Joshua Herrity's questions to Caleres Inc (CAL) leadership • Q2 2024
Question
Joshua Herrity of Telsey Advisory Group asked for details on demand trends by category, the resulting impact on inventory and gross margin for the second half, and clarification on the scope of the ERP implementation and future system upgrade plans.
Answer
CEO John Schmidt explained that the company has successfully pivoted to sneakers, is managing boot inventory appropriately, and has adjusted its dress business. CFO Jack Calandra clarified the ERP upgrade impacted the Brand Portfolio and core financial systems. Schmidt added that all other future system upgrades are on hold to ensure the current system is fully stabilized before proceeding.