Slide 1: Third Quarter 2018 Earnings
CALERES Third Quarter 2018 Earnings November 20, 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: Corporate overview
Corporate overview • 7th consecutive year of positive back-to-school comp sales • Brand Portfolio sales up 8.5% – Continued to grow top brands and take consumer market share • Added Vionic: growing brand with strong consumer loyalty and great cultural fit • Leveraged balance sheet and invested for c
Slide 4: Famous Footwear
Famous Footwear 3Q’18 sales of $448.8M • Comp sales at Famous up 2.8% • Ecommerce-related sales up 25% Trends • Women’s comp sales up mid-single digits − Sandals and boots up low-double digits • Adult athletic comps up low-single digits − Lifestyle-athletic up high-single digits • Kids comps up low-
Slide 5: Brand Portfolio
Brand Portfolio Sales of $327.1M, up 8.5% • Posted significant market share gains − Sam Edelman sales up strong double-digits − Naturalizer performed well, as did LifeStride, Franco Sarto and Dr. Scholl’s • Outstanding quarter for boots – up nearly 30% • Ecommerce-related sales up nearly 20% 5
Slide 6: Adjusted diluted EPS
Adjusted diluted EPS 3Q’18 adj. EPS of $0.81, includes $0.02 of dilution related to Vionic interest and trademark amortization expense • Reported EPS of $0.67, including $0.14 related to 2018 acquisitions − Allen Edmonds: $0.02 for transition of consumer facing activities to St. Louis − Blowfish Mal
Slide 7: Key financial callouts
Key financial callouts • Famous Footwear 3Q’18 sales of $448.8M − Down 5.1%, as expected, with shift of one week of BTS sales into 2Q of 2018 vs. 3Q of 2017 − Operated 35 fewer doors YoY • Brand Portfolio 3Q’18 sales of $327.1M, up 8.5% − Up 6.5%, excluding Vionic • Gross profit for 3Q’18 down 2% Yo
Slide 8: Other metrics
Other metrics US$M 3Q’18 3Q’17 3Q Chg YTD’18 YTD’17 YTD Chg except per share Gross profit $310.6 $316.9 -2.0% $878.6 $875.3 0.4% Margin 40.0% 40.9% -87 bps 41.6% 42.0% -47 bps Adj. gross profit $312.5 $316.9 -1.4% $881.0 $880.2 0.1% Adjusted margin 40.3% 40.9% -63 bps 41.7% 42.3% -59 bps SG&A $265.5
Slide 9: FY'18 guidance
FY’18 guidance FY’18 Metric Consolidated net sales of ~$2.85B Famous Footwear same-store-sales up low-single digits Brand Portfolio sales up high-single digits, including Vionic acquisition Interest expense of ~$18M Effective tax rate of ~24% Adjusted EPS of $2.25 to $2.35 Closing 50 Famous Footwear
Slide 10: For more information about CAL, contact ptharp@caleres.com
For more information about CAL, contact ptharp@caleres.com