Roger Rawlins, Chief Executive Officer, commented: "We continued to make progress on our strategic initiatives and the integration of our acquisitions. At the same time, we faced several meaningful headwinds during the third quarter that impacted our results and will likely continue for the upcoming quarters. The near-record warm weather during our largest and most profitable quarter affected every segment of our business (...) We took proactive actions to protect our topline and delivered positive comps in the third quarter. Our Camuto organization delivered their first positive operating income contribution in the quarter and the incredible Camuto designed and sourced exclusive brand product is being delivered to our warehouses currently and will be customer facing in just a few weeks. And I am excited to see Canada continue to strongly leverage the expertise and infrastructure from our US business as they delivered another stellar quarter."

"We are continuously seeking ways to increase our market share, all while reducing costs across our entire organization and mitigating tariffs. We continue to believe our ability to operate a fully integrated supply chain will yield significant benefit and enable us to better compete across all channels and creates a long runway for growth, and in turn, long-term value for our shareholders", Mr. Rawlins concluded.

Third Quarter Results

Total revenue increased by 12.4%, including 137.5 million US dollars in revenue from the Brand Portfolio segment. Comparable sales increased 0.3% for third quarter of fiscal 2019 compared to a 7.3% increase in the third quarter of fiscal 2018.

Reported net income was 43.5 million US dollars, or 0.60 US dollars per diluted share, including pre-tax charges totalling 6.9 million US dollars or 0.07 US dollars per diluted share, primarily from impairment charges and integration and restructuring expenses. Adjusted net income was 48.6 million US dollars, or 0.67 US dollars per diluted share.

Nine Months Results

Total revenue increased by 14.3%, including 345.0 million US dollars in revenue from the Brand Portfolio segment. Comparable sales increased 0.8% compared to last year's 6.3% increase.

Reported net income was 102.1 million US dollars or 1.36 US dollars per diluted share, including pre-tax charges totalling 19.3 million US dollars or 0.21 US dollars per diluted share, primarily from impairment charges and integration and restructuring expenses. Adjusted net income was 117.9 million US dollars or 1.57 US dollars per diluted share.

2019 Annual Outlook

Shoe carnival lowered its full year outlook for Adjusted EPS in the range of 1.50 US dollars to 1.55 US dollars per diluted share, compared to its previous range of 1.87 US dollars to 1.97 US dollars per diluted share.