Genesco (GCO) Q4 2026 earnings summary

Executive summary

• Achieved sixth consecutive quarter of positive comparable sales growth, with Q4 comparable sales up 9% and Journeys leading with 12% comp growth; full-year comp growth was 6% overall and 9% at Journeys.

• Q4 net sales rose 7% year-over-year to $800 million; full-year net sales increased 5% to $2.4 billion.

• E-commerce accounted for 31% of Q4 retail sales and 25% for the full year, reflecting strong digital growth.

• Exited the year with momentum, clean inventories, and a focus on evolving strategies for fiscal 2027.

• Operating income increased 11% in Q4 and 24% for the full year, reflecting improved profitability.

Financial highlights

• Q4 revenue grew 7% year-over-year to $800 million; comparable sales up 9%.

• Q4 GAAP EPS was $4.43, non-GAAP EPS $3.74 (up 15% YoY); full-year GAAP EPS was $1.25, non-GAAP EPS $1.45 (up 54% YoY).

• Q4 adjusted operating income was $56 million, up 17% YoY; full-year adjusted operating income was $26.6 million.

• Q4 gross margin was 45.9% (down 100 bps YoY); adjusted gross margin was 46.0% (down 90 bps).

• SG&A expense leveraged 140 basis points YoY to 39.1% of sales.

Outlook and guidance

• Fiscal 2027 comparable sales expected to increase 1%-2%; total sales projected flat to down 1% due to store closures and license exits.

• Gross margin to improve 50-60 bps, mainly from Schuh margin recovery and lapping liquidation at Genesco Brands.

• Adjusted operating income guidance: $32M-$38M; adjusted EPS: $1.90-$2.30.

• Capital expenditures planned at $65M-$70M, focused on Journeys remodels and new stores; 90% allocated to stores.

• No share repurchases assumed in guidance; average share count ~10.9 million; tax rate guidance at 30%.