results, activities or opportunities, and potential impacts and effects of interest rates, inflation or other factors that may
affect our customers' discretionary spending or our costs are considered "forward-looking" within the meaning of The
Private Securities Litigation Reform Act of 1995.Such forward-looking statements are based on current expectations that
are subject to known and unknown risks, uncertainties and other factors that could cause actualresults to differ
materially from those contemplated by the forward-looking statements.Such factors include, but are not limited to, any
actual or perceived deterioration in, or continuation of negative trends in, the conditions that drive consumer confidence
and spending, including, but not limited to, prevailing social, economic, political and public healthconditions and
uncertainties, levels of unemployment, fuel, energy and food costs, inflation, wage rates, taxrates, interest rates, home
values, consumer net worth and the availability of credit; changes in laws, regulations or government policies affecting
our business including but not limited to tariffs; uncertainties regarding the impact of any governmental action regarding,
or responses to, the foregoing conditions; competitive factors and pricing pressures; our ability to predict and respond to
rapidly changing fashion trends and consumer demands; our ability to successfully implement our newstore development
strategy to increase new store openings and the ability of any such new stores to grow and perform as expected;
underperformance or other factors that may lead to, or affect the volumeof, store closures; adverse weather,public
health threats (including the global coronavirus (COVID-19) outbreak), acts of war or aggression or similar conditions
that may affect our merchandise supply chain, sales or operations; inventory risks due to shiftsin market demand,
including the ability to liquidate excess inventory at anticipated margins; adverse developments orvolatility affecting the
financial services industry or broader financial markets; and other factors discussed under "RiskFactors" in Part I, Item
1Aof the Company'smost recently filed annual report on Form 10-K and in other reports the Company files with or
furnishes to the SEC from time to time.The Company does not undertake to publicly update orrevise the forward-looking
statements even if experience or future changes make it clear that the projected results expressed or implied therein will
not be realized. The Company is not responsible for any changes made to this press release by wire or Internet services.
* * *
THE CATO CORPORATION
CONDENSED CONSOLIDATED STATEMENTSOF INCOME (UNAUDITED)
FOR THE PERIODS ENDED May 4, 2024 AND April 29, 2023
(Dollars in thousands, except per share data)
Quarter Ended
May 4
%
April 29
%
2024
Sales
2023
Sales
REVENUES
Retail sales
$
175,272
100.0%
$
190,311
100.0%
Other revenue (principally finance,
late fees and layaway charges)
1,827
1.0%
1,739
0.9%
Total revenues
177,099
101.0%
192,050
100.9%
GROSS MARGIN (Memo)
62,767
32.5%
68,224
35.8%
COSTS AND EXPENSES, NET
Cost of goods sold
112,505
64.2%
122,087
64.2%
Selling, general and administrative
56,752
32.4%
61,934
32.5%
Depreciation
2,040
1.2%
2,357
1.2%
Interest and other income
(5,821)
-3.3%
(897)
-0.5%
Costs and expenses, net
165,476
94.4%
185,481
97.5%
Income Before Income Taxes
11,623
6.6%
6,569
3.5%
Income Tax Expense
649
0.4%
2,141
1.1%
Net Income (Loss)
$
10,974
6.3%
$
4,428
2.3%
Basic Earnings Per Share
$
0.54
$
0.22
Diluted Earnings Per Share
$
0.54
$
0.22
THE CATO CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
May 4,
February 3,
2024
2024
(Unaudited)
(Unaudited)
ASSETS
Current Assets
Cash and cash equivalents
$
39,101
$
23,940
Short-term investments
66,250
79,012
Restricted cash
3,533
3,973
Accounts receivable - net
31,716
29,751
Merchandise inventories
101,317
98,603
Other current assets
7,724
7,783
Total Current Assets
249,641
243,062
Property and Equipment - net
64,568
64,022
Other Assets
23,305
25,047
Right-of-Use Assets, net
139,635
154,686
TOTAL
$
477,149
$
486,817
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
$
127,997
$
126,900
Current Lease Liability
55,800
61,108
Noncurrent Liabilities
14,607
14,475
Lease Liability
81,834
92,013
Stockholders' Equity
196,911
192,321
TOTAL
$
477,149
$
486,817