The company expects diluted earnings per share (EPS) to be in the range of $1.25 to $1.30 for Q3 FY23, with adjusted diluted earnings per share expected to range between $1.30 and $1.35. Caleres also anticipates a low-single-digit decline in consolidated net sales compared to the third quarter of fiscal 2022.
Looking ahead to fiscal 2023, Caleres maintains its projections, with a 3 to 5 percent decrease in consolidated net sales compared to fiscal 2022. The expected diluted earnings per share for the full year are between $4.02 and $4.22, while adjusted figures for the same period are expected to be between $4.10 and $4.30.
Caleres has also introduced a three-year strategic plan with four key areas of focus:
- Brand Portfolio: The company aims to expedite growth in this segment, targeting a double-digit operating margin in 2023 and beyond. They anticipate that approximately 50 percent of revenue will come from this segment by 2026.
- Famous Footwear: Caleres plans to strengthen its relationship with Millennial families, leveraging its strong position in Kids footwear, improving the omni experience, and utilizing consumer analytics to maintain profitability and generate cash flow.
- One Caleres Platform and Capabilities: This pillar focuses on enhancing profitable growth by leveraging synergies across the company. It aims to boost customer acquisition, enhance vertical integration, and optimize consumer insights and investment expenditure.
- Long-Term Growth: The strategic plan aims to achieve a three-year compound annual growth rate (CAGR) of 3 to 5 percent in net sales and an 11 to 13 percent CAGR in adjusted EPS, targeting a midpoint of $6.
These strategic initiatives are part of Caleres’ efforts to drive growth and navigate the evolving footwear industry landscape.
