Profit falls for Designer Brands in third quarter

United States
Published:  05 December, 2022
Credit: Vince Camuto

North American footwear and accessories manufacturer Designer Brands has reported its financial results for the third quarter of 2022.

The company reported that net sales were up by 1.4% to US$865 million, while the comparable sales result was up by 3%.

Gross profit for the period dropped to US$285.8 million from US$313.6 million the year previous, and gross margin as a percentage of net sales was 33%, down from 36.7%.

During the third quarter of the 2022 financial year, Designer Brands opened one new store in the U.S. and closed another three, resulting in a total of 504 U.S. stores and 138 Canadian stores as of October 29, 2022.

CEO Roger Rawlins said: "While we are seeing many of the same pressures across the consumer landscape that most retailers are seeing, our flexible business model continues to support our efforts to navigate a dynamic macro environment.

“We are focused on meeting our customers' footwear needs while we balance inventory and expenses in order to continue growing market share in this volatile environment."