Fashion retailer Cato reported its financial results for the first quarter ended May 3, 2025, reporting a net income of 3.3 million dollars, or 17 cents per diluted share, a decrease compared to the 11 million dollars, or 54 cents per diluted share, recorded in the same period last year.
The retailer's sales for the quarter also saw a dip, falling by 4 percent to 168.4 million dollars, while same-store sales remained flat.
John Cato, chairman, president and CEO, attributed the negative results to customers' cautious approach to discretionary spending. "While our sales trend improved later in the quarter, the general uncertainty regarding the economy and the potential impact of the proposed tariffs has us cautious about the remainder of the year," Cato said.
During the quarter, Cato closed eight stores, ending the period with 1,109 stores across 31 states, a decrease from the 1,171 stores operated in the previous year.