Genesco Inc. Q2 FY2026 earnings call

• Strong comp momentum from last year carried into Q2 with overall comps up 4%, fourth consecutive quarter of positive comps. - Journeys had fourth consecutive quarter of high single or double-digit comps, double-digit comps third quarter to date. - Schuh faced tough U.K. environment but improved in July and August with initiatives. - J&M saw positive comps after strategic repositioning, ramping up innovation. - Journeys has transformation plan focusing on product elevation, brand investment, customer experience, and people. - Genesco Brands Group reset portfolio, excited about Wrangler partnership.

Journeys: Q2 comps grew 9%, total revenue driven by 9% comps, SG&A leverage of about 200 basis points. Schuh: Q2 comps down 4%, faced challenging U.K. retail environment with more promotional activity, but improved in July and August. Johnston & Murphy (J&M): Q2 comps up 1%, full-price stores and digital channels posted positive growth, gross margin expanded. Genesco Brands Group: Impacted by tariffs, product liquidations, and license exits, but excited about Wrangler footwear partnership.

• Reiterated adjusted EPS guidance range of $1.30 to $1.70. - Total revenue growth expected 3% to 4%, comp sales growth 4% to 5%. - Gross margin expected to decline 50 to 60 basis points. - SG&A expected to leverage 80 to 100 basis points. - Capital expenditures expected $55 million to $65 million. - Third quarter assumptions mostly aligned to full year guidance, back-to-school expected to drive 3% to 4% sales increase.

• Promotional pressure in U.K. market affecting Schuh's gross margins. - Tariff increases impacting Genesco Brands Group. - Uncertainty in external consumer environment in U.S. and U.K.

Q: Mitch Kummetz asked about the product pivot at Journeys, assortment vs last year, and wider audience targeting.

A: Mimi Eckel Vaughn said Journeys has diversified assortment, 3 legs (casual, canvas, athletic), and early days in broadening customer opportunity with marketing and store remodels.

Q: Joseph Civello asked about new brand introductions/reintroductions scaling and longer-term ticket/transaction dynamics.

A: Mimi said new brands validate Journeys in new categories, product elevation helps ASPs, consumer stretching for must-have product.

Q: Mantero Moreno-Cheek asked about 4.0 stores performance and U.K. market outlook.

A: Mimi said 4.0 stores performing well, over 55 open, plans to have over 80 by yearend; Schuh market expected to be volatile with focus on product assortment and store execution