Genesco Inc. · NYSE:GCO

Genesco — Q2 FY2019 Earnings Presentation

21 slides from Genesco's earnings presentation, Sep 7, 2018

  1. Slide 1: Genesco FY19 Second Quarter

    GENESCO Bevee Eschuh) Lids Sports Group ; JOHNSTON & MURPHY. FY19 Second Quarter

  2. Slide 2: Genesco Inc. FY19 Q2 Earnings Summary Results and Guidance

    Genesco Inc. FY19 Q2 Earnings Summary Results and Guidance September 7, 2018

  3. Slide 3: Safe Harbor Statement

    Safe Harbor Statement Thispresentationcontainsforward-lookingstatements,includingthoseregardingtheperformanceoutlookfortheCompanyanditsindividualbusinesses (including,withoutlimitation,sales,expenses,marginsandearnings)andallotherstatementsnotaddressingsolelyhistoricalfactsorpresentconditions. Actua

  4. Slide 4: Non-GAAP Financial Measures

    Non-GAAP Financial Measures TheCompanyreportsconsolidatedfinancialresultsinaccordancewithgenerally acceptedaccountingprinciples(“GAAP”).However,tosupplementtheseconsolidated financialresultstheCompany’spresentationincludescertainnon-GAAPfinancial measuressuchasearningsandearningspershare.Thissupplem

  5. Slide 5: Key Earnings Highlights Q2 FY19

    Key Earnings Highlights Q2 FY19 Three Months Ended Three Months Ended August 4, 2018 July 29, 2017 GCO Net Sales Change 6% (1)% Comparable Sales 3% 0% Gross Margin % 49.2% 49.7% Selling and Admin. Expenses % 48.8% 50.0% Operating Income (Loss) % (1) GAAP 0.2% (0.3)% Non-GAAP 0.4% (0.3)% Earnings (Lo

  6. Slide 6: Key Earnings Highlights FY19 YTD

    Key Earnings Highlights FY19 YTD Six Months Ended Six Months Ended August 4, 2018 July 29, 2017 GCO Net Sales Change 3% (1)% Comparable Sales 1% 0% Gross Margin % 49.5% 49.6% Selling and Admin. Expenses % 49.4% 49.6% Operating Income (Loss) % (1) GAAP 0.0% 0.1% Non-GAAP 0.2% 0.1% Earnings (Loss) per

  7. Slide 7: Comparable Sales Q2 FY19

    Comparable Sales Q2 FY19 Three Months Ended Aug. 4, July 29, 2018 2017 Journeys Group 10% 1% Schuh Group (7)% 3% Lids Sports Group (5)% (2)% Johnston & Murphy Group 8% (1)% Total Comparable Sales 3% 0% Same Store Sales 2% (2)% Comparable Direct Sales 7% 30% 7

  8. Slide 8: Sales by Segment Q2 FY19 and FY18

    Sales by Segment Q2 FY19 and FY18 Net Sales $654.0 million Net Sales $617.0 million FY19 2% FY18 2% 10% Journeys Group 11% Journeys Group Schuh Group Schuh Group 42% 47% Lids Sports Group Lids Sports Group 26% 29% Johnston & Murphy Johnston & Murphy Group Group Licensed Brands Licensed Brands 15% 16

  9. Slide 9: Sales by Segment YTD FY19 and FY18

    Sales by Segment YTD FY19 and FY18 Net Sales $1.299 billion Net Sales $1.260 billion FY19 3% FY18 4% 11% Journeys Group 11% Journeys Group Schuh Group Schuh Group 43% 47% Lids Sports Group Lids Sports Group 25% 28% Johnston & Murphy Johnston & Murphy Group Group Licensed Brands Licensed Brands 14% 1

  10. Slide 10: Adjusted Operating Income by Segment Q2 FY19

    Adjusted Operating Income by Segment Q2 FY19 (1) $ in millions Three Months Ended Aug. 4, 2018 Three Months Ended July 29, 2017 Oper Inc Adj Oper Oper Inc Adj Oper (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) Journeys Group $ 7.7 $ - $ 7.7 $ (2.2) $ 0.3 $ (1.9) Schuh Group 1.1 - 1.1 4.5 - 4.5 L

  11. Slide 11: Adjusted Operating Income by Segment YTD FY19

    Adjusted Operating Income by Segment YTD FY19 (1) $ in millions Six Months Ended Aug. 4, 2018 Six Months Ended July 29, 2017 Oper Inc Adj Oper Oper Inc Adj Oper (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) Journeys Group $ 21.3 $ - $ 21.3 $ 5.3 $ 0.3 $ 5.6 Schuh Group (4.6) - (4.6) 3.9 - 3.9 Li

  12. Slide 12: Inventory/Sales Change by Segment Q2 FY19

    Inventory/Sales Change by Segment Q2 FY19 $ in millions Aug. 4, 2018 Q2 FY19 Segment Inventory/Sales Inventory Sales Journeys Group -11% 18% Schuh Group (1) 5% -2% Lids Sports Group -14% -7% Johnston & Murphy Group 6% 6% Licensed Brands -36% 4% Total $ 607 $ 654 % Change from prior year -9% 6% (1) O

  13. Slide 13: Retail Stores Summary Q2 FY19

    Retail Stores Summary Q2 FY19 May 5, Aug. 4, 2018 Open Close 2018 Journeys Group 1,221 3 9 1,215 Journeys stores (U.S.) 891 3 5 889 Journeys stores (Canada) 46 - - 46 Journeys Kidz stores 245 - 4 241 Little Burgundy 39 - - 39 Schuh Group 136 - 1 135 Lids Sports Group 1,141 5 21 1,125 Lids hat stores

  14. Slide 14: Retail Square Footage Q2 FY19

    Retail Square Footage Q2 FY19 Square feet in thousands July 29, Net Aug. 4, Square Footage: 2017 Change 2018% Change Journeys Group 2,445 (56) 2,389 -2.3% Schuh Group 645 14 659 2.2% Lids Sports Group 1,405 (81) 1,324 -5.8% Johnston & Murphy Group 339 7 346 2.1% Total Square Footage 4,834 (116) 4,71

  15. Slide 15: FY19 Outlook

    FY19 Outlook(1) Note: See earnings call transcript for important details regarding changes in guidance assumptions Non-GAAP EPS $3.05 -$3.45 per share (1)% to +1% TotalSales (52 weeks TY vs. 53 LY) Comparable Sales +1 to +3% FY19 Note Shiftof large volume back-to-school week out of Q3 into Q2 Gross

  16. Slide 16: FY19 Comparable Sales Guidance

    FY19 Comparable Sales Guidance Actual Actual GuidanceGuidanceGuidance Q1 Q2 Q3 Q4 FY19 Journeys Group 6% 10% 6 - 10% 1 - 4% 5 - 7% Lids Sports Group (7)% (5)% (3) - 1% (1) - 4% (4) - (1)% Schuh Group (13)% (7)% (7) - (5)% (6) - (4)% (8) - (7)% Johnston & Murphy Group 7% 8% 4 - 5% 2 - 4% 5 - 6% Total

  17. Slide 17: FY19 Projected Retail Store Count

    FY19 Projected Retail Store Count Actual Proj Proj Proj 2018 Open Close 2019 Journeys Group 1,220 21 28 1,213 Journeys stores (U.S.) 893 10 21 882 Journeys stores (Canada) 46 - - 46 Journeys Kidz stores 242 8 6 244 Little Burgundy 39 3 1 41 Schuh Group 134 7 5 136 Lids Sports Group 1,159 19 73 1,105

  18. Slide 18: FY19 Projected Capital Spending

    FY19 Projected Capital Spending Projected FY19 CapEx$60 to $65 million 40% New Stores & Remodels 60% Omni-channel, IT, DC & Other 18

  19. Slide 19: Appendix

    GENESCO S Appendix BS EMD Lids sports croup © POSSE" sonwsronawunra

  20. Slide 20: Non-GAAP Reconciliation – Q2 FY19

    Non-GAAP Reconciliation –Q2 FY19 Three Months Ended August 4, 2018 July 29, 2017 Net of Per Share Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Pretax Tax Amounts Earnings (loss) from continuing operations, as reported $ 167 $ 0.01 $ (3,875) $ (0.20) Pretax adjustments:

  21. Slide 21: Non-GAAP Reconciliation – YTD FY19

    Non-GAAP Reconciliation –YTD FY19 Six Months Ended August 4, 2018 July 29, 2017 Net of Per Share Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Pretax Tax Amounts Earnings (loss) from continuing operations, as reported $ (2,141) $ ( 0.11) $ (2,878) $ (0.15) Pretax adjust

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