Cato Corp Q1 net income surges to $9.3M on tariff refund, same-store sales up 3%

Cato Corporation reported Q1 FY2026 net income of $9.3 million ($0.47 per diluted share), more than double prior year, driven largely by a $5.7 million IEEPA tariff refund claim and 3% same-store sales growth. The company faces headwinds from inflation pressuring customer discretionary spending and operates 44 fewer stores year-over-year, though SG&A expenses improved to 31.8% of sales.