$DBI

DSW Inc.

CIK:0001319947|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 01, 2026	Aug. 02, 2025	Aug. 01, 2026	Aug. 02, 2025
Net sales	$ 730,631	$ 739,762	$ 1,426,981	$ 1,426,671
Cost of sales		(417,269)		(809,697)
Gross profit	365,355	322,493	680,673	616,974
Operating expenses	(313,412)	(297,462)	(612,621)	(599,324)
Income from equity investment	2,780	2,578	5,541	5,005
Impairment charges	0	(1,466)	0	(4,419)
Operating profit	54,723	26,143	73,593	18,236
Interest expense on debt and tariff sale financing transaction, net of interest income (Note 1 and 10)	(25,385)	(11,783)	(35,510)	(23,754)
Non-operating income (expenses), net	1,244	(78)	1,239	(70)
Income (loss) before income taxes and loss from equity investment	30,582	14,282	39,322	(5,588)
Income tax provision	(10,031)	(3,408)	(14,836)	(1,219)
Loss from equity investment	(134)	0	(615)	0
Net income (loss)	20,417	10,874	23,871	(6,807)
Net income attributable to redeemable noncontrolling interest	(2,860)	(339)	(5,155)	(474)
Net income (loss) attributable to Designer Brands Inc.	$ 17,557	$ 10,535	$ 18,716	$ (7,281)
Earnings (loss) per share attributable to Designer Brands Inc.:
Basic loss per share (in dollars per share)	$ 0.34	$ 0.21	$ 0.37	$ (0.15)
Diluted loss per share (in dollars per share)	$ 0.31	$ 0.21	$ 0.34	$ (0.15)
Weighted average shares used in per share calculations:
Basic shares	50,894	49,109	50,567	48,678
Diluted shares	55,974	49,734	55,757	48,678
Total segment net sales
Net sales	$ 730,631	$ 739,762	$ 1,426,981	$ 1,426,671
Cost of sales	$ (365,276)	$ (417,269)	$ (746,308)	$ (809,697)

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Aug. 01, 2026	Aug. 02, 2025
Cash flows from operating activities:
Net income (loss)	$ 23,871	$ (6,807)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	28,267	29,664
Stock-based compensation expense	14,520	12,063
Deferred income taxes	5,864	(1,489)
Income from equity investments	(4,926)	(5,005)
Distributions received from equity investments	5,965	6,935
Impairment charges	0	4,419
Other	528	(260)
Change in operating assets and liabilities:
Receivables	(18,714)	(5,575)
Inventories	(32,872)	(8,714)
Prepaid expenses and other current assets	1,598	(118)
Accounts payable	21,519	(31,972)
Accrued expenses	7,133	16,309
Operating lease assets and liabilities, net	(4,517)	(8,373)
Net cash provided by operating activities	48,236	1,077
Cash flows from investing activities:
Cash paid for property and equipment	(22,251)	(16,753)
Other	0	(1,916)
Net cash used in investing activities	(22,251)	(18,669)
Cash flows from financing activities:
Borrowing on revolving credit facility	298,580	540,011
Payments on revolving credit facility	(307,920)	(512,187)
Payments for borrowings under Term Loan	(3,375)	(3,375)
Payments of debt issuance costs	(3,186)	0
Dividends paid	(4,961)	(4,805)
Cash paid for taxes for stock-based compensation shares withheld	(4,298)	(1,866)
Other	1,213	(1,296)
Net cash provided by (used in) financing activities	(23,947)	16,482
Effect of exchange rate changes on cash balances	(1,318)	1,295
Net increase in cash and cash equivalents	720	185
Cash and cash equivalents, beginning of period	50,871	44,752
Cash and cash equivalents, end of period	51,591	44,937
Supplemental disclosures:
Net cash paid (received) for income taxes	8,084	(2,660)
Cash paid for interest on debt and financing transaction	32,906	21,518
Operating cash paid for operating lease liabilities	106,670	107,287
Operating cash paid for finance leases	1,363	463
Financing cash paid for finance leases	1,329	370
Non-cash investing and financing activities
Property and equipment purchases not yet paid	2,204	3,534
Contribution of intangible asset to equity investment	0	2,700
Operating lease liabilities arising from lease asset additions	9,172	36,617
Finance lease liabilities arising from lease asset additions	0	32,482
Net increase to operating lease assets and lease liabilities for modifications	$ 93,135	$ 53,788

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Aug. 01, 2026	Jan. 31, 2026	Aug. 02, 2025
ASSETS
Cash and cash equivalents	$ 51,591	$ 50,871	$ 44,937
Receivables, net	80,397	61,716	57,607
Inventories	594,688	563,547	610,876
Prepaid expenses and other current assets	36,252	34,286	40,437
Total current assets	762,928	710,420	753,857
Property and equipment, net	208,965	213,291	227,141
Operating lease assets	694,367	675,648	716,685
Goodwill	130,601	130,837	130,716
Intangible assets, net	79,614	81,242	81,881
Deferred tax assets	30,018	35,882	45,067
Equity investments	55,153	56,260	59,446
Other assets	46,496	46,325	48,870
Total assets	2,008,142	1,949,905	2,063,663
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST, AND SHAREHOLDERS' EQUITY
Accounts payable	256,081	236,195	239,200
Accrued expenses	192,213	178,430	177,491
Current maturities of long-term debt	6,750	6,750	6,750
Current operating lease liabilities	172,454	175,515	157,212
Total current liabilities	627,498	596,890	580,653
Long-term debt	416,309	428,206	509,593
Non-current operating lease liabilities	613,503	596,587	646,431
Other non-current liabilities	43,482	46,606	48,201
Total liabilities	1,700,792	1,668,289	1,784,878
Commitments and contingencies (Note 10)
Redeemable noncontrolling interest	6,232	1,616	1,738
Shareholders' equity:
Common shares paid in-capital, no par value	1,072,207	1,061,957	1,055,199
Treasury shares, at cost	(833,351)	(833,351)	(833,351)
Retained earnings	71,138	57,383	62,743
Accumulated other comprehensive loss	(8,876)	(5,989)	(7,544)
Total shareholders' equity	301,118	280,000	277,047
Total liabilities, redeemable noncontrolling interest, and shareholders' equity	$ 2,008,142	$ 1,949,905	$ 2,063,663