Genesco Inc. · NYSE:GCO
Genesco — Q4 FY2019 Earnings Presentation
22 slides from Genesco's earnings presentation, Mar 14, 2019
Slide 1: FY19 Fourth Quarter
FY19 Fourth Quarter f LITTLE 5 Sears BURGUNDY saa ale as schuh JOHNSTON & MURPHY, GENESCO 5
Slide 2: Genesco Inc. FY19 Q4 Earnings Summary Results and Guidance
Genesco Inc. FY19 Q4 Earnings Summary Results and Guidance March 14, 2019
Slide 3: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements, including those regarding the performance outlook for the Company and its individual businesses (including, without limitation, sales, expenses, margins and earnings) and all other statements not addressing solely historica
Slide 4: Non-GAAP Financial Measures
Non-GAAP Financial Measures The Company reports consolidated financial results in accordance with generally accepted accounting principles (“GAAP”). However, to supplement these consolidated financial results the Company’s presentation includes certain non-GAAP financial measures such as earnings an
Slide 5: Key Earnings Highlights Q4 FY19
Key Earnings Highlights Q4 FY19 (1) Three Months Ended Three Months Ended February 2, 2019(2) February 3, 2018(2) GCO Net Sales Change (2)% 14% Comparable Sales Without Lids 4% 8% Comparable Sales With Lids 4% 1% Gross Margin % 46.7% 46.0% Selling and Admin. Expenses % 38.9% 38.1% Operating Income (
Slide 6: Key Earnings Highlights FY19
Key Earnings Highlights FY19 (1) Twelve Months Ended Twelve Months Ended February 2, 2019(2) February 3, 2018(2) GCO Net Sales Change 3% 5% Comparable Sales Without Lids 5% 3% Comparable Sales With Lids 3% 0% Gross Margin % 47.8% 47.5% Selling and Admin. Expenses % 44.0% 43.7% Operating Income (Loss
Slide 7: Comparable Sales Q4 FY19
Comparable Sales Q4 FY19 (1) Three Months Ended Feb. 2, Feb. 3, 2019 2018 Journeys Group 7% 11% Schuh Group (8)% 1% Johnston & Murphy Group 4% 4% Total Comparable Sales 4% 8% Same Store Sales 3% 6% Comparable Direct Sales 10% 21% Lids Sports Group 2% (14)% Total Operations with Lids: Total Comparabl
Slide 8: Sales by Segment Q4 FY19 and FY18
Sales by Segment Q4 FY19 and FY18 (1) Net Sales $675.5 million Net Sales $689.4 million FY19 2% FY18 2% 13% 13% Journeys Group Journeys Group Schuh Group Schuh Group 16% 19% Johnston & Murphy Johnston & Murphy Group Group 66% 69% Licensed Brands Licensed Brands (1) Ongoing operations shown here excl
Slide 9: Sales by Segment FY19 and FY18
Sales by Segment FY19 and FY18 (1) Net Sales $2.189 billion Net Sales $2.128 billion 3% 4% FY19 FY18 14% 14% Journeys Group Journeys Group Schuh Group Schuh Group 18% 19% Johnston & Murphy Johnston & Murphy Group Group 65% Licensed Brands 63% Licensed Brands (1) Ongoing operations shown here exclude
Slide 10: Adjusted Operating Income by Segment Q4 FY19
Adjusted Operating Income by Segment Q4 FY19(1) & (2) ($ in millions) Three Months Ended Feb. 2, 2019 Three Months Ended Feb. 3, 2018 Oper Inc Adj Oper Oper Inc Adj Oper (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) Journeys Group $ 56.1 $ - $ 56.1 $ 46.0 $ - $ 46.0 Schuh Group 4.1 - 4.1 9.2 - 9
Slide 11: Adjusted Operating Income by Segment FY19
Adjusted Operating Income by Segment FY19(1) & (2) ($ in millions) Twelve Months Ended Feb. 2, 2019 Twelve Months Ended Feb. 3, 2018 Oper Inc Adj Oper Oper Inc Adj Oper (Loss) Adjust Inc (Loss) (Loss) Adjust Inc (Loss) Journeys Group $ 100.8 $ - $ 100.8 $ 74.1 $ 0.3 $ 74.4 Schuh Group 3.8 - 3.8 20.1
Slide 12: Inventory/Sales Change by Segment Q4 FY19
Inventory/Sales Change by Segment Q4 FY19(1) ($ in millions) Feb. 2, 2019 Q4 FY19 Segment Inventory/Sales Inventory Sales(2) Journeys Group -3% 7% Schuh Group (3) -7% -6% Johnston & Murphy Group 5% 4% Licensed Brands -35% 0% Total $ 369 $ 675 % Change from prior year -5% 4% (1) Ongoing operations sh
Slide 13: Retail Stores Summary Q4 FY19
Retail Stores Summary Q4 FY19(1) Nov. 3, Feb. 2, 2018 Open Close 2019 Journeys Group 1,219 5 31 1,193 Journeys stores (U.S.) 889 3 25 867 Journeys stores (Canada) 46 - - 46 Journeys Kidz stores 243 2 6 239 Little Burgundy 41 - - 41 Schuh Group 134 2 - 136 Johnston & Murphy Group 184 1 2 183 Total St
Slide 14: Retail Square Footage Q4 FY19
Retail Square Footage Q4 FY19(1) Square feet in thousands Nov. 3, Net Feb. 2, Square Footage: 2018 Change 2019 % Change Journeys Group 2,399 (52) 2,347 -2.2% Schuh Group 652 12 664 1.8% Johnston & Murphy Group 350 (3) 347 -0.9% Total Square Footage 3,401 (43) 3,358 -1.3% (1) Ongoing operations shown
Slide 15: FY20 Outlook
FY20 Outlook(1) Note: See earnings call transcript for important details regarding guidance assumptions $3.35 - $3.75 per share, expectations Non-GAAP EPS near mid-point Total Sales (1%) to flat Comparable Sales +1 to +2% Gross Margin 10 to 20 basis point improvement SG&A Expense 10 to 30 basis poin
Slide 16: FY20 Comparable Sales Guidance
FY20 Comparable Sales Guidance Guidance Guidance Guidance Guidance Guidance Q1 Q2 Q3 Q4 FY20 Journeys Group 0 - 1% 1 - 2% 1 - 2% 1 - 2% 1 - 2% Schuh Group (3) - 1% (4) - 0% (4) - 0% (3) - 0% (4) - 0% Johnston & Murphy Group 2 - 3% 2 - 3% 2 - 3% 2 - 3% 2 - 3% Total Genesco 0 - 1% 0 - 2% 1 - 2% 1 - 2%
Slide 17: FY20 Projected Retail Store Count
FY20 Projected Retail Store Count Actual Proj Proj Proj 2019 Open Close 2020 Journeys Group 1,193 20 27 1,186 Journeys stores (U.S.) 867 8 24 851 Journeys stores (Canada) 46 - - 46 Journeys Kidz stores 239 12 3 248 Little Burgundy 41 - - 41 Schuh Group 136 3 8 131 Johnston & Murphy Group 183 8 5 186
Slide 18: FY20 Plan Capital Spending
FY20 Plan Capital Spending Plan FY20 CapEx $45 million 44% New Stores & Remodels 56% Omni-channel, IT, DC & Other 18
Slide 19: Appendix
GENESCO & Appendix LITTLE sis BURGUNDY schuh JOHNSTON & MURPHY.
Slide 20: Non-GAAP Reconciliation – Q4 FY19
Non-GAAP Reconciliation – Q4 FY19 Three Months Ended February 2, 2019 February 3, 2018 Net of Per Share Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Pretax Tax Amounts Earnings from continuing operations, as reported $ 29,699 $ 1.53 $ 48,424 $ 2.51 Pretax adjustments:
Slide 21: Non-GAAP Reconciliation – FY19
Non-GAAP Reconciliation – FY19 Twelve Months Ended February 2, 2019 February 3, 2018 Net of Per Share Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Pretax Tax Amounts Earnings from continuing operations, as reported $ 51,224 $ 2.63 $ 36,708 $ 1.90 Pretax adjustments: Im
Slide 22: Non-GAAP Reconciliation – FY19 With Lids
Non-GAAP Reconciliation – FY19 With Lids Twelve Months Ended February 2, 2019 Net of Per Share In Thousands (except per share amounts) Pretax Tax Amounts Earnings from continuing operations, as reported $ 51,224 $ 2.63 Pretax adjustments: Impairment charges $ 4,153 3,032 0.15 Bonus related to sale o