Genesco (GCO) Q1 Earnings Report Preview: What To Look For

Jabin Bastian /
2024/05/30 3:00 am EDT

Footwear, apparel, and accessories retailer Genesco (NYSE:GCO) will be announcing earnings results tomorrow morning. Here's what investors should know.

Genesco beat analysts' revenue expectations by 4.8% last quarter, reporting revenues of $739 million, up 1.9% year on year. It was a weaker quarter for the company, with underwhelming earnings guidance for the full year and a miss of analysts' earnings estimates.

Is Genesco a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Genesco's revenue to decline 7.8% year on year to $445.7 million, in line with the 7.2% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$2.66 per share.

Genesco Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Genesco has missed Wall Street's revenue estimates four times over the last two years.

Looking at Genesco's peers in the footwear segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Deckers delivered year-on-year revenue growth of 21.2%, beating analysts' expectations by 8%, and Crocs reported revenues up 6.2%, topping estimates by 6.1%. Deckers traded up 14.2% following the results while Crocs was also up 7.1%.

Read our full analysis of Deckers's results here and Crocs's results here.

There has been positive sentiment among investors in the footwear segment, with share prices up 2.1% on average over the last month. Genesco is up 4.8% during the same time and is heading into earnings with an average analyst price target of $25 (compared to the current share price of $26.98).

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