Sep. 11 at 7:36 PM
$DBI
✅ Adjusted EPS
$0.34 - beat estimates
✅ FY EPS guidance raised to
$0.47–
$0.52 from
$0.28–
$0.38
✅ Q3 started strong; retail comps turned positive QTD
✅ Back-to-School running ahead of expectations
✅ Athletic demand improved ~400 bps in August
✅ Brand Portfolio sales +18%
✅ Topo sales +24%; targeting
$100M+ revenue in 2027
✅ Jessica Simpson sales +24%
✅ Keds expected double-digit FY growth
✅ Women’s dress sales high-single-digit growth
✅ Adj. gross margin 47.9%, +430 bps
✅ Even excluding tariff refunds, gross margin improved ~150 bps
✅ Retail merchandise margin +140 bps
✅ Reduced markdowns contributed ~100 bps of margin improvement
✅ YTD adjusted operating income more than doubled to ~
$59M
✅ Inventory down 2.6% - better inventory discipline
✅ Debt reduced ~
$93M YoY
✅ Cash increased to
$51.6M
✅ Approximately
$198M liquidity
✅ Five new stores expected to be earnings-accretive in year one
✅ Management sees additional Topo margin upside from integration/sourcing
