Genesco Inc. (NYSE:GCO) saw its shares respond to third-quarter figures that surprised.
The Nashville-based company reported GAAP earnings from continuing operations per diluted share of $1.31 for the three months ended November 2, compared to $1.00 in the third quarter last year. Adjusted for the excluded items in both periods, the Company reported third-quarter earnings from continuing operations per diluted share of $1.33 compared to $0.97 per diluted share last year.
Net sales for the third quarter of Fiscal 2020 were flat at $537 million compared to the prior-year quarter. Excluding the effect of lower exchange rates, net sales would have increased $2 million compared to last year.
Comparable sales increased 3%, with stores up 1% and direct up 19%. Direct-to-consumer sales were 11.4% of total retail sales for the quarter, compared to 9.6% last year.
Said CEO Robert J. Dennis, "Our third-quarter results meaningfully exceeded our expectations. Consolidated comparable sales increased 3% driven by the ongoing strength of our Journeys business, coupled with a much improved performance from Schuh in the U.K.
“The third quarter represented our 10th consecutive quarter of positive comparable sales for our footwear businesses and included digital comp growth of almost 20% as well as our ninth consecutive quarter of positive store comps.”
For Fiscal 2020, the Company expects: comparable sales to be up 2% to 3%, and adjusted diluted earnings per share from continuing operations in the range of $4.10 to $4.40 with an expectation that earnings per share for the year will be near the mid-point of the range
Shares leaped $6.61, or 17.9%, to $43.53
