Cato Q1 net income rises to $9.3 million on tariff refund; sales up 0.7%
The Cato Corporation reported first-quarter net income of $9.3 million, or $0.47 per diluted share, versus $3.3 million, or $0.17, a year earlier, with sales of $169.5 million, up 0.7%. Management said the results were significantly helped by an IEEPA tariff refund claim and expects sales to be negatively affected by rising inflation, especially fuel and food prices.
Key points
- Net income was $9.3 million, or $0.47 per diluted share, for the quarter ended May 2, 2026, compared with $3.3 million, or $0.17, a year earlier.
- Sales were $169.5 million, up 0.7%, and same-store sales increased 3%.
- A pre-tax $5.7 million tariff refund claim helped lift gross margin to 37.2% of sales from 35.1%.
- Management expects sales to be negatively affected by inflation, especially fuel and food prices, and the company operated 1,065 stores as of May 2, 2026.
The filing
Written by AI on Nov 9, 2026, 8:51 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on May 26, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.