis points to 44.7% of sales, reflecting cost reductions, especially in rent and freight.
Free cash flow improved by nearly $5 million year-over-year; capital expenditures were $18 million, focused on store remodels and digital investments.
Outlook and guidance
Full-year adjusted EPS guidance lowered to approximately $0.95 (prior: $1.30–$1.70), reflecting higher tax rate and margin pressure at Schuh.
Full-year revenue growth expected at about 2% (prior: 3–4%), with comparable sales growth of about 3% (prior: 4–5%).
Gross margin projected to be down 100 basis points year-over-year, mainly due to Schuh and license exits.
SG&A expected to leverage about 100 basis points; capital expenditures planned at $55–$65 million.
No further share repurchases assumed in guidance.
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