Designer Brands Cuts Costs as Q2 Sales Dip

Designer Brands(NYSE:DBI) reported second-quarter 2025 results on Sept. 9, 2025, noting a 4.2% year-over-year decline in net sales to $739.8 million, a 5% drop in comparable sales, and adjusted EPS of $0.34, up from $0.29 in the prior year. Management highlighted sequential improvements in core categories. The launch of new customer initiatives and disciplined expense reduction set the stage for a cautiously optimistic but guidance-free outlook amid persistent macro pressures. The following insights explore DBI's evolving channel strategy, merchandising initiatives, and cost actions with direct implications for the long-term investment thesis.Management explicitly deprioritized unprofitable digital sales in favor of optimizing in-store conversion, consistent with commentary elsewhere about reallocating marketing from “empty calorie” online efforts to in-store activations. Store comps turned positive in August, while total comps remained slightly negative at the end of the quarter. Over 90% of transactions flow through the company’s VIP loyalty program. Store conversion was up 1% year-over-year, signaling a material shift in omni-channel focus.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool