NASHVILLE - Genesco Inc . (NYSE: GCO ) saw its shares surge 7% after the footwear retailer reported third-quarter earnings that surpassed analyst estimates and raised its full-year outlook.

The company reported adjusted earnings per share of $0.61 for the third quarter, significantly beating the analyst consensus of $0.22. Revenue came in at $596.3 million, also topping expectations of $573.36 million.

Comparable sales increased 6% in the quarter, driven by an 11% jump at the company's Journeys brand. E-commerce sales were particularly strong, rising 15% compared to the same period last year.

"Our quarterly performance once again exceeded expectations and marked a return to positive overall comparable sales," said Mimi E. Vaughn, Genesco's Board Chair, President and Chief Executive Officer.

Based on the strong results, Genesco raised its fiscal 2025 guidance. The company now expects total sales to be down 1% to flat compared to fiscal 2024, or flat to up 1% excluding the 53rd week in fiscal 2024. This is an improvement from previous expectations of a 1% to 2% sales decline.

Adjusted earnings per share for fiscal 2025 are now projected to be in the range of $0.80 to $1.00, up from the prior guidance of $0.60 to $1.00 and above the analyst consensus of $0.76.

Genesco ended the quarter with 1,302 stores, down 4% from 1,360 stores at the end of the third quarter last year. The company closed 14 stores during the quarter as part of its ongoing cost-saving initiatives.

"We are in the very early innings of returning Journeys and the overall company to historical rates of sales and profitability," Vaughn added, expressing confidence in the company's strategies to drive profitable growth.

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