Designer Brands reaffirms full year guidance

Designer Brands’ first quarter net sales increased 0.6 percent to 746.6 million dollars, while comparable sales decreased by 2.5 percent.

Reaffirming its guidance for the full year, the company said net sales growth is expected to be in low-single digits and adjusted diluted EPS is expected to range between 70 cents to 80 cents.

“This quarter, we were pleased to deliver results in line with our expectations for this quarter, as we gained traction on our path to returning Designer Brands to growth. We believe that we are on solid footing as we enter the summer months and are pleased to reaffirm our guidance for 2024,” stated Doug Howe, the company’s chief executive officer.

Gross profit for the quarter increased to 245.1 million dollars and gross margin to 32.8 percent compared to the same period last year.

The company’s reported net income was 0.8 million dollars or diluted earnings per share were 1 cents, while adjusted net income was 4.8 million dollars or adjusted diluted EPS was 8 cents.

On May 15, 2024, the company’s board of directors declared a quarterly cash dividend of 5 cents per share payable on June 18, 2024 to shareholders of record at the close of business on June 5, 2024.

During the first quarter of 2024, in the United States, Designer Brands opened one store and in Canada it acquired 28 Rubino stores, opened five stores, and closed one store, resulting in a total of 500 stores in the US and 175 stores in Canada.