UPDATE: Brown Shoe Posts Upbeat Q4 Earnings, But Issues Weak Forecast

reported better-than-expected earnings for the fourth quarter, but the company's revenue missed analysts' expectations. The company also issued a weak forecast for the full year. The St. Louis, Missouri-based company posted quarterly earnings of $16.2 million, or $0.37 per share, compared to $6.2 million, or $0.14 per share, in the year-ago period. Excluding non-recurring items, the company earned $0.20 per share. Its revenue rose 2.6% y/y to $615.4 million. However, analysts were expecting earnings of $0.16 per share on revenue of $626 million. For the quarter, Brown Shoe's same-store-sales climbed 4.0%. Famous Footwear sales rose 0.8% to $369.4 million in the quarter, while Brand Portfolio sales climbed 5.4% to $246.0 million. Gross margin came in flat at 40.2% in the quarter, while operating earnings climbed 24.7% to $12.7 million. At the end of the fourth quarter, inventory was $543.1 million, compared to $547.5 million in the previous year. Ken Hannah, chief financial officer of Brown Shoe Company said, "While we're confident about our 2015 strategy, we are also cautious about the potential for product delays in the first half of the year, as the west coast port situation is gradually untangled. However, we believe the supply chain changes we implemented last fall should help mitigate most of the impact." For the full year, Brown Shoe projects earnings of $1.78 to $1.88 per share, on revenue of $2.61 billion to $2.63 billion. Analysts had expected earnings of $1.93 per share on revenue of $2.67 billion. Brown Shoe shares rose 0.25% to close at $32.06 yesterday.