Genesco Inc Reports Fiscal 2020 Second Quarter Results.

NASHVILLE, Tenn: Second Quarter Fiscal 2020 Financial Summary

Net sales were flat at $487 million

Comparable sales increased 3%

GAAP EPS from continuing operations was $0.05 vs. $0.00 last year

Non-GAAP EPS from continuing operations was $0.151vs. ($0.01) last year

Genesco Inc. (NYSE: GCO) today reported GAAP earnings from continuing operations per diluted share of $0.05 for the three months ended August 3, 2019, compared to $0.00 in the second quarter last year. Adjusted for the excluded items in both periods, the Company reported second quarter earnings from continuing operations per diluted share of $0.15, compared to a loss from continuing operations per diluted share of ($0.01) last year.

Robert J. Dennis, Genesco Chairman, President and Chief Executive Officer, said, "We delivered second quarter consolidated results that exceeded expectations across the board. Our outperformance was driven primarily by the ongoing strength of our Journeys business, which continued to experience strong comparable sales even as year-over-year comparisons became more difficult. The second quarter marked the ninth consecutive quarter of positive consolidated comparable sales for our footwear businesses and included positive store and digital comps. At the same time, gross margins improved at each of our divisions, helping offset incremental marketing investments to achieve operating profit and earnings per share well above last year's levels.

"The top-line momentum we experienced in the second quarter continued nicely in August with Journeys and Schuh leading the way during the important back-to-school selling season. Based on our strong second quarter results and positive start to the third quarter, combined with the repurchase of more shares than we initially expected, we are raising our full year guidance. We now expect earnings per share for Fiscal 2020 to be between $3.80 to $4.20, with an expectation that earnings for the year will be near the mid-point of the range, up from our previous range of $3.35 to $3.75. Our recent performance represents a great start to our first fiscal year as a footwear-focused company and we believe that the strategic course we have set for Genesco will result in improved profitability and increased shareholder value over the long-term."

1Excludes a charge for lease terminations and asset impairment charges, net of tax effect in the second quarter of Fiscal 2020 ("Excluded Items"). A reconciliation of earnings/loss and...