Genesco has reported a three per cent rise in first-quarter sales despite a decline at its UK footwear retailer Schuh.

The Nashville-based group, which owns Journeys, Johnston & Murphy and Schuh, posted sales of $487m for the first quarter of fiscal 2027, up from $474m a year earlier.

Comparable sales rose two per cent, marking its seventh consecutive quarter of positive comparable growth.

Journeys sales increased five per cent during the quarter, while Johnston & Murphy climbed six per cent and Genesco Brands rose four per cent. However, Schuh sales fell five per cent, with comparable sales down nine per cent as the business pulled back on promotions and shifted towards a more full-price selling model.

Genesco narrowed its net loss to $14.8m, compared with a $21.2m loss in the same period last year. Adjusted gross margin improved 30 basis points to 47 per cent, while adjusted selling and administrative expenses fell 60 basis points as a proportion of sales.

Genesco board chair, president, chief executive and interim chief financial officer Mimi Vaughn said the company had delivered “a solid start” to the year following a strong end to fiscal 2026.

“The execution of our strategic initiatives continues to translate into tangible results,” Vaughn said.

“Journeys’ comparable sales grew mid-single-digits on top of a high-single-digit gain last year, as our work around product elevation and customer experience continues to drive market share gains.

“At the same time, Johnston & Murphy’s comparable sales accelerated sharply, increasing high-single-digits, while Schuh’s comparable sales performance reflects our decision to pull back on promotions and prioritise a more full-price selling model.”

The company said Schuh’s performance had been affected by reduced promotional activity, weaker store traffic and lower ecommerce demand, particularly as online shoppers responded to fewer discounts.

Genesco said it expected the Schuh turnaround to take longer than Journeys due to a tougher UK consumer backdrop and the need to reduce reliance on markdowns.

Looking ahead, the group maintained its expectation that full-year sales will be down 1 per cent to flat, reflecting the impact of store closures and licence exits. However, it raised its full-year adjusted earnings per share guidance to between $2 and $2.40.

The retailer also announced a $40m to $50m cost savings programme running through to fiscal 2029, which will focus on areas including store efficiencies, IT transformation, automation and distribution centre productivity.