Caleres Reports Second Quarter 2025 Results

ST. LOUIS--(BUSINESS WIRE)--Sep 4, 2025--

Caleres (NYSE: CAL), a market-leading portfolio of consumer-driven footwear brands, today reported financial results for the second quarter 2025.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250904899109/en/

“While we did experience headwinds due to market uncertainty, we demonstrated the strength and resilience of our company this quarter. Sales trends improved sequentially in both segments of our business and we saw market share gains in women’s fashion footwear and in shoe chains. We experienced strength in Lead Brands, our Brand Portfolio direct-to-consumer channels, and international. We also saw significant improvement in sales trends at Famous Footwear in July and continuing through August,” said Jay Schmidt, President and Chief Executive Officer.

“As we look to address the changes in the operating environment, we completed our previously announced structural cost savings initiatives that will deliver annualized savings of $15 million and support a more efficient operating structure. Just after quarter-end, we completed the acquisition of Stuart Weitzman, adding a new Lead Brand to our portfolio that aligns with our strategic focus on premium, direct-to-consumer, and international business,” said Schmidt. “Longer term, we will continue looking for ways to leverage our greatest capabilities across our portfolio, and we are confident in our ability to execute our strategic plan, invest to fuel our growth initiatives, and drive sustained value for our shareholders.”

Second Quarter 2025 Results

(13-weeks ended August 2, 2025 compared to 13-weeks ended August 3, 2024)

Capital Allocation Update

During the quarter, Caleres continued to invest in value-driving growth opportunities while at the same time returning cash to shareholders through our dividend. In June, Caleres entered into an amendment of its credit agreement, which extended the senior secured asset-based revolving credit facility to June 2030. The company’s borrowing capacity under the agreement increased by $200 million to $700 million, and the agreement includes an accordion feature, which allows the company to request an increase in the size of the facility to $950 million in the aggregate. The expanded facility provides Caleres with enhanced liquidity and flexibility and further strengthens the balance sheet. Given the volatile and challenging environment, Caleres’ capital allocation priorities are to continue to fund its dividend and to invest in our value-enhancing growth vectors. Longer term, we will balance investment priorities with debt reduction and returning capital to shareholders.

Fiscal 2025 Outlook

Given the uncertainty in the environment, the company will continue to suspend annual guidance. For the month of August, Famous Footwear same-store comparable sales were up 1% and Brand Portfolio sales excluding Stuart Weitzman were up low-single digits. We expect ongoing gross margin pressure in Brand Portfolio from tariffs for the balance of the year. We anticipate third quarter Brand Portfolio gross margin, excluding Stuart Weitzman, to be down similar to second quarter, with improvement in the fourth quarter as we realize more of the benefit from our mitigation strategies.

Investor Conference Call

Caleres will host a conference call at 10:00 a.m. ET today, Thursday, September 4, 2025. The webcast and associated slides will be available at investor.caleres.com/events-and-presentations. A live conference call will be available at (877) 704-4453 for North America participants or (201) 389-0920 for international participants, no passcode necessary. A replay will also be available at investor.caleres.com/events-and-presentations for a limited period. Investors can access the replay through September 18, 2025 by dialing (844) 512-2921 in North America or (412) 317-6671 internationally and using the conference pin 13755075.

Definitions

All references in this press release, outside of the condensed consolidated financial statements that follow, unless otherwise noted, related to net earnings attributable to Caleres, Inc. and diluted earnings per common share attributable to Caleres, Inc. shareholders, are presented as net earnings and earnings per diluted share, respectively.

Non-GAAP Financial Measures and Metrics

In this press release, the company’s financial results are provided both in accordance with generally accepted accounting principles (GAAP) and using certain non-GAAP financial measures and metrics. In particular, the company provides earnings before interest, taxes, depreciation and amortization (EBITDA) and estimated and future operating earnings, net earnings and earnings per diluted share, adjusted to exclude certain gains, charges and recoveries, which are non-GAAP financial measures, and the debt to EBITDA leverage ratio, which is a non-GAAP financial metric. These results are included as a complement to results provided in accordance with GAAP because management believes these non-GAAP financial measures and metrics help identify underlying trends in the company’s business and provide useful information to both management and investors by excluding certain items that may not be indicative of the company’s core operating results. This measure and metric should not be considered a substitute for or superior to GAAP results.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

This press release contains certain forward-looking statements and expectations regarding the company’s future performance and the performance of its brands. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially. These risks include (i) changes in United States and international trade policies, including tariffs and trade restrictions; (ii) changing consumer demands, which may be influenced by general economic conditions and other factors; (iii) inflationary pressures and supply chain disruptions; (iv) rapidly changing consumer preferences and purchasing patterns and fashion trends; (v) supplier concentration, customer concentration and increased consolidation in the retail industry; (vi) intense competition within the footwear industry; (vii) foreign currency fluctuations; (viii) political and economic conditions or other threats to the continued and uninterrupted flow of inventory from China and other countries, where the company relies heavily on third-party manufacturing facilities for a significant amount of its inventory; (ix) cybersecurity threats or other major disruption to the company’s information technology systems including those related to our ERP upgrade; (x) transitional challenges with acquisitions and divestitures; (xi) the ability to accurately forecast sales and manage inventory levels; (xii) a disruption in the company’s distribution centers; (xiii) the ability to recruit and retain senior management and other key associates; (xiv) the ability to secure/exit leases on favorable terms; (xv) the ability to maintain relationships with current suppliers; (xvi) changes to tax laws, policies and treaties; (xvii) our commitments and shareholder expectations related to responsible business initiatives; (xviii) compliance with applicable laws and standards with respect to labor, trade and product safety issues; and (xix) the ability to attract, retain, and maintain good relationships with licensors and protect our intellectual property rights.

The company's reports to the Securities and Exchange Commission contain detailed information relating to such factors, including, without limitation, the information under the caption Risk Factors in Item 1A of the company’s Annual Report on Form 10-K for the year ended February 1, 2025, which information is incorporated by reference herein and updated by the company’s Quarterly Reports on Form 10-Q. The company does not undertake any obligation or plan to update these forward-looking statements, even though its situation may change.

 

Allen Edmonds Vail Lug Sneaker

CAPE CANAVERAL, Fla. (AP) — An ailing astronaut returned to Earth with three others on Thursday, ending their space station mission more than a month early in NASA’s first medical evacuation.

SpaceX guided the capsule to a middle-of-the-night splashdown in the Pacific near San Diego, less than 11 hours after the astronauts exited the International Space Station.

“It’s so good to be home,” said NASA astronaut Zena Cardman, the capsule commander.

It was an unexpected finish to a mission that began in August and left the orbiting lab with only one American and two Russians on board. NASA and SpaceX said they would try to move up the launch of a fresh crew of four; liftoff is currently targeted for mid-February.

Cardman and NASA’s Mike Fincke were joined on the return by Japan’s Kimiya Yui and Russia’s Oleg Platonov. Officials have refused to identify the astronaut who had the health problem or explain what happened, citing medical privacy.

While the astronaut was stable in orbit, NASA wanted them back on Earth as soon as possible to receive proper care and diagnostic testing. The entry and splashdown required no special changes or accommodations, officials said, and the recovery ship had its usual allotment of medical experts on board. It was not immediately known when the astronauts would fly from California to their home base in Houston. Platonov’s return to Moscow was also unclear.

NASA stressed repeatedly over the past week that this was not an emergency. The astronaut fell sick or was injured on Jan. 7, prompting NASA to call off the next day’s spacewalk by Cardman and Fincke, and ultimately resulting in the early return. It was the first time NASA cut short a spaceflight for medical reasons. The Russians had done so decades ago.

The space station has gotten by with three astronauts before, sometimes even with just two. NASA said it will be unable to perform a spacewalk, even for an emergency, until the arrival of the next crew, which has two Americans, one French and one Russian astronaut.

The Associated Press Health and Science Department receives support from the Howard Hughes Medical Institute’s Department of Science Education and the Robert Wood Johnson Foundation. The AP is solely responsible for all content.

This screengrab from video provided by NASA TV shows the SpaceX Dragon departing from the International Space Station shortly after undocking with four NASA Crew-11 members inside on Wednesday, Jan. 14, 2026. (NASA via AP)

This photo provided by NASA shows clockwise from bottom left are, NASA astronaut Mike Fincke, Roscosmos cosmonaut Oleg Platonov, NASA astronaut Zena Cardman, and JAXA (Japan Aerospace Exploration Agency) astronaut Kimiya Yui gathering for a crew portrait wearing their Dragon pressure suits during a suit verification check inside the International Space Station’s Kibo laboratory module, Wednesday, Jan. 14, 2026. (NASA via AP)

This screengrab from video provided by NASA shows recovery vessels approaching the NASA's SpaceX Crew-11 capsule to evacuate one of the crew members after they re-entered the earth in a middle-of-the-night splashdown near San Diego, Calif., Thursday, Jan. 15, 2026. (NASA via AP)

This screengrab from video provided by NASA shows the NASA's SpaceX Crew-11 members re entering the earth in a middle-of-the-night splashdown near San Diego, Calif., Thursday, Jan. 15, 2026. (NASA via AP)

This screengrab from video provided by NASA shows the NASA's SpaceX Crew-11 members re entering the earth in a middle-of-the-night splashdown near San Diego, Calif., Thursday, Jan. 15, 2026. (NASA via AP)