Shoe Carnival has disappointing Q3

Evansville, Ind. – Shoe Carnival had a generally disappointing third quarter fiscal 2013, with net income falling 11% to $10.9 million from $12.2 million. Net sales also declined 3.5%, from $244.4 million to $235.8 million.

Shoe Carnival attributed part of the year-over-year decline to a shift from a 53-week to a 52-week fiscal year, which resulted in one fewer week of back-to-school shopping activity in the third quarter and about $21.2 million less in sales.

“The arrival of October’s seasonably cool weather and an end to the federal government shutdown was a welcomed relief in the third quarter,” said Cliff Sifford, president and CEO of Shoe Carnival. “October’s mid-single digit comparable store sales gain, together with August’s sales performance, more than offset our negative September sales trend. Higher merchandise margins coupled with lower expenses than were originally projected resulted in earnings at the high-end of our expectations.”

The company opened eight new stores during the third quarter of fiscal 2013 as compared to six stores in the third quarter of fiscal 2012. Shoe Carnival expects fourth quarter net sales to be in the range of $215 miilion to $219 million with a comparable store sales increase in the range of 4% to 6%.

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