03 Oct Caleres Updates Strategic Growth Plan And Financial Targets
Caleres, the parent of Famous Footwear and a number of wholesale footwear brands, at its Investor Day held Wednesday will target double-digit CAGR earnings growth through 2022 along with low-single-digit sales gains.
The event is being hosted in New York City. Senior leaders of the company will discuss the company’s strategy to thrive in today’s dynamic global footwear market and deliver consistent, profitable and sustainable long-term growth to the benefit of its consumers, customers, employees and shareholders.
“We are focused on building on the progress we have made over the last several years to position our portfolio to capture rapidly changing consumer preferences and enhance our capabilities to better service our customers,” said Diane Sullivan, CEO, President and Chairman of Caleres. “Focused investment in our core competency as builders of loved and trusted footwear brands will allow us to extend the reach of our powerful portfolio no matter where our consumers choose to purchase our products. We are confident that this will create consistent sales and earnings growth and create value for all our stakeholders.”
A Clear Strategy to Win
Caleres is announcing a new long-term strategic plan to build on its unique advantages and capture share in the global footwear market by focusing on the following three key areas:
- Broaden Reach and Power of Brands and Products. Caleres is continuously cultivating the Company’s consumer-focused brands and products to maintain consistency of results and maximize profitability across the portfolio.
- Strengthen Connections with Consumers. Caleres is strengthening its data-driven analytical capabilities and leveraging the Company’s marketing expertise to deepen its brands’ emotional connections with consumers and enhance their market position.
- Accelerate Innovation of Capabilities and Operations. Caleres is enabling speed, agility and efficiency of scale to ensure that the company moves quickly to respond to rapidly changing preferences and maximize consumer fulfillment capabilities.
2022 Financial Plan
In support of the new strategic plan, the company is introducing 2022 financial targets including:
- Revenue: Low single-digit compound annual growth rate (CAGR) through 2022;
- Earnings per share: Double-digit CAGR through 2022; and
- Return on invested capital: Greater than 15 percent through 2022.
The company’s brands include Famous Footwear, Sam Edelman, Naturalizer, Allen Edmonds, Vionic, Dr. Scholl’s Shoes, Franco Sarto, Veronica Beard, and more.