Genesco Inc. Reports Impressive Growth in Fiscal 2026

By Chris Stiles • Saturday, March 07 07:02 • Permanent Link

Genesco Inc. has reported its fiscal 2026 fourth quarter and full year results, showing impressive growth in various financial metrics. In the fourth quarter of fiscal 2026, net sales increased by 7% compared to the same period in fiscal 2025, reaching $800 million. This growth was driven by a 9% increase in comparable sales, with e-commerce sales representing 31% of retail sales, up from 30% in the previous year.

The company's e-commerce comparable sales also saw substantial growth, increasing by 8% in the fourth quarter. Journeys, a part of Genesco Inc., led the way with a 12% increase in comparable sales, showcasing the brand's strong performance.

For the full fiscal year 2026, net sales increased by 5% to $2.4 billion compared to fiscal 2025. Comparable sales increased by 6%, with e-commerce sales representing 25% of retail sales for both years.

Despite the growth in net sales and comparable sales, the gross margin for the fourth quarter and full fiscal year decreased compared to the previous periods. In the fourth quarter, the gross margin was 45.9%, down from 46.9% in the prior year, and for the full fiscal year, it was 46.3%, down from 47.2% in fiscal 2025. Additionally, selling and administrative expenses decreased as a percentage of sales, reflecting the company's cost-saving initiatives.

Genesco Inc. reported an increase in operating income for the fourth quarter, with a growth of 11% compared to the same period in fiscal 2025. Adjusted operating margin was 7.0% of sales in the fourth quarter of fiscal 2026, up from 6.4% in the fourth quarter of fiscal 2025.

The company's earnings per share (EPS) also showed significant improvement. GAAP EPS for the fourth quarter was $4.43, up from $3.06 in the previous year, and for the full fiscal year, GAAP EPS was $1.25, compared to a loss of ($1.80) in fiscal 2025.

Looking ahead to fiscal 2027, Genesco Inc. expects another year of positive comparable sales growth, with a focus on profitability and creating shareholder value. The company anticipates positive comparable sales of 1% to 2% and adjusted diluted earnings per share from continuing operations in the range of $1.90 to $2.30.

The market has reacted to these announcements by moving the company's shares 2.75% to a price of $37.77. For the full picture, make sure to review GENESCO INC's 8-K report.

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