Shoe Carnival Inc. (NASDAQ:SCVL) Q1 2020 Earnings Conference Call - Final Transcript
May 20, 2020 • 04:30 pm ET
Good afternoon and welcome to Shoe Carnival's First Quarter Fiscal 2020 Earnings Conference Call. Today's conference is being recorded. It is also being broadcast via webcast. Any reproduction or rebroadcast of any portion of this call is expressly prohibited.
Management's remarks may contain forward-looking statements that involve a number of risk factors. These risk factors could cause the Company's actual results to be materially different from those projected in such statements. Forward-looking statements should also be considered in conjunction with the discussion of risk factors, including -- included in the Company's SEC filings and today's earnings press release. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of today's date. The Company disclaims any obligation to update any of the risk factors or to publicly announce any revisions to the forward-looking statements discussed on today's conference call or contained in today's press release to reflect future events or developments.
I'll now turn the call over to Mr. Cliff Sifford, Vice Chairman and CEO of Shoe Carnival, for opening comments. Mr. Sifford, you may begin, sir.
Clifton E. Sifford
Thank you, and welcome to Shoe Carnival's 2020 first quarter earnings conference call. Joining me on today's call is Mark Worden, President and Chief Customer Officer; and Kerry Jackson, Senior Executive Vice President, Chief Financial and Administrative Officer. On today's call, I'll provide an update on the ongoing COVID-19 pandemic and the impact it has had on our business, as well as updates on our store reopenings and expectations as we move forward. Mark will then discuss our strategic initiatives and how our historic investments have positioned us well to weather the storm, followed by Kerry, who will discuss the quarter's financial results. We'll then open the call for your questions.
Let me start off with a business update on the impact of COVID-19. First and foremost, we hope you and your loved ones are staying safe and healthy. When we last spoke, the initial impact of the COVID-19 pandemic was just starting to materialize. Since then, we have been met with unprecedented challenges as we look to protect our customers, store employees and corporate staff. The fiscal first quarter was really a tale of two completely different environments. The quarter began well with solid traffic driving a comparable store sales increase of 3.9% through the 12th of March. As the COVID-19 virus spread quickly, by mid-March it became clear that our employees, customers and the communities we serve were at risk. As a result, on March 18 we made the difficult decision to temporarily close our stores. Further, as soon as we saw evidence of traffic declines in our stores, we immediately shifted our marketing efforts toward our e-commerce platform to ensure our loyal customers knew that we were able to continue to meet their needs even in a virtual world. This strategic decision has clearly paid off, which I'll discuss in a moment.
I would be remiss to not first and foremost, thank our employees for their