CATO CORP (CATO) SEC Filings

CATO CORP (CATO) reported weaker operating results for the quarter ended August 1, 2026, as customer discretionary pressures and markdowns weighed on performance. Second-quarter total revenues fell to $165.5 million from $176.5 million, driven by a 6% retail sales decline and 3.7% lower same-store sales.

Quarterly net income dropped to $1.1 million from $6.8 million, with net margin compressing as cost of goods sold rose to 67.2% of retail sales and occupancy costs deleveraged. For the first six months, revenues declined 2.9% to $336.6 million, while net income edged up to $10.5 million, aided by a $5.7 million IEEPA tariff refund that reduced cost of goods sold.

Liquidity remains solid: cash, cash equivalents and restricted cash were $37.8 million, short-term investments $58.7 million, and the company had $55.0 million of working capital with no borrowings under its $35.0 million asset-based revolver. Management highlights new Section 301 tariffs and heightened customs enforcement as potential future margin and timing pressures, while SG&A dollars declined on lower payroll and equipment costs.

Cato Corporation (CATO) reported a sharp earnings decline for the second quarter ended August 1, 2026. Net income was $1.1 million or $0.06 per diluted share, down from $6.8 million or $0.35 a year earlier. Quarterly sales fell to $163.9 million, a 6% decrease, driven primarily by a 3.7% same-store sales decline.

Profitability weakened as gross margin fell from 36.2% to 32.8%, reflecting lower merchandise margins and deleveraging of occupancy costs. Year-to-date results were steadier: net income was $10.5 million versus $10.1 million on sales of $333.3 million versus $343.1 million, aided by lower SG&A spending. Cash and cash equivalents increased to $35.1 million, and stockholders’ equity rose to $167.9 million, but management highlighted ongoing consumer pressure from inflation, fuel prices and interest rates and expects the back half of 2026 to be challenging.

CATO CORP (CATO) received Amendment No. 13 to a Schedule 13G from private investor Amit Agarwal regarding holdings of its Class A Common Stock. Agarwal reports beneficial ownership of 690,000 shares, representing 3.79% of the class, with sole voting and sole dispositive power over all reported shares.

The amendment indicates that the filer now reports ownership of 5 percent or less of Cato Corp.'s Class A Common Stock. No transactions, purchase or sale prices, or additional financial information are described.

Group One Trading LLC reports beneficial ownership of Cato Corp Class A common stock. As of June 30, 2026, it may be deemed to beneficially own 1,000,368 shares, representing 5.0% of the class, based on 19,958,858 shares outstanding as of May 2, 2026. The reported position includes options to buy 1,005,400 shares. Group One has sole voting and dispositive power over the reported shares and is a market maker in Cato options, with both long and short call and put positions.

Amit Agarwal, a private investor, reports beneficial ownership of 1,300,000 shares of Cato Corp. Class A common stock on this amended Schedule 13G. This position represents 6.51% of the Class A common stock.

Agarwal has sole voting power and sole dispositive power over all 1,300,000 shares, with no shared voting or dispositive power reported.

The Cato Corporation reported sharply higher profitability for the quarter ended May 2, 2026. Net income rose to $9.3 million from $3.3 million a year earlier, with basic and diluted EPS increasing to $0.47 from $0.17.

Total revenues were broadly flat at $171.1 million versus $170.2 million, as retail sales edged up to $169.4 million on a 3% same-store sales gain, partly offset by store closures. The company operated 1,065 stores compared with 1,109 a year earlier.

Profitability benefited from lower cost of goods sold, which fell to 62.8% of retail sales from 64.9%, helped by a $5.7 million tariff refund recorded as a reduction in cost of goods sold and lower freight costs. SG&A declined to 31.8% of retail sales from 32.8% due to lower corporate payroll, insurance and maintenance expenses.

Cato ended the quarter with $25.4 million in cash and cash equivalents, $55.6 million in short-term investments and working capital of about $49.0 million, with no borrowings under its $35.0 million asset-based revolving credit facility. Management highlighted ongoing tariff uncertainty and rising fuel and inflation pressures that could weigh on customers’ discretionary spending.

The Cato Corporation reported much stronger first-quarter results. For the quarter ended May 2, 2026, net income was $9.3 million, or $0.47 per diluted share, compared with $3.3 million, or $0.17 per diluted share, a year earlier.

Sales were $169.5 million, up 0.7%, and same-store sales increased 3%. Gross margin rose to 37.2% from 35.1%, helped by a pre-tax $5.7 million IEEPA tariff refund, while selling, general and administrative expenses fell to $53.9 million. The company repurchased 107,823 shares, ended the quarter with 1,065 stores, and noted that higher fuel and food prices are pressuring customers’ discretionary income and may hurt future sales.

Shareholders re-elected three directors, approved the advisory vote on executive compensation, and ratified PricewaterhouseCoopers LLP as independent auditor.

Cato Corp. reports an ownership disclosure by Amit Agarwal. The filing states Mr. Agarwal beneficially owns 1,600,000 shares of Class A common stock, representing 8.90% of that class as of 05/21/2026. The filing shows he has sole voting and dispositive power over those shares.

Cato Corp. Schedule 13G/A reports that Amit Agarwal beneficially owns 1,400,000 shares of Class A Common Stock, representing 7.78% of the class as stated in Item 4. The filing lists sole voting and dispositive power over the cited shares and is signed on 05/20/2026.