Genesco Inc. · NYSE:GCO
Genesco — Q1 2023 Earnings Presentation
23 slides from Genesco's earnings presentation, May 26, 2022
Slide 1: FY23 Q1 Genesco Summary Results
FY23 Q1 GENESCO Summary Results May 26, 2022
Slide 2: Safe Harbor Statement
Safe Harbor Statement This release contains forward-looking statements, including those regarding future sales, earnings, gross margins, expenses, capital expenditures, depreciation and amortization, tax rates, stores openings and closures and all other statements not addressing solely historical fa
Slide 3: Non-GAAP Financial Measures
NON-GAAP We report consolidated financial results in accordance with generally accepted accounting principles (“GAAP”). Financial Measures However, to supplement these consolidated financial results our presentation includes certain non-GAAP financial measures such as earnings and earnings per share
Slide 4: Our Footwear Focused Vision & Strategy
Our Footwear Focused Vision & Strategy Vision
Slide 5: Our Footwear Focused Strategic Initiatives/Pillars
Our Footwear Focused Strategic Initiatives/Pillars Vision & Strategy
Slide 6: Q1 FY23 compared to FY22
Q1 FY23 FY23 compared to FY22 • The year ago period poses difficult comparisons as expected due to government stimulus-fueled consumer spending, especially for our Journeys business, as well as a number of one time expense benefits related to pandemic relief. • Revenue decreased 3% and adjusted oper
Slide 7: Q1 FY23 compared to FY20
Q1 FY23 FY23 compared to FY20 • Compared with pre-pandemic Q1 FY20, revenue was up 5% despite having 90 fewer stores, and adjusted operating income was up 14%, from $8.4 million to $9.5 million. • Digital sales were up almost 75% versus FY20, now representing 19% of total retail sales versus 11% in
Slide 8: Key Earnings Highlights
Q1 FY23 Key Earnings Highlights $521 +74% MILLION IN SALES GROWTH IN +5% vs. Q1 FY2020 E-COMMERCE SALES vs. Q1 FY2020 GROSS MARGIN $0.37 GAAP EPS vs. $0.36 Q1 FY2020 +50 bps $0.44 Non-GAAP EPS vs. FY2022 vs. $0.33 Q1 FY2020
Slide 9: Key Earnings Highlights
Q1 FY23 Key Earnings Highlights Quarter 1 Quarter 1 Quarter 1 April 30, 2022 May 1, 2021 May 4, 2019 Total Sales Change -3% 93% 2% % Days Operating 100% 89% NA Comparable Direct Sales (1) -26% 43% 15% Gross Margin % 48.3% 47.8% 49.4% Selling and Admin. Expenses % (2) and (3) GAAP 46.8% 44.5% 47.7% N
Slide 10: E-Commerce Sales Highlights
Q1 FY23 E-Commerce Sales Highlights Quarter 1 $125 $118 $100 $84 $75 $ in Millions $75 $50 $48 $25 $- FY20 FY21 FY22 FY23 % of Retail Sales (1) 11% 31% 25% 19% (1) Retail sales represent combined store sales and e-commerce sales
Slide 11: Total Sales by Segment Change
Q1 FY23 Total Sales Quarter 1 Total Sales Change FY23 vs FY22 FY22 vs FY21 FY23 vs FY20 Journeys Group -16% 123% -3% Schuh Group 28% 46% 15% Johnston & Murphy Group 46% 26% -5% Licensed Brands 5% 84% 135% Total Sales Change -3% 93% 5%
Slide 12: Sales by Segment
Q1 FY23 17% 14% Journeys Group Schuh Sales by Segment Johnston & Murphy Group Licensed Brands 9% 60% 13% FY23 Net Sales 9% $520.7 Million 70% 8% 16% 15% FY22 Net Sales 65% 4% $538.7 Million FY20 Net Sales $495.7 Million
Slide 13: Adjusted Operating Income by Segment
Adjusted Operating Income Q1 FY23 by Segment (1) Quarter 1 April 30, 2022 May 1, 2021 May 4, 2019 Oper Inc Adj Oper Oper Inc Adj Oper Oper Inc Adj Oper ($ in millions) (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) Journeys Group $ 14.9 $ - $ 14.9 $ 33.1 $ - $ 33.1 $ 19.0
Slide 14: Inventory/Sales Change by Segment
Q1 FY23 Inventory/Sales Change by Segment Inventory Sales (1) Change from ($ in millions) May 1, 2021 May 4, 2019 Q1 FY22 Q1 FY20 Journeys Group 47% 24% -16% -3% Schuh Group (2) 4% -3% 35% 14% Johnston & Murphy Group 13% -27% 46% -5% Licensed Brands 114% 38% 5% 135% Total for Q1 FY23 $ 401 $ 521 % C
Slide 15: Retail Stores Summary
Q1 FY23 Retail Stores Summary January 29, April 30, 2022 Open Close 2022 Journeys Group 1,135 3 8 1,130 Journeys stores (U.S.) 822 3 7 818 Journeys stores (Canada) 47 - - 47 Journeys Kidz stores 229 - - 229 Little Burgundy 37 - 1 36 Schuh Group 123 1 2 122 Johnston & Murphy Group 167 - 5 162 Total S
Slide 16: Retail Square Footage
Q1 FY23 vs Q1 FY22 Retail Square Footage May 1, Net April 30, (in thousands) 2021 Change 2022 % Change Journeys Group 2,273 (18) 2,255 -0.8% Schuh Group 594 (16) 578 -2.8% Johnston & Murphy Group 340 (27) 313 -7.9% Total Square Footage 3,207 (61) 3,146 -1.9% Year over year change in retail inventory
Slide 17: FY23 Outlook: Non-GAAP EPS $7.00 - $7.75
Note: See earnings call transcript for important details regarding guidance assumptions. FY23 Non-GAAP EPS $7.00 - $7.75 per share, expectations near mid-point Outlook (1) Total Sales 1% to 3% increase Gross Margin 60 to 80 basis points lower SG&A Expenses 10 basis point leverage to 10 basis point d
Slide 18: Projected Retail Store Count FY23
FY23 Projected Retail Store Count Actual Proj Proj Proj 2022 Open Close 2023 Journeys Group 1,135 32 34 1,133 Journeys stores (U.S.) 822 27 30 819 Journeys stores (Canada) 47 1 - 48 Journeys Kidz stores 229 3 3 229 Little Burgundy 37 1 1 37 Schuh Group 123 5 7 121 Johnston & Murphy Group 167 3 8 162
Slide 19: Projected FY23 CapEx $50-$55 Million
FY23 Projected FY23 CapEx $50-$55 Million(1) Projected Capital Omni-channel, IT, DC & Other Spending New Stores & Remodels 56% 44% FY23 Projected Depreciation & Amortization = $45 Million (1) Excludes projected spend for the new corporate headquarters building. The projected capex for the new HQ in
Slide 20: Appendix
Appendix
Slide 21: Non-GAAP Reconciliation
Q1 FY23 Non-GAAP Reconciliation Quarter 1 April 30, 2022 May 1, 2021 May 4, 2019 Net of Per Share Net of Per Share Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Pretax Tax Amounts Pretax Tax Amounts Earnings from continuing operations, as reported $ 4,969 $ 0.37 $ 8,894
Slide 22: Adjusted Selling and Administrative Expenses
Adjusted Selling and Q1 FY23 Administrative Expenses Quarter 1 In Thousands April 30, 2022 May 1, 2021 May 4, 2019 Selling and administrative expenses, as reported $ 243,481 $ 239,465 $ 236,555 Expenses related to new HQ building (1,526) (597) - Total adjustments (1,526) (597) - Adjusted selling and
Slide 23: FY23 Q1 Genesco Summary Results
FY23 Q1 GENESCO Summary Results May 26, 2022