For the 13 weeks ending Oct. 31, the Evansville, Indiana-based company posted $14.7 million in profits. Comparatively, last year’s income was $13.7 million. Revenue missed forecasts, coming in at $274.6 million instead of projections of $275.6 million. Men’s athletics were up mid-single-digits; women’s climbed low-double-digits.
“We achieved same-store sales growth and delivered the most profitable quarter in Shoe Carnival’s history despite the extended back-to-school season,” Vice Chairman and Chief Executive Officer Cliff Sifford said in a statement.
“Our disciplined focus on financial flexibility and the strength of our business model continue to fuel our market-leading performance notwithstanding the ongoing disruption caused by the global pandemic,” Sifford added.
Sales in the non-athletic categories, sandals, canvas casuals and utility shoes sold the most, with dress shoes down double-digits, reflecting a sign of the times during COVID-19. Children’s non-athletic was up mid-single-digits; children’s athletic was down mid-single-digits.
Membership in Shoe Perks, the chain’s loyalty program, grew almost 10 percent to nearly 26 million compared to the same period in 2019. Gross profit increased $3.0 million to a record $87.8 million.
Mark Worden, president and chief customer officer, told SGB Media that the move to online shopping amid the pandemic helped boost the bottom line, with ads pulled from TV and print and moved to digital channels.
“This decision enabled us to be nimble with our investments and to react to school district back-to-school data announcements,” said Worden.
He added that digital marketing and eCommerce efforts “continue to far exceed expectations” with high-double-digit traffic growth and sales growth of over $20 million.
Shoe Carnival opened one new location this year and closed 13 of its 385 stores. Currently operating in 35 states in the U.S. and Puerto Rico, the shoe retailer is planning four new locations.
Lifestyle changes amid the pandemic have been a catalyst for increased sales in footwear and athleisure wear.