GENESCO INC. 
By NASHVILLE, Tenn., March 13, 2014 /PRNewswire/ -- Genesco Inc. (NYSE: GCO) today reported earnings from continuing operations for the 13-week period ended February 1, 2014, of $42.2 million, or $1.79 per diluted share, compared to earnings from continuing operations of $38.9 million, or $1.64 per diluted share, for the 14-week period ended February 2, 2013. Fiscal 2014 fourth quarter results reflect pretax items of $7.2 million, or $0.37 per share after tax, including $3.0 million of expenses related to deferred purchase price payments in connection with the acquisition of Schuh Group Limited, which are required to be expensed as compensation because the payment is contingent upon the payees' continued employment; and $5.7 million for network intrusion expenses, other legal matters, a lease termination, and asset impairment charges, partially offset by a $1.5 million gain related to the change in accounting for deferred bonuses under the Company's EVA Incentive Plan announced by the Company in September 2013. Fiscal 2013 fourth quarter results reflect pre-tax items of $19.2 million, or $0.52 per diluted share after tax, primarily including network intrusion expenses, deferred purchase price expenses and asset impairments, offset by a gain of $0.2 million from the change in accounting for deferred bonuses.
Adjusted for the items described above in both periods, earnings from continuing operations were $51.0 million, or $2.16 per diluted share, for the fourth quarter of Fiscal 2014, compared to earnings from continuing operations of $51.4 million, or $2.16 per diluted share, for the fourth quarter of Fiscal 2013. For consistency with Fiscal 2014's previously announced earnings expectations and with previously reported adjusted results for the prior year period, the Company believes that the disclosure of the results from continuing operations adjusted for these items will be useful to investors. A reconciliation of earnings and earnings per share from continuing operations in accordance with U.S. Generally Accepted Accounting Principles with the adjusted earnings and earnings per share numbers presented in this paragraph is set forth on Schedule B to this press release.
Net sales for the 13-week fourth quarter of Fiscal 2014 decreased 0.5% to $793 million from $797 million in the 14-week fourth quarter of Fiscal 2013. Comparable sales in the fourth quarter 2014 increased 1% for the Company with a 4% increase in the Lids Sports Group, a flat comp in the Journeys Group, a 7% decrease in the Schuh Group, and an 11% increase in the Johnston & Murphy Group.
The Company also reported net sales for the 52-week period ended February 1, 2014, of $2.62 billion, an increase of 0.8% from net sales of $2.60 billion in the 53-week period ended February 2, 2013. Earnings from continuing operations for Fiscal 2014 were $93.0 million, or $3.94 per diluted share, compared to earnings from continuing operations of $112.9 million, or $4.69 per diluted share, for Fiscal 2013. Fiscal 2014 earnings reflect after-tax charges of $1.15 per diluted share, including the effects of the change in accounting for deferred bonuses under the EVA incentive plan, network intrusion-related expenses, compensation expense associated with the Schuh deferred purchase price, asset impairments, other legal matters, and a lease termination, partially offset by a gain on another lease termination. Fiscal 2013 earnings reflect after-tax charges of $0.37 per diluted share, including network intrusion-related expenses, compensation expense associated with the Schuh deferred purchase price, asset impairments, other legal matters, and an adjusted effective tax rate, offset by a $1.9 million gain related to the change in accounting for deferred bonuses.
Adjusted for the listed items in both years, earnings from continuing operations were $120.3 million, or $5.09 per diluted share, for Fiscal 2014, compared to earnings from continuing operations of $121.8 million, or $5.06 per diluted share, for Fiscal 2013. For consistency with previously announced earnings expectations, which did not reflect the listed items, the Company believes that disclosure of earnings from continuing operations adjusted for those items will be useful to investors. A reconciliation of the adjusted financial measures to their corresponding measures as reported pursuant to U.S. Generally Accepted Accounting Principles is included in Schedule B to this press release.
Robert J. Dennis, chairman, president and chief executive officer of Genesco, said, "Our Fiscal 2014 performance reflects a challenging selling environment throughout the year, including the fourth quarter. While our overall results were lower than we planned, we are confident the fundamentals of our business remain intact.
"The inconsistent sales patterns that characterized last year carried over into the start of Fiscal 2015 with comparable sales down 2% through Saturday, March 8, 2014. Following a difficult first week that was marked by severe winter storms in several of our key markets, comparable sales turned positive and margins have held up. However, we remain cautious in our outlook for the first half of the fiscal year given the lack of a strong new fashion driver in the teen footwear space and continued uncertainty around customer traffic.
"Based on current visibility, we expect adjusted Fiscal 2015 diluted earnings per share to be in the range of $5.40 to $5.55, which represents a 6% to 9% increase over Fiscal 2014's adjusted earnings per share of $5.09. Consistent with previous guidance, these expectations do not include expected non-cash asset impairments and other charges, which are estimated in the range of $3.1 million to $4.5 million pretax, or $0.08 to $0.12 per share, after tax, in Fiscal 2015. They also do not reflect compensation expense associated with the Schuh deferred purchase price as described above, which is currently estimated at approximately $7.1 million, or $0.30 per diluted share, for the full year. This guidance assumes comparable sales increases in the low single digit range for the full fiscal year." A reconciliation of the adjusted financial measures cited in the guidance to their corresponding measures as reported pursuant to U.S. Generally Accepted Accounting Principles is included in Schedule B to this press release.
Dennis concluded, "We believe we have a sound plan in place that balances protecting near-term profitability with investments that bolster our omnichannel capabilities and expand the footprint of our underpenetrated retail concepts."
Conference Call and Management Commentary
The Company has posted detailed financial commentary in writing on its website, www.genesco.com, in the investor relations section. The Company's live conference call on March 13, 2014 at 7:30 a.m. (Central time), may be accessed through the Company's internet website, www.genesco.com. To listen live, please go to the website at least 15 minutes early to register, download and install any necessary software.
Cautionary Note Concerning Forward-Looking Statements
This release contains forward-looking statements, including those regarding the performance outlook for the Company and its individual businesses and all other statements not addressing solely historical facts or present conditions. Actual results could vary materially from the expectations reflected in these statements. A number of factors could cause differences. These include adjustments to estimates reflected in forward-looking statements, including the amount of required accruals related to the earn-out bonus potentially payable to Schuh management based on the achievement of certain performance objectives; the timing and amount of non-cash asset impairments related to retail store fixed assets or to intangible assets of acquired businesses; weakness in the consumer economy; competition in the Company's markets; inability of customers to obtain credit; fashion trends that affect the sales or product margins of the Company's retail product offerings; changes in buying patterns by significant wholesale customers; bankruptcies or deterioration in financial condition of significant wholesale customers; disruptions in product supply or distribution; unfavorable trends in fuel costs, foreign exchange rates, foreign labor and material costs, and other factors affecting the cost of products; the Company's ability to continue to complete and integrate acquisitions, expand its business and diversify its product base; and changes in the timing of holidays or in the onset of seasonal weather affecting period-to-period sales comparisons. Additional factors that could affect the Company's prospects and cause differences from expectations include the ability to build, open, staff and support additional retail stores and to renew leases in existing stores and control occupancy costs, and to conduct required remodeling or refurbishment on schedule and at expected expense levels; deterioration in the performance of individual businesses or of the Company's market value relative to its book value, resulting in impairments of fixed assets or intangible assets or other adverse financial consequences; unexpected changes to the market for the Company's shares; variations from expected pension-related charges caused by conditions in the financial markets; and the cost and outcome of litigation, investigations and environmental matters involving the Company. Additional factors are cited in the "Risk Factors," "Legal Proceedings" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of, and elsewhere in, our SEC filings, copies of which may be obtained from the SEC website, www.sec.gov, or by contacting the investor relations department of Genesco via our website, www.genesco.com. Many of the factors that will determine the outcome of the subject matter of this release are beyond Genesco's ability to control or predict. Genesco undertakes no obligation to release publicly the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Forward-looking statements reflect the expectations of the Company at the time they are made. The Company disclaims any obligation to update such statements.
About Genesco Inc.
Genesco Inc., a Nashville-based specialty retailer, sells footwear, headwear, sports apparel and accessories in more than 2,550 retail stores and leased departments throughout the U.S., Canada, the United Kingdom and the Republic of Ireland, principally under the names Journeys, Journeys Kidz, Shi by Journeys, Underground by Journeys, Schuh, Lids, Locker Room by Lids, Lids Clubhouse, Johnston & Murphy, and on internet websites www.journeys.com, www.journeyskidz.com, www.shibyjourneys.com, www.undergroundbyjourneys.com, www.schuh.co.uk, www.johnstonmurphy.com, www.lids.com, www.lids.ca, www.lidslockerroom.com, www.lidsteamsports.com, www.lidsclubhouse.com , www.trask.com, www.suregripfootwear.com and www.dockersshoes.com. The Company's Lids Sports Group division operates the Lids headwear stores and the lids.com website, the Locker Room by Lids and other team sports fan shops and single team clubhouse stores, and the Lids Team Sports team dealer business. In addition, Genesco sells wholesale footwear under its Johnston & Murphy brand, the recently relaunched Trask brand, the licensed Dockers brand, SureGrip, and other brands. For more information on Genesco and its operating divisions, please visit www.genesco.com.
GENESCO INC.
Consolidated Earnings Summary
=============================
Fourth Quarter* Fiscal Year Ended*
-------------- -----------------
Feb. 1, Feb. 2, Feb. 1, Feb. 2,
In Thousands 2014 2013 2014 2013
------------ ---- ---- ---- ----
Net sales $792,506 $796,693 $2,624,972 $2,604,817
Cost of sales 406,862 412,453 1,325,922 1,306,200
Selling and administrative
expenses** 304,768 305,292 1,134,274 1,111,717
Asset impairments and other, net 5,672 16,141 1,341 17,037
-------------------------------- ----- ------ ----- ------
Earnings from operations 75,204 62,807 163,435 169,863
Interest expense, net 1,206 1,406 4,575 5,031
--------------------- ----- ----- ----- -----
Earnings from continuing operations
before income taxes
73,998 61,401 158,860 164,832
Income tax expense 31,786 22,488 65,878 51,935
------------------ ------ ------ ------ ------
Earnings from continuing operations 42,212 38,913 92,982 112,897
Provision for discontinued
operations (59) (150) (329) (462)
--------------------------- --- ---- ---- ----
Net Earnings $42,153 $38,763 $92,653 $112,435
============ ======= ======= ======= ========
* Fourth quarter for the 13-week period ended February 1, 2014 and 14-week period ended February 2,
2013. Fiscal 2014 for the 52-week period ended February 1, 2014 and Fiscal 2013 for the 53-week
period ended February 2, 2013.
** Includes $3.0 million and $11.7 million in deferred payments related to the Schuh acquisition in
the fourth
quarter and fiscal year ended February 1, 2014, respectively, and $3.2 million and $12.1 million
for the
fourth quarter and fiscal year ended February 2, 2013, respectively.
Earnings Per Share Information
==============================
Fourth Quarter Fiscal Year Ended
-------------- -----------------
Feb. 1, Feb. 2, Feb. 1, Feb. 2,
In Thousands (except per share
amounts) 2014 2013 2014 2013
------------------------------- ---- ---- ---- ----
Preferred dividend requirements $ - $33 $33 $147
Average common shares - Basic EPS 23,291 23,377 23,297 23,584
Basic earnings per share:
Before discontinued operations $1.81 $1.66 $3.99 $4.78
Net earnings $1.81 $1.66 $3.98 $4.76
Average common and common
equivalent shares - Diluted EPS 23,600 23,787 23,615 24,037
Diluted earnings per share:
Before discontinued operations $1.79 $1.64 $3.94 $4.69
Net earnings $1.79 $1.63 $3.92 $4.68
GENESCO INC.
Consolidated Earnings Summary
=============================
Fourth Quarter Fiscal Year Ended
-------------- -----------------
Feb. 1, Feb. 2, Feb. 1, Feb. 2,
In Thousands 2014 2013 2014 2013
------------ ---- ---- ---- ----
Sales:
Journeys Group $321,534 $337,493 $1,082,241 $1,111,490
Schuh Group 121,744 126,762 364,732 370,480
Lids Sports Group 251,481 240,503 820,996 791,255
Johnston & Murphy Group 72,569 69,089 245,941 221,860
Licensed Brands 24,926 22,526 109,780 108,498
Corporate and Other 252 320 1,282 1,234
------------------- --- --- ----- -----
Net Sales $792,506 $796,693 $2,624,972 $2,604,817
========= ======== ======== ========== ==========
Operating Income (Loss):
Journeys Group $41,179 $42,302 $97,377 $109,953
Schuh Group (1) 7,194 9,496 3,063 11,209
Lids Sports Group 28,231 26,082 63,748 82,867
Johnston & Murphy Group 7,206 6,746 17,638 15,696
Licensed Brands 2,110 1,548 10,614 10,078
Corporate and Other (2) (10,716) (23,367) (29,005) (59,940)
---------------------- ------- ------- ------- -------
Earnings from operations 75,204 62,807 163,435 169,863
Interest, net 1,206 1,406 4,575 5,031
------------- ----- ----- ----- -----
Earnings from continuing
operations before
income taxes
73,998 61,401 158,860 164,832
Income tax expense 31,786 22,488 65,878 51,935
------------------ ------ ------ ------ ------
Earnings from continuing
operations 42,212 38,913 92,982 112,897
Provision for
discontinued operations (59) (150) (329) (462)
------------------------ --- ---- ---- ----
Net Earnings $42,153 $38,763 $92,653 $112,435
============ ======= ======= ======= ========
(1) Includes $3.0 million and $11.7 million in deferred payments related to the Schuh
acquisition in the fourth quarter and fiscal year ended February 1, 2014, respectively,
and $3.2 million and $12.1 million for the fourth quarter and fiscal year ended
February 2, 2013, respectively.
(2) Includes a $5.7 million charge in the fourth quarter of Fiscal 2014 which includes
$1.9 million for network intrusion expenses, $1.6 million for a lease termination, $1.6
million for other legal matters and $0.6 million for asset impairments. Includes a $1.3
million charge in Fiscal 2014 which includes $3.3 million for network intrusion
expenses, $2.3 million for asset impairments, $2.4 million for other legal matters and
$1.6 million for a lease termination, partially offset by an $8.3 million gain on a
lease termination. Includes a $16.1 million charge in the fourth quarter of Fiscal 2013
which includes $15.4 million for network intrusion expenses and $0.7 million for asset
impairments. Includes a $17.0 million charge in Fiscal 2013 which includes $15.5
million for network intrusion expenses, $1.4 million for asset impairments and $0.1
million for other legal matters.
GENESCO INC.
Consolidated Balance Sheet
==========================
Feb. 1, Feb. 2,
In Thousands 2014 2013
------------ ---- ----
Assets
Cash and cash equivalents $59,447 $59,795
Accounts receivable 52,646 48,214
Inventories 567,261 505,344
Other current assets 77,521 68,918
-------------------- ------ ------
Total current assets 756,875 682,271
-------------------- ------- -------
Property and equipment 280,037 241,669
Other non-current assets 402,372 402,132
------------------------ ------- -------
Total Assets $1,439,284 $1,326,072
============ ========== ==========
Liabilities and Equity
Accounts payable $145,483 $118,350
Current portion long-term debt 6,793 5,675
Other current liabilities 153,302 151,174
------------------------- ------- -------
Total current liabilities 305,578 275,199
------------------------- ------- -------
Long-term debt 26,937 45,007
Other long-term liabilities 188,646 182,079
Equity 918,123 823,787
------ ------- -------
Total Liabilities and Equity $1,439,284 $1,326,072
============================ ========== ==========
GENESCO INC.
Retail Units Operated - Twelve Months Ended February 1, 2014
============================================================
Balance Acquisi- Balance Acquisi- Balance
01/28/12 tions Open Close 02/02/13 tions Open Close 02/01/14
-------- ----- ---- ----- -------- ----- ---- ----- --------
Journeys Group 1,154 0 32 29 1,157 0 39 28 1,168
Journeys 812 0 22 14 820 0 20 13 827
Underground by
Journeys 137 0 0 7 130 0 0 13 117
Journeys Kidz 152 0 9 5 156 0 19 1 174
Shi by Journeys 53 0 1 3 51 0 0 1 50
Schuh Group 78 0 16 2 92 0 29 22 99
Schuh UK* 56 0 15 1 70 0 29 9 90
Schuh ROI 8 0 1 0 9 0 0 0 9
Schuh Concessions* 14 0 0 1 13 0 0 13 0
Lids Sports Group 1,002 33 47 29 1,053 15 102 37 1,133
Johnston & Murphy Group 153 0 9 5 157 0 13 2 168
Shops 103 0 4 5 102 0 6 2 106
Factory Outlets 50 0 5 0 55 0 7 0 62
---------------
Total Retail Units 2,387 33 104 65 2,459 15 183 89 2,568
================== ===== === === === ===== === === === =====
Permanent Units* 2,446 15 173 69 2,565
=============== ===== === === === =====
Retail Units Operated - Three Months Ended February 1, 2014
===========================================================
Balance Acquisi- Balance
11/02/13 tions Open Close 02/01/14
-------- ----- ---- ----- --------
Journeys Group 1,161 0 16 9 1,168
Journeys 823 0 8 4 827
Underground by
Journeys 121 0 0 4 117
Journeys Kidz 166 0 8 0 174
Shi by Journeys 51 0 0 1 50
Schuh Group 97 0 4 2 99
Schuh UK 87 0 4 1 90
Schuh ROI 9 0 0 0 9
Schuh Concessions 1 0 0 1 0
Lids Sports Group 1,114 8 25 14 1,133
Johnston & Murphy Group 165 0 3 0 168
Shops 105 0 1 0 106
Factory Outlets 60 0 2 0 62
---------------
Total Retail Units 2,537 8 48 25 2,568
================== ===== === === === =====
Permanent Units* 2,532 8 48 23 2,565
=============== ===== === === === =====
* Excludes Schuh Concessions, which are expected to close this year and temporary "pop-up"
locations.
Comparable Sales (including same store and comparable direct sales)
===================================================================
Fourth Quarter Ended Fiscal Year Ended
-------------------- -----------------
Feb. 1, Feb. 2, Feb. 1, Feb. 2,
2014 2013 2014 2013
---- ---- ---- ----
Journeys Group 0% -1% -1% 6%
Schuh Group -7% 7% -8% 8%
Lids Sports Group 4% -10% 0% -3%
Johnston & Murphy Group 11% 2% 8% 4%
Total Comparable Sales 1% -2% -1% 3%
====================== === === === ===
Schedule B
Genesco Inc.
Adjustments to Reported Earnings from Continuing Operations
Fourth Quarter Ended February 1, 2014 and February 2, 2013
Fourth Impact on Fourth Impact on
Quarter Diluted Quarter Diluted
In Thousands (except per
share amounts) Jan 2014 EPS Jan 2013 EPS
-------- --- -------- ---
Earnings from continuing
operations, as reported $42,212 $1.79 $38,913 $1.64
Adjustments: (1)
Impairment charges 365 0.02 431 0.02
Deferred payment -Schuh
acquisition 3,042 0.13 3,216 0.13
Lease termination expense 986 0.04 - -
Change in accounting for
bonus awards (935) (0.04) (115) -
Other legal matters 1,017 0.04 - -
Network intrusion expenses 1,196 0.05 9,831 0.41
Higher (lower) effective
tax rate 3,128 0.13 (896) (0.04)
Adjusted earnings from
continuing operations (2) $51,011 $2.16 $51,380 $2.16
------- ----- ------- -----
(1) All adjustments are net of tax where applicable. The tax rate for the fourth quarter of Fiscal 2014 is 37.1%
excluding a FIN 48 discrete item of $0.1 million. The tax rate for the fourth quarter of Fiscal 2013 is
36.2% excluding a FIN 48 discrete item of $0.1 million.
(2) EPS reflects 23.6 million and 23.8 million share counts for Fiscal 2014 and 2013, respectively, which includes
common stock equivalents in both years.
The Company believes that disclosure of earnings and earnings per share from continuing operations adjusted
for the items not reflected in the previously announced expectations will be meaningful to investors, especially
in light of the impact of such items on the results.
Genesco Inc.
Adjustments to Reported Operating Income
Fourth Quarter Ended February 1, 2014 and February 2, 2013
Three Months Ended February 1,
2014
-------------------------------
Operating Bonus Adj Adj Operating
In Thousands Income and Other Income
------ --------- ------
Journeys Group $41,179 $1,068 $42,247
Schuh Group* 7,194 2,433 9,627
Lids Sports Group 28,231 - 28,231
Johnston & Murphy Group 7,206 11 7,217
Licensed Brands 2,110 13 2,123
Corporate and Other (10,716) 3,676 (7,040)
------- ----- ------
Total Operating Income $75,204 $7,201 $82,405
------- ------ -------
*Schuh Group adjustments include $3.0 million in deferred purchase price payments.
Three Months Ended February 2,
2013
-------------------------------
Operating Bonus Adj Adj Operating
In Thousands Income and Other Income
------ --------- ------
Journeys Group $42,302 $207 $42,509
Schuh Group* 9,496 2,382 11,878
Lids Sports Group 26,082 1,400 27,482
Johnston & Murphy Group 6,746 10 6,756
Licensed Brands 1,548 - 1,548
Corporate and Other (23,367) 15,181 (8,186)
------- ------ ------
Total Operating Income $62,807 $19,180 $81,987
------- ------- -------
*Schuh Group adjustments include $3.2 million in deferred purchase price payments.
Schedule B
Genesco Inc.
Adjustments to Reported Earnings from Continuing Operations
Twelve Months Ended February 1, 2014 and February 2, 2013
Impact on Impact on
12 mos Diluted 12 mos Diluted
In Thousands (except per
share amounts) Jan 2014 EPS Jan 2013 EPS
-------- --- -------- ---
Earnings from continuing
operations, as reported $92,982 $3.94 $112,897 $4.69
Adjustments: (1)
Impairment charges 1,473 0.06 887 0.04
Deferred payment -Schuh
acquisition 11,693 0.50 12,070 0.50
Gain on lease termination (2,077) (0.09) - -
Lease termination expense 986 0.04 - -
Change in accounting for
bonus awards 9,384 0.40 (1,203) (0.05)
Other legal matters 1,488 0.06 46 -
Network intrusion expenses 2,092 0.09 9,896 0.41
Higher (lower) effective
tax rate 2,251 0.09 (12,818) (0.53)
Adjusted earnings from
continuing operations (2) $120,272 $5.09 $121,775 $5.06
-------- ----- -------- -----
(1) All adjustments are net of tax where applicable. The tax rate for the Fiscal 2014 is 37.2% excluding a FIN 48
discrete item of $0.2 million. The tax rate for Fiscal 2013 is 36.4% excluding a FIN 48 discrete item of $0.3 million.
(2) EPS reflects 23.6 million and 24.0 million share counts for Fiscal 2014 and 2013, respectively, which includes
common stock equivalents in both years.
The Company believes that disclosure of earnings and earnings per share from continuing operations adjusted
for the items not reflected in the previously announced expectations will be meaningful to investors, especially
in light of the impact of such items on the results.
Genesco Inc.
Adjustments to Reported Operating Income
Twelve Months Ended February 1, 2014 and February 2, 2013
Twelve Months Ended February 1,
2014
-------------------------------
Operating Bonus Adj Adj Operating
In Thousands Income and Other Income
------ --------- ------
Journeys Group* $97,377 $8,096 $105,473
Schuh Group** 3,063 15,028 18,091
Lids Sports Group 63,748 1,676 65,424
Johnston & Murphy Group 17,638 34 17,672
Licensed Brands 10,614 13 10,627
Corporate and Other* (29,005) 8,117 (20,888)
------- ----- -------
Total Operating Income $163,435 $32,964 $196,399
-------- ------- --------
*Journeys Group and Corporate adjustments include $3.5 million and $1.5 million,respectively, in bonus
adjustments resulting from the gain on a lease termination for a Journeys store in the second quarter.
**Schuh Group adjustments include $11.7 million in deferred purchase price payments.
Twelve Months Ended February 2,
2013
-------------------------------
Operating Bonus Adj Adj Operating
In Thousands Income and Other Income
------ --------- ------
Journeys Group $109,953 $(3,024) $106,929
Schuh Group* 11,209 8,736 19,945
Lids Sports Group 82,867 2,927 85,794
Johnston & Murphy Group 15,696 41 15,737
Licensed Brands 10,078 (14) 10,064
Corporate and Other (59,940) 18,548 (41,392)
------- ------ -------
Total Operating Income $169,863 $27,214 $197,077
-------- ------- --------
*Schuh Group adjustments include $12.1 million in deferred purchase price payments.
Schedule B
Genesco Inc.
Adjustments to Forecasted Earnings from Continuing Operations
Fiscal Year Ending January 31, 2015
In Thousands (except per
share amounts) High Guidance Low Guidance
Fiscal 2015 Fiscal 2015
----------- -----------
Forecasted earnings from
continuing operations $120,191 $5.08 $115,699 $4.89
Adjustments: (1)
Asset impairment and
other charges 1,912 0.08 2,853 0.12
Change in accounting for
bonus awards 2,117 0.09 2,117 0.09
Deferred payment -Schuh
acquisition 7,079 0.30 7,079 0.30
----- ---- ----- ----
Adjusted forecasted
earnings from continuing
operations (2) $131,299 $5.55 $127,748 $5.40
-------- ----- -------- -----
(1) All adjustments are net of tax where applicable. The forecasted tax rate for Fiscal 2015 is approximately 37.2%
excluding a FIN 48
discrete item of $0.2
million.
(2) EPS reflects 23.7 million share count for Fiscal 2015 which includes common stock equivalents.
This reconciliation reflects estimates and current expectations of future results. Actual results may vary
materially from these expectations and estimates, for reasons including those included in the discussion
of forward-looking statements elsewhere in this release. The Company disclaims any obligation to update
such expectations and estimates.
SOURCE Genesco Inc.
