Genesco Inc.reported third quarter of Fiscal 2013 results.
Net sales for the third quarter of Fiscal 2013 increased 7.8%to$664.5 million from$616.5 million in the third quarter of Fiscal 2012.Comparable store sales in the third quarter of Fiscal 2013 increased by 4%for the Company,with an 8%increase in the Journeys Group,a 5%decrease in the Lids Sports Group,a 9%increase in the Schuh Group,and a 6%increase in Johnston&Murphy Group.
Robert J.Dennis,chairman,president and chief executive officer of Genesco,said,"Our third quarter results were highlighted by strong earnings growth as we were able to meaningfully leverage expenses on a mid single digit comparable store sales gain.
"The fourth quarter got off to a slow start with November comparable store sales down 4%compared with a 12%increase in November last year.We estimate that Hurricane Sandy reduced November comparable store sales by approximately 1%to 2%.For the long Thanksgiving weekend,U.S.comparable store sales increased by low single digits."
Dennis also discussed the Company's updated outlook."Based on our third quarter performance and our view of current trends in the marketplace,we are raising our Fiscal 2013 guidance.We now expect full year adjusted diluted earnings per share to be in the range of$5.00 to$5.08,an increase from our previous guidance range of$4.88 to$5.00.
This new outlook represents an increase of 22%to 24%over last year's adjusted earnings per share of$4.09.Consistent with previous guidance,these expectations do not include expected non-cash asset impairments and other charges,which are projected to total approximately$1.5 million to$2.5 million pretax,or$0.04 to$0.07 per share,after tax,in Fiscal 2013.
In addition,this guidance does not reflect compensation expense associated with the Schuh deferred purchase price as described above,totaling approximately$12.0 million,or$0.50 per diluted share,for the full year.This guidance assumes comparable store sales in the 4%range for the full fiscal year."
Dennis concluded,"Our teams have done a good job managing their businesses through the first nine months of Fiscal 2013.Collectively they have the Company on pace to deliver another year of solid sales and earnings per share growth.We look to continue the progress we have made profitably expanding our top-line,and have recently adopted updated 5-year targets for annual sales of$3.5 billion and operating margins of 9.5%by Fiscal 2017."<O:P>
Genesco Inc.,a Nashville-based specialty retailer,sells footwear,headwear,sports apparel and accessories in more than 2,440 retail stores throughout the