Overview

• U.S. footwear retailer's Q1 sales rose 8.5%, beating analyst expectations

• Adjusted EPS for Q1 increased to $0.38, exceeding company guidance

• Famous Footwear sales declined 2.5%, Brand Portfolio sales grew 20.6%

Outlook

• Caleres sees Q2 net sales up mid-to-high-single digits and GAAP EPS of $0.32-$0.38

• Company expects full-year net sales up low-to-mid-single digits and GAAP EPS of $1.44-$1.69

• Famous Footwear sales and comparable sales expected down mid-single digits in Q2 and low-to-mid-single digits for 2026

Result Drivers

• BRAND PORTFOLIO GROWTH - Brand Portfolio sales rose 20.6%, with organic growth of 5.8%, driven by broad-based gains across channels and geographies, and outperformance from lead brands and Stuart Weitzman

• GROSS MARGIN EXPANSION - Gross margin improved by 200 basis points, supported by favorable mix and tariff mitigation actions

• FAMOUS FOOTWEAR DECLINE - Famous Footwear sales fell 2.5% amid a softer consumer and macroeconomic backdrop, though e-commerce grew and FLAIR stores outperformed

Company press release: ID:nBw41k6xza

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Sales	Beat	$666.6 mln	$657.60 mln (3 Analysts)
Q1 EPS		$0.42
Q1 Net Income Attributable To Co		$14.28 mln
Q1 Basic EPS		$0.42
Q1 EBIT		$23.87 mln
Q1 Gross Profit		$315.47 mln
Q1 Pretax Profit		$20.35 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the apparel & accessories retailers peer group is "buy"

• Wall Street's median 12-month price target for Caleres Inc is $15.00, about 6.2% above its June 3 closing price of $14.12

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

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