Shoe Carnival Reports Q4 Loss

The fourth quarter was not kind to Shoe Carnival Inc., and the 308-door chain said it was prepared for the hard times to continue.

Losses for the quarter ended Jan. 31 totaled $3 million, or 24 cents a share, contrasted to earnings of $1.1 million, or 9 cents, a year earlier. Sales dipped 4.5 percent to $156.9 million from $164.3 million as comparable-store sales fell 8.3 percent. The firm generated free cash flow of $13.9 million in fiscal 2008 and ended the year with cash and cash equivalents of $24.8 million and no interest-bearing debt.

“We expect the retail footwear environment will continue to be challenging, at least through the first half of fiscal 2009,” said Mark Lemond, CEO and president, in a statement. “We have planned our advertising, sales promotions and inventory strategies accordingly. Our inventory levels at year-end leave us well positioned for both spring transition and market-place purchasing opportunities. Our priority for 2009 is to manage our business to increase market share, generate free cash flow and maintain our strong financial position.”

More From Our Brands

Access exclusive content