Slide 1: Second Quarter 2018 Earnings
CALERES Second Quarter 2018 Earnings September 4, 2018
Slide 2: Safe harbor statement
Safe harbor statement Under the private securities litigation reform act of 1995 This presentation contains certain forward-looking statements and expectations regarding the company’s future performance and the performance of its brands. Such statements are subject to various risks and uncertainties
Slide 3: Overview
Overview • 2Q’18 adjusted EPS of $0.59, up 23% • Continued to grow top brands in Brand – In-line with expectations and consistent Portfolio and take market share with guidance for FY’18 • Maintained strong balance sheet, cash • Reported record 2Q’18 sales on a flow and return on invested capital con
Slide 4: Famous Footwear
Famous Footwear • Record 2Q’18 sales of $430M − Up 6.1%, driven by lifestyle-athletic and sandals − Same-store-sales at Famous up 2.6% • Driven by improvements in traffic, conversion and pairs per transaction − Ecommerce represented 10% of sales, up 15% • Women’s comp sales up mid-single digits − Wo
Slide 5: Brand Portfolio
Brand Portfolio • Posted significant market share gains − Sam Edelman delivered largest 2Q in its history − Naturalizer reported 4th consecutive quarter of wholesale growth in North America • Same-store-sales up 4% • E-commerce sales up 24% − Dropship up +40% YoY • Speed-to-market program contribute
Slide 6: Operating highlights
Operating highlights Famous Footwear Brand Portfolio 2Q’18 sales of $429.5M, up 6.1% 2Q’8 sales of $277.1M, up 1.9% • Included ~$20M of shifted sales • Up 4.4%, excluding mass channel Gross margin down 170 bps Gross margin down slightly • Due – in part – to additional • Impacted by sales & channel m
Slide 7: Other metrics
Other metrics US$M, except per share 2Q’18 2Q’17 2Q Chg 1H’18 1H’17 1H Chg (unaudited) Gross profit $293.1 $287.5 2.0% $568.0 $558.4 1.7% Margin 41.5% 42.5% -98 bps 42.4% 42.7% -24 bps Adj. gross profit $293.6 $289.4 1.5% $568.6 $563.3 0.9% Adjusted margin 41.6% 42.7% -119 bps 42.5% 43.1% -58 bps SG
Slide 8: FY'18 guidance
FY’18 guidance FY’18 Metric Consolidated net sales of ~$2.8B Famous Footwear same-store-sales up low-single digits Brand Portfolio sales up low-single digits Gross margin up ~5 to 10 bps SG&A down ~5 to 10 bps, as a percent of revenue Interest expense of ~$16M Effective tax rate of 25% to 26% Adjust
Slide 9: For more information about CAL, contact ptharp@caleres.com
For more information about CAL, contact ptharp@caleres.com