Genesco Q1 Revenue Tops Estimates with 3% Growth, Gross Margin Hits 47%
GCO•Genesco’s Q1 2027 revenue climbed 3% to $487 million, topping the $474.3 million estimate, and EPS loss improved to -$2.18 versus -$2.58. Adjusted gross margin widened by 30 basis points to 47%, driven by Journeys momentum and fewer promotions, with a debt-to-equity ratio of 0.92 and current ratio of 1.64.
1. Q1 Fiscal 2027 Financial Results
Genesco reported Q1 2027 revenue of $487.03 million, a 3% increase from $474 million a year ago and above the $474.33 million estimate. The company posted an EPS loss of -$2.18 versus the -$2.58 consensus forecast, marking a narrower loss year-over-year.
2. Brand Performance and Margin Expansion
Momentum in the Journeys brand and operational initiatives to reduce promotions led to a 30 basis point improvement in adjusted gross margin to 47%. Johnston & Murphy also contributed to profitability gains as the company focuses on strategic margin enhancement.
3. Financial Health Metrics
Genesco maintained a debt-to-equity ratio of 0.92 and a current ratio of 1.64, underscoring adequate liquidity and manageable leverage levels. These ratios reflect the company’s ability to cover short-term obligations and support ongoing growth initiatives.
