Genesco Comps Up 5%, Cuts FY16 Earnings Outlook

(RTTNews) - Genesco Inc. (GCO) Monday announced 5 percent increase in comparable sales in December quarter. Stores sales were up 3 percent while direct sales increased 20 percent for the quarter ended January 2.

Further the company projects fourth-quarter earnings below its prior guidance. On average, 12 analysts polled by Thomson Reuters are looking for $2.32 per share.

For the fiscal 2016, the company said it now expects earnings per share to be in the range of $4.30 to $4.40. Earlier forecast was in a range of $4.to to $4.60 per share. Wall Street expect $4.54 per share.

Robert Dennis, CEO of Genesco said, ""Overall, our outlook for Fiscal 2017 is positive, reflecting both the current favorable trends at Journeys and Johnston & Murphy and expected improvement in the Lids Sports Group, given the anticipated benefits of the additional inventory reduction initiatives and the relatively easier comparisons to this year's performance, which included heavy promotional activity related to those initiatives."