CATO news

CATO Corporation plans to close approximately 120 stores in fiscal 2026 to exit underperforming locations and improve future operating results due to current economic pressures. The company expect to incur $1.0 to $1.3 million in exit costs.

Cato reported a 2Q net income of $1.1M compared to $6.8M a year ago as sales decreased despite store closures. Due to continued pressure from inflation and interest rates, management anticipates the back half of 2026 to remain challenging.

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 …