Caleres, Inc. Company Summary

Business Overview

• Type: Global footwear company
• Founded: 1878 (originally as Brown Shoe Company)
• Incorporation: 1913
• Headquarters: Missouri, USA (Clayton, Missouri)
• Stock Listing: NYSE under the symbol CAL
• Mission: To inspire people to feel great... feet first

Operations

• Segments:
  • Famous Footwear: Operates retail stores and e-commerce platforms
  • Brand Portfolio: Designs, develops, sources, manufactures, markets, and distributes branded, licensed, and private-label footwear to wholesale and retail customers
• Retail presence:
  • Number of stores (2024): 960 retail stores
  • Famous Footwear Stores: 846 stores in the U.S., Canada, and Guam
  • Ownership of stores:
    • Famous Footwear stores primarily operated in malls and shopping centers
    • 60 stores for Sam Edelman, Naturalizer, Allen Edmonds in the U.S.
    • 54 stores in East Asia
    • 120 international stores owned/operated via franchise agreements
• E-commerce:
  • Owns 14 brand websites
  • Omnichannel strategy with options like buy-online-pickup-in-store (Famous Footwear)
• International Operations:
  • Wholesale and retail operations in East Asia, Canada, and Europe
  • Franchise stores globally

Products & Brands

• Product categories:
  • Women's footwear (60% of net sales in 2024)
  • Men's footwear (21%)
  • Children's footwear (12%)
  • Clothing and accessories (7%)
• Major brands (owned or licensed):
  • Owned: Sam Edelman, Naturalizer, Allen Edmonds, Dr. Scholl's Shoes, LifeStride, Vince, Blowfish Malibu, Rykä, Veronica Beard, Favorite Daughter
  • Licensed: Vince (through 2029), Veronica Beard (through 2029), others renew their licenses periodically
• Key brand characteristics:
  • Sam Edelman: Over 20 years old, aspirational luxury, sold via retail stores, samedelman.com, around $100-$300 retail
  • Naturalizer: Founded in 1927, focus on fit and inclusive styles, $79-$265 price range
  • Allen Edmonds: Premium men’s shoes, U.S.-made, $300-$2,995
  • Others include comfort, casual, fashion, and luxury footwear

Business Metrics

• Sales (2024):
  • Total net sales: $2.72 billion (down 3.4% from previous year)
  • Famous Footwear: $1.56 billion
  • Brand Portfolio: $1.23 billion
• Profit & Income:
  • Gross profit (2024): $1.22 billion
  • Operating earnings (2024): $149.9 million
  • Net earnings (2024): $106.1 million
  • Earnings per diluted share (2024): $3.09
• Employees:
  • Approximate total: 9,400 employees
    • Full-time: 4,800
    • Part-time: 4,600
  • U.S. employees mostly non-union
  • 25 warehouse employees in Canada under union contract

Strategic Initiatives

• Acquired luxury footwear brand Stuart Weitzman for $105 million (anticipated closing summer 2025)
• Focus on growing the Brand Portfolio segment with global and direct-to-consumer expansion
• Investing in new store concepts like FLAIR (localized retail stores)
• Emphasizing digital marketing, loyalty programs (Famously You Rewards), and omnichannel customer experience
• Continuing to optimize inventory levels and logistics

Market & Customers

• Major customers:
  • Famous Footwear retail chain
  • Large online platforms (Amazon, Zappos)
  • Department stores and national chains (Walmart, Kohl’s, Macy’s, Nordstrom, DSW, Ross, TJX, etc.)
• Customer base: Primarily families, with a focus on millennial parents and children
• Sales channels: Retail stores, e-commerce, wholesale distribution, franchises

Financial Highlights (2024)

• Total revenue: $2.72 billion
• Net income: $106.1 million
• Operating margin: 5.5%
• Gross margin: 44.9%
• Employees: ~9,400

Summary:
Caleres, Inc. is a longstanding global footwear company with a diversified portfolio of brands and a presence in both retail and wholesale markets. It operates 960 stores and numerous e-commerce websites, with key brands including Sam Edelman, Naturalizer, Allen Edmonds, and others. The company's revenue in 2024 was around $2.72 billion, with net earnings of approximately $106 million and approximately 9,400 employees worldwide. It continues strategic growth through acquisitions, store concept innovations, and enhanced digital and omnichannel marketing efforts.