May 23, 2012
Genesco raises profit outlook as results beat Street
May 23, 2012
Footwear retailer Genesco Inc's quarterly results handily beat expectations, helped by the acquisition of Schuh Group and a strong performance at its Journeys brand, prompting it to raise its full-year profit outlook.
The company now expects full-year adjusted earnings of $4.70 to $4.82 per share, up from its previous forecast of $4.58 to $4.70 per share.
Analysts on average were expecting a profit of $4.69 per share, according to Thomson Reuters I/B/E/S.
First-quarter net income from continuing operations rose to $20.8 million, or 86 cents per share, from $15 million, or 63 cents per share, last year.
On an adjusted basis, the company earned 98 cents per share. This came in well above analysts' expectations of 74 cents per share.
Sales increased 25 percent to $600.1 million, beating analysts' view of $577.1 million.
Schuh Group, which Genesco acquired in June last year, contributed about 12 percent to the total sales. Sales at its Journeys group brand rose 12 percent to $263.8 million.
Nashville-based Genesco's shares closed at $70.91 on Tuesday on the New York Stock Exchange.
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