Footwear Company Caleres Issues 2026 Financial Targets Ahead Of Investor Day Event

Caleres Inc CAL put forward its three-year strategic and financial plan in conjunction with its Oct. 5 Investor Day.

The footwear company expects double-digit operating margin in 2023 and beyond, with about 50% of revenue to be derived from the Brand Portfolio segment by 2026.

Caleres expects net sales to grow at a three-year CAGR of 3% - 5%.

Diluted adjusted EPS is expected to increase at a three-year CAGR of 11% - 13% to reach $6.00 at the mid-point of the range.

Caleres sees annual total shareholder return in low-to-mid teens.

The company reaffirmed its Q3 net sales outlook of low-single digits decline and adjusted EPS of $1.30 - $1.35.

It also reaffirmed FY23 sales decline of 3% - 5% and adjusted EPS of $4.10 - $4.30.

However, given the challenging consumer demand environment in September, Caleres expects sales to be at the low-end of the range for both the third quarter and fiscal year 2023.

Price Action: CAL shares are trading higher by 1.45% at $27.34 in premarket on the last check Thursday.