Caleres reported financial results for the second quarter of 2025, including a decrease in consolidated sales and gross margin.
The company achieved structural cost savings targets and enhanced financial flexibility through an amended credit agreement.
Caleres completed the acquisition of Stuart Weitzman and experienced improving sales trends in various segments of the business.
Sales Performance
Consolidated sales decreased by 3.6%, with notable performance in women's fashion footwear and direct-to-consumer channels.
Cost Savings
Structural cost savings initiatives are expected to generate annualized savings of $15 million.
Acquisition of Stuart Weitzman
The acquisition of Stuart Weitzman adds a new Lead Brand to the portfolio, aligning with the strategic focus on premium and international business.
Earnings Per Share
Reported earnings per diluted share of $0.20 and adjusted earnings per diluted share of $0.35, including a discrete tax benefit of $0.07.
Capital Allocation
Caleres extended its senior secured credit facility, increasing borrowing capacity to enhance liquidity and flexibility.
- Despite a decrease in sales and gross margin, Caleres demonstrated resilience and strategic focus through cost savings and acquisitions.
- The company's performance in women's fashion footwear and direct-to-consumer channels indicates ongoing market strength and potential for growth.
Caleres remains committed to executing strategic plans, investing in growth initiatives, and delivering sustained value to shareholders. The company's focus on efficiency, acquisitions, and capital allocation priorities positions it well for future success.