Latest news with #Caleres
Yahoo
01-07-2025
- Business
- Yahoo
FDRA appoints new leadership to drive footwear industry progress
FDRA governs over 500 companies and brands globally, representing 95% of the US footwear market share. BBC International's Josue Solano is appointed as the chairman of the board, with Dan Friedman from Caleres taking on the vice chairman role, and Lisa Tucker from Shoe Show assuming the position of treasurer. Josue Solano has more than 20 years of experience in the footwear industry and knowledge in global sourcing, supply chain management, and corporate strategy. Under this role, Solano will offer strategic guidance and vision for FDRA, an organisation that represents more than 97% of the footwear industry, including retailers, brands, and manufacturers. 'From tackling tariff challenges to enhancing industry collaboration, I look forward to working on the issues that matter most to our members,' Josue Solano stated. The transition to new leadership is facilitated by existing board members and Jennifer Bendall, Nike's outgoing chair and current vice president of government and public affairs. The board is further strengthened by new appointees such as Sara Hoverstock from Crocs, Jonathan Frankel from Aldo, Gautham Rao from Timberland, and Todd Krinsky from Reebok. The appointments come at a challenging time for the footwear sector with FDRA's second quarter 2025 Shoe Executive Business Survey indicating the growing concerns among leaders regarding declining consumer demand, escalating costs, and the erratic nature of US tariff policies. Survey findings reveal that over six in ten respondents reported a drop in sales compared to six months prior and 49% anticipate lower comparable store sales in the next six months. Additionally, 82% of the respondents predict a weakening or very weak US economy during that period. An 'overwhelming' 88% expect diminished consumer spending on footwear. Another critical issue highlighted by the survey is the surge in landed costs for brands and retailers with 94% expecting an increase in footwear costs during the year's latter half. About 60% of the respondents predicted these costs could rise by double digits. 'This quarter's survey is a flashing red light for the industry,' said FDRA president and CEO Matt Priest. 'Footwear companies are facing a perfect storm—consumers are pulling back, costs are rising fast, and trade policy from Washington continues to inject unnecessary volatility into an already fragile marketplace. President Trump and Congress must remember tariffs are an additional tax on already burdened American families and American industry,' he added. "FDRA appoints new leadership to drive footwear industry progress" was originally created and published by Just Style, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
30-06-2025
- Business
- Yahoo
Caleres Secures Expanded Credit Facility in Time for Stuart Weitzman Purchase
Caleres Inc. has its financial ducks in a row as it prepares to close on its purchase of the Stuart Weitzman brand. The global footwear company said on Monday that it has amended its credit agreement, which extends its senior secured asset-based revolving credit facility to June 2030. In addition, the borrowing capacity will increase by $200 million to $700 million. Furthermore, there is an 'accordian' provision that allows Caleres to request an increase in the size of the facility to '$950 million in the aggregate.' More from WWD Federico Marchetti Forays Into Hospitality, Takes Part in 200M Euro Restoration of Venice's Grand Hôtel des Bains What's Driving Footwear's M&A Craze in 2025 Vera Bradley CEO, CFO to Exit, Board Creates 'Transformation' Committee 'The expanded facility provides Caleres with enhanced liquidity and flexibility, and further strengthens the balance sheet,' Jack Calandra, Caleres' senior vice president and CFO, said. 'In the near term, after continuing to pay our dividend, Caleres' capital allocation priorities are to complete the acquisition of Stuart Weitzman and invest in our growth vectors.' Calandra said that over the longer term, the company will balance its investment priorities with debt reduction and returning capital to shareholders. Caleres in February inked a deal to acquire the Stuart Weitzman brand from Tapestry Inc. for $105 million. At the time, Caleres president and CEO said the acquisition advances the company's 'strategic agenda' to grow its brand portfolio segment with an eye to more global and direct-to-consumer reach. The plan is for Stuart Weitzman to be the lead brand for Caleres. The closing date for the transaction is this summer, and Caleres has previously said that it would fund the deal through its revolving credit agreement. Caleres is set to provide additional details on integration plans once the deal closes. Other shoe brands in Caleres' portfolio include Famous Footwear, Sam Edelman, Allen Edmonds, Naturalizer, Vionic and Dr. Scholl's Shoes, among others. Last month, the company said first quarter net income for the three months ended May 3 fell to $6.9 million from $30.9 million in the same year-ago period. Net sales were down 6.8 percent to $614.2 million from $6.6 million. Sales were weak in February, while volatility increased in April after President Donald Trump announced reciprocal tariffs on April 2. Caleres also incurred additional costs connected with moving goods and canceled orders related to tariffs. Also impacting the quarter were customer credit issues and/or bad debt at some wholesale accounts, such as the Canadian retail chain Hudson's Bay that ended up shutting all stores and liquidating operations. As for the tariff issue, the company expects to have 10 percent or less sourced from China in the back half of 2025. And like many other brands, Caleres is also selectively raising prices. Coming up, the Jordan brand will be an all-door exclusive for the shoe chain for back-to-school across men's, women's, kids and accessories. And this fall will see the first shoe collection for Favorite Daughter, which will be launched with Caleres under a new licensing agreement. The Weitzman brand was launched in 1986, initially as a women's shoe brand that later expanded to include men's footwear, as well as handbags. Tapestry acquired the brand in 2015 from private equity firm Sycamore partners in a transaction valued at $574 million. The shoe firm became part of Sycamore's portfolio after it acquired Jones Group Inc. for $1.2 billion in 2014. Best of WWD All the Retailers That Nike Left and Then Went Back Mikey Madison's Elegant Red Carpet Shoe Style [PHOTOS] Julia Fox's Sleekest and Boldest Shoe Looks Over the Years [Photos] Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
30-06-2025
- Business
- Business Wire
Caleres Announces Amendment and Extension of Credit Agreement
ST. LOUIS--(BUSINESS WIRE)--Caleres (NYSE: CAL) ( today announced it has entered into an amendment of its credit agreement, which extends its senior secured asset-based revolving credit facility to June 2030. The company's borrowing capacity under the agreement will increase 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,' said Jack Calandra, senior vice president and CFO of Caleres. 'In the near term, after continuing to pay our dividend, Caleres' capital allocation priorities are to complete the acquisition of Stuart Weitzman and invest in our growth vectors. Longer term, we will balance our investment priorities with debt reduction and returning capital to shareholders.' Bank of America, N.A. is the administrative agent, collateral agent and lead issuing bank. Truist Bank, Wells Fargo Bank and U.S. Bank served as the joint lead arrangers and joint bookrunners. Fifth Third Bank, Regions Bank and TD Bank also participated in the credit facility. About Caleres Caleres is a market-leading portfolio of global footwear brands that includes Famous Footwear, Sam Edelman, Allen Edmonds, Naturalizer and Vionic and more. Our products are available virtually everywhere - in the nearly 1,000 retail stores we operate, in hundreds of major department and specialty stores, on our branded e-commerce sites and on many additional third-party retail platforms. Combined, these brands make Caleres a company with both a legacy and a mission. Our legacy is nearly 150 years of craftsmanship and our passion for fit, while our mission is to continue to inspire people to feel great… feet first. Visit to learn more about us.
Business Wire
16-06-2025
- Business
- Business Wire
CAL Investors Have Opportunity to Join Caleres, Inc. Fraud Investigation with the Schall Law Firm
LOS ANGELES--(BUSINESS WIRE)-- The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Caleres, Inc. ('Caleres' or 'the Company') (NYSE: CAL) for violations of the securities laws. The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Caleres reported its financial results for Q1 2025 on May 29, 2025. The Company reported sales of $614.2 million, a 6.8% year-over-year decline. The Company acknowledged its sales were 'below our expectations.' The Company also suspended its guidance for 2025 due to 'uncertainty in the environment.' Based on this news, shares of Caleres fell by more than 18.2% on the same day. If you are a shareholder who suffered a loss, click here to participate. We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at or by email at bschall@ The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
Yahoo
30-05-2025
- Business
- Yahoo
CAL Q1 Earnings Call: Management Cites Tariff and Sourcing Headwinds, Suspends Guidance
Footwear company Caleres (NYSE:CAL) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 6.8% year on year to $614.2 million. Its non-GAAP EPS of $0.22 per share was 39.7% below analysts' consensus estimates. Is now the time to buy CAL? Find out in our full research report (it's free). Revenue: $614.2 million (6.8% year-on-year decline) Adjusted EPS: $0.22 vs analyst expectations of $0.37 (39.7% miss) Adjusted Operating Income: $12.21 million vs analyst estimates of $19.4 million (2% margin, 37.1% miss) Operating Margin: 1.9%, down from 6.6% in the same quarter last year Market Capitalization: $558.4 million Caleres' first quarter results were shaped by softer consumer demand and operational pressures across both its Brand Portfolio and Famous Footwear segments. CEO Jay Schmidt pointed to particularly weak February sales, with some improvement in March and April, though overall performance remained below plan. Management attributed the underperformance to lower gross margins, higher inventory reserves, and increased costs tied to sourcing disruptions and tariffs. Schmidt acknowledged, 'Our first quarter results fell short of expectations,' highlighting the company's exposure to both macroeconomic volatility and specific industry challenges. Additional factors included higher-than-anticipated bad debt write-downs, as customer credit conditions worsened compared to last year. Looking ahead, Caleres is suspending formal guidance due to ongoing volatility in tariffs and global sourcing. Management emphasized a focus on cost controls and structural expense reductions, with CFO Jack Calandra detailing a $15 million annualized SG&A reduction initiative. The company is also navigating uncertainty around tariff timelines and potential sourcing disruptions, which could impact both gross margins and inventory. Schmidt noted, 'We must redouble our efforts to drive growth and profitability,' while also pointing to upcoming product launches and store format changes, such as the broader rollout of the Jordan brand and continued expansion of FLAIR locations, as key initiatives to support future performance. The planned integration of Stuart Weitzman is expected to further diversify the portfolio. Management cited tariff escalation, sourcing disruption, and inventory management as the primary drivers behind the quarter's margin and earnings pressure, while highlighting selective strength in international and direct-to-consumer channels. Tariff and sourcing disruption: The company experienced increased costs and operational complexity from shifting production out of China following new U.S. tariffs. This led to order cancellations, higher costs to relocate manufacturing, and additional inventory write-downs, which collectively pressured gross margins. Inventory management challenges: Caleres was unable to adjust its inventory flow quickly enough as demand softened, resulting in elevated inventory levels and a need for higher markdown reserves, especially in its Brand Portfolio segment. International segment growth: Despite overall declines, international sales—particularly from the Sam Edelman brand—showed double-digit growth, supported by expansion in China, the Middle East, and new marketplace partnerships. Management views these international gains as a strategic counterbalance to domestic softness. Brand Portfolio performance: Lead brands such as Sam Edelman outperformed others, with new product assortments like sneakers and sandals resonating well in key markets. However, Allen Edmonds and Naturalizer faced distinct category challenges, and Vionic's decline was attributed to a timing shift in catalog drops. Famous Footwear and product initiatives: The Famous Footwear segment experienced sequential sales improvement during the quarter, aided by growth in e-commerce and the launch of new brands and store formats. The introduction of the Jordan brand and continued rollout of FLAIR stores are anticipated to boost performance in upcoming periods. Caleres' outlook is shaped by volatile tariff policies, cost-saving initiatives, and evolving consumer demand across its core segments. Tariff environment remains fluid: Management has suspended forward guidance due to ongoing uncertainty around U.S. tariffs on Chinese and global imports. Sourcing disruption and possible further escalation or reversal of tariffs could materially affect gross margins and inventory costs in the next several quarters. Expense reduction and operational efficiency: The company is implementing a $15 million annualized SG&A reduction, with savings expected to materialize in the second half of the year. This initiative is designed to offset profit pressure from lower sales and higher sourcing costs, though management noted that further opportunities for efficiency may emerge as integration partners assess the business. Product and format innovation: Upcoming launches, such as the full-door rollout of the Jordan brand at Famous Footwear and expanded FLAIR store locations, are expected to drive renewed customer engagement. Management also cited ongoing investment in international markets and the integration of Stuart Weitzman as potential growth levers, even as domestic wholesale order books remain 'fluid.' Over the coming quarters, the StockStory team will track (1) the company's ability to reduce inventory and capture anticipated SG&A savings, (2) the impact of new product launches—particularly the Jordan brand rollout and FLAIR store conversions—on segment sales, and (3) progress on the integration and performance of Stuart Weitzman. The evolution of global tariff policy and sourcing costs will also be critical to monitor. Caleres currently trades at a forward P/E ratio of 4.4×. Should you double down or take your chips? See for yourself in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. Sign in to access your portfolio
