Fourth quarter net sales at Designer Brands Inc. increased 35 percent to 822.6 million dollars, while comparable sales increased by 36.9 percent.
Gross profit increased to 254.2 million dollars and gross margin as a percentage of net sales was 30.9 percent compared to 22.2 percent for 2020 and 24.8 percent for the fourth quarter of 2019. Reported net income was 14.4 million dollars or diluted EPS of 19 cents, while adjusted net income was 11.7 million dollars or diluted EPS of 15 cents.
Commenting on the trading performance, Roger Rawlins, the company’s chief executive officer, stated: "Our flexible business model supported by our dedicated and hardworking associates has allowed us to emerge from this unprecedented operating environment in a position of strength both strategically and financially.”
For the full year, the company’s net sales increased 43 percent to 3.2 billion dollars and comparable sales increased by 51.6 percent.
Gross profit increased to 1.1 billion dollars, representing an over 240 percent increase and gross margin as a percentage of net sales was 33.4 percent compared to 13.9 percent last year and 28.6 percent in 2019.
Reported net income was 154.5 million dollars or diluted EPS of 2 dollars, while adjusted net income was 131.2 million dollars or diluted EPS of 1.70 dollars.
During the fourth quarter of 2021, the company closed seven stores in the U.S. and four stores in Canada with no new stores opened, resulting in a total of 508 U.S. stores and 140 Canadian stores as of the end of 2021.
For fiscal 20211, the company expects comparable sales growth in the high-single digits and diluted EPS in the range of 1.75 dollars to 1.85 dollars.