Despite Profit Increase, Shoe Carnival Predicts Store Closings

The company opened six U.S. stores last quarter.

Evansville-based Shoe Carnival Inc. (Nasdaq: SCVL) is reporting fiscal first quarter net income of $13 million, up from $8.2 million during the same period last year. Despite the increase, the company says it expects to close up to 25 stores throughout the fiscal year while adding three new locations.

Cliff Sifford, chief executive officer of Shoe Carnival, said he is pleased with the start of the company’s fiscal year. 

"Our comparable store sales increase reflects the continuation of a strong athletic and athleisure trend as well as solid sales results from our spring footwear categories, particularly as the weather became warmer later in the first quarter," said Sifford. "These sales results, along with our favorable inventory position and our team’s ability to manage expenses, helped us generate a 31 percent increase in operating income."

Shoe Carnival did not state which specific stores would be set to close. During the previous fiscal year, the company closed 26 stores while opening 19 new stores.

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