The Cato Corporation
11/25/2024 | Press release | Distributed by Public on 11/25/2024 09:01
results, activities or opportunities, and potential impacts and effects of the coronavirus are considered “forward looking” Form 8 K
results, activities or opportunities, and potential impacts and effects of the coronavirus are considered "forward-looking"
within the meaning of The Private Securities Litigation Reform Actof 1995.Such forward-looking statements are based
on current expectations that are subject to known and unknown risks, uncertainties and other factors that could cause
actual results to differ materially from those contemplated by the forward-looking statements.Such factors include, but
are not limited to, any actual or perceived deterioration in the conditions that drive consumer confidence and spending,
including, but not limited to, prevailing social, economic, political and public health conditionsand uncertainties, levels
of unemployment, fuel, energy and food costs, wage rates, tax rates, interest rates, home values, consumer net worth and
the availability of credit; changes in laws or regulations affecting our business including but not limited to tariffs;
uncertainties regarding the impact of any governmental action regarding, or responses to, the foregoing conditions;
competitive factors and pricing pressures; our ability to predict and respond to rapidly changing fashion trends and
consumer demands; our ability to successfully implement our newstore development strategy to increase new store
openings and the ability of any such new stores to grow and perform as expected; adverse weather, public health threats
(including the global coronavirus (COVID-19) outbreak) or similar conditions that may affect our sales or operations;
inventory risks due to shifts in market demand, including the abilityto liquidate excess inventory at anticipated margins;
and other factors discussed under "Risk Factors" in Part I, Item 1Aof the Company'smost recently filed annual report
on Form 10-K and in other reports the Company files with or furnishes to the SEC from time to time.The Company does
not undertake to publicly update or revise the forward-looking statements even if experience or future changes make it
clear that the projected results expressed or implied therein will not be realized. The Company is not responsible for any
changes made to this press release by wire or Internet services.
* * *
THE CATO CORPORATION
CONDENSED CONSOLIDATED STATEMENTSOF INCOME (UNAUDITED)
FOR THE PERIODS ENDED November 2, 2024 AND October 28, 2023
(Dollars in thousands, except per share data)
Quarter Ended
Six Months Ended
November 2,
%
October 28,
%
November 2,
%
October 28,
%
2024
Sales
2023
Sales
2024
Sales
2023
Sales
REVENUES
Retail sales
$
144,642
100.0%
$
156,682
100.0%
$
486,848
100.0%
$
528,174
100.0%
Other revenue (principally finance,
late fees and layaway charges)
1,528
1.1%
1,574
1.0%
5,049
1.0%
5,003
0.9%
Total revenues
146,170
101.1%
158,256
101.0%
491,897
101.0%
533,177
100.9%
GROSS MARGIN (Memo)
41,687
28.8%
50,850
32.5%
162,266
33.3%
182,638
34.6%
COSTS AND EXPENSES, NET
Cost of goods sold
102,955
71.2%
105,832
67.5%
324,582
66.7%
345,536
65.4%
Selling, general and administrative
57,876
40.0%
61,792
39.4%
172,809
35.5%
185,344
35.1%
Depreciation
2,737
1.9%
2,504
1.6%
7,106
1.5%
7,371
1.4%
Interest and other income
(2,646)
-1.8%
(1,523)
-1.0%
(10,209)
-2.1%
(3,754)
-0.7%
Costs and expenses, net
160,922
111.3%
168,605
107.6%
494,288
101.5%
534,497
101.2%
Income Before Income Taxes
(14,752)
-10.2%
(10,349)
-6.6%
(2,391)
-0.5%
(1,320)
-0.3%
Income Tax Expense
322
0.2%
(4,272)
-2.7%
1,614
0.3%
(797)
-0.2%
Net Income (Loss)
$
(15,074)
-10.4%
$
(6,077)
-3.9%
$
(4,005)
-0.8%
$
(523)
-0.1%
Basic Earnings Per Share
$
(0.79)
$
(0.30)
$
(0.24)
$
(0.02)
Diluted Earnings Per Share
$
(0.79)
$
(0.30)
$
(0.24)
$
(0.02)
THE CATO CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
November 2,
February 3,
2024
2024
(Unaudited)
(Unaudited)
ASSETS
Current Assets
Cash and cash equivalents
$
20,216
$
23,940
Short-term investments
65,994
79,012
Restricted cash
3,355
3,973
Accounts receivable - net
24,776
29,751
Merchandise inventories
107,159
98,603
Other current assets
8,705
7,783
Total Current Assets
230,205
243,062
Property and Equipment - net
62,648
64,022
Other Assets
19,783
25,047
Right-of-Use Assets, net
111,769
154,686
TOTAL
$
424,405
$
486,817
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
$
123,697
$
126,900
Current Lease Liability
45,836
61,108
Noncurrent Liabilities
14,555
14,475
Lease Liability
63,218
92,013
Stockholders' Equity
177,099
192,321
TOTAL
$
424,405
$
486,817