Aug 29 Footwear retailer Genesco Inc,
known for its Journeys brand, estimated second-quarter results
below analysts' forecast, hurt by challenging sales environment,
and the company slashed its adjusted profit outlook for the
The company, which also sells Schuh footwear and Lids
headwear, said its profit estimate for the quarter ended Aug. 3
was based upon a potential change in accounting for certain
bonus awards payable under an incentive plan.
Genesco said it may restate certain prior financial
statements depending on any charges associated with the
The company said it expects net income to rise to $12.1
million, or 52 cents per share, in the second quarter, from
$10.6 million, or 44 cents per share, a year earlier.
On an adjusted basis, Genesco estimated earnings of 56 cents
Analysts on average were expecting a profit of 60 cents per
share, according to Thomson Reuters I/B/E/S.
The company said sales rose 5.7 percent to $574.7 million in
the quarter, missing market estimates of $596.2 million.
Genesco said comparable store sales fell 2 percent.
The company cut its full-year profit forecast to $5.20-$5.30
per share from $5.57-$5.67.
Analysts on average were expecting a profit of $5.63 per
Nashville, Tennessee-based Genesco's shares closed at $69.55
on the New York Stock Exchange on Wednesday.