EXHIBIT 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE

For Further Information Contact:

Charles D. Knight

Executive Vice President

Chief Financial Officer

InvestorRelations@catocorp.com

CATO REPORTS3Q RESULTS

CHARLOTTE, N.C. (November 21, 2024) – The Cato Corporation (NYSE:CATO)today reported a net loss of $15.1

million or ($0.79) per diluted share for the third quarter ended November2, 2024, compared to a net loss of $6.1 million

or ($0.30) per diluted share for the third quarter ended October 28, 2023.

Sales for the third quarter ended November 2, 2024 were $144.6 million,a decrease of 8% from sales of $156.7 million

for the third quarter ended October 28, 2023.The Company’s same-store sales for the quarter decreased 3% compared to

2023.

For the nine months ended November 2, 2024, the Company reported a net loss of$4.0 million or ($0.24) per diluted

share, compared to net loss of $0.5 million or ($0.02) per diluted sharefor the nine months ended October 28, 2023.Sales

for the nine months ended November 2, 2024 were $486.8 million,a decrease of 8% to sales of $528.2 million for the

nine months ended October 28, 2023.Year-to-date same-store sales decreased 4% compared to 2023.

“Our third quarter sales trend deteriorated from second quarter, in part due to three major hurricanes overa five week

span, supply chain issues causing late merchandise receipts to the storesand continued negative pressure on our

customers’ disposable income,” stated John Cato, Chairman,President, and Chief Executive Officer.“We are managing

both SG&A expenses and inventory levels in line with our currentsales trend.However, we continue to incur higher

costs to move inventory to our stores due to the bankruptcy of a carrierthat previously serviced 50% of our stores, as well

as, higher distribution costs associated with conversion issues for a distributioncenter systems and automation upgrade.

We believe that the fourth quarter will remain challenging.”

Gross margin decreased from 32.5% to 28.8% of sales in the quarter due to highermarkdowns, as well as, increased

freight, distribution and occupancy costs as a percent of sales.SG&A expenses as a percent of sales increased from

39.4% to 40.0% of sales during the quarter primarily due to deleveragingof payroll costs, partially offset by lower

advertising and insurance expenses.SG&A expenses were $3.9 million lower than last year dueto lower payroll,

advertising and insurance costs. Tax expense for the quarter was $0.3 million versus a tax benefit of $4.3 million inthe

prior year, primarily due to valuation allowances against net deferred tax assets.

Year-to-date gross margin decreased to 33.3% of sales from 34.6% in the prior year primarilydue to increased occupancy,

freight and distribution costs as a percent of sales, partially offset by increased merchandisemargins.The year-to-date

SG&A rate was 35.5% versus 35.1% primarily due to deleveragingof payroll costs and insurance costs, partially offset by

lower advertising costs.SG&A expenses were $12.5 million lower than last year due to lowerpayroll, insurance and

advertising costs. Tax expense for the nine-month period was $1.6 million compared to $0.8 million tax benefit last year,

primarily due to valuation allowances against net deferred tax assets.

During the third quarter ended November 2, 2024, the Companyopened one store.Year-to-date, the Company opened

one store and closed 13 stores.As of November 2, 2024, the Company has 1,167 stores in 31 states,compared to 1,245

stores in 31 states as of October 28, 2023.

The Cato Corporation is a leading specialty retailer of value-priced fashion appareland accessories operating three

concepts, “Cato,” “Versona” and “It’sFashion.”The Company’s Cato stores offer exclusive merchandise with fashion

and quality comparable to mall specialty stores at low prices everyday.The Company also offers exclusive merchandise

found in its Cato stores at www.catofashions.com.Versonais a unique fashion destination offering apparel and

accessories including jewelry, handbags and shoes at exceptional prices every day.Select Versonamerchandise can also

be found at www.shopversona.com.It’s Fashion offers fashion with a focus on the latest trendy styles for the entire

family at low prices every day.

Statements in this press release that express a belief, expectation or intention, as well as those that are not a historical

fact,

including, without limitation, statements regarding the Company’sexpected or estimated operational financial

results, activities or opportunities, and potential impacts and effects of the coronavirus are considered “forward-looking”

within the meaning of The Private Securities Litigation Reform Actof 1995.Such forward-looking statements are based

on current expectations that are subject to known and unknown risks, uncertainties and other factors that could cause

actual results to differ materially from those contemplated by the forward-looking statements.Such factors include, but

are not limited to, any actual or perceived deterioration in the conditions that drive consumer confidence and spending,

including, but not limited to, prevailing social, economic, political and public health conditionsand uncertainties, levels

of unemployment, fuel, energy and food costs, wage rates, tax rates, interest rates, home values, consumer net worth and

the availability of credit; changes in laws or regulations affecting our business including but not limited to tariffs;

uncertainties regarding the impact of any governmental action regarding, or responses to, the foregoing conditions;

competitive factors and pricing pressures; our ability to predict and respond to rapidly changing fashion trends and

consumer demands; our ability to successfully implement our newstore development strategy to increase new store

openings and the ability of any such new stores to grow and perform as expected; adverse weather, public health threats

(including the global coronavirus (COVID-19) outbreak) or similar conditions that may affect our sales or operations;

inventory risks due to shifts in market demand, including the abilityto liquidate excess inventory at anticipated margins;

and other factors discussed under “Risk Factors” in Part I, Item 1Aof the Company’smost recently filed annual report

on Form 10-K and in other reports the Company files with or furnishes to the SEC from time to time.The Company does

not undertake to publicly update or revise the forward-looking statements even if experience or future changes make it

clear that the projected results expressed or implied therein will not be realized. The Company is not responsible for any

changes made to this press release by wire or Internet services.

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THE CATO CORPORATION

CONDENSED CONSOLIDATED STATEMENTSOF INCOME (UNAUDITED)

FOR THE PERIODS ENDED November 2, 2024 AND October 28, 2023

(Dollars in thousands, except per share data)

Quarter Ended

Six Months Ended

November 2,

%

October 28,

%

November 2,

%

October 28,

%

2024

Sales

2023

Sales

2024

Sales

2023

Sales

REVENUES

Retail sales

$

144,642

100.0%

$

156,682

100.0%

$

486,848

100.0%

$

528,174

100.0%

Other revenue (principally finance,

late fees and layaway charges)

1,528

1.1%

1,574

1.0%

5,049

1.0%

5,003

0.9%

Total revenues

146,170

101.1%

158,256

101.0%

491,897

101.0%

533,177

100.9%

GROSS MARGIN (Memo)

41,687

28.8%

50,850

32.5%

162,266

33.3%

182,638

34.6%

COSTS AND EXPENSES, NET

Cost of goods sold

102,955

71.2%

105,832

67.5%

324,582

66.7%

345,536

65.4%

Selling, general and administrative

57,876

40.0%

61,792

39.4%

172,809

35.5%

185,344

35.1%

Depreciation

2,737

1.9%

2,504

1.6%

7,106

1.5%

7,371

1.4%

Interest and other income

(2,646)

-1.8%

(1,523)

-1.0%

(10,209)

-2.1%

(3,754)

-0.7%

Costs and expenses, net

160,922

111.3%

168,605

107.6%

494,288

101.5%

534,497

101.2%

Income Before Income Taxes

(14,752)

-10.2%

(10,349)

-6.6%

(2,391)

-0.5%

(1,320)

-0.3%

Income Tax Expense

322

0.2%

(4,272)

-2.7%

1,614

0.3%

(797)

-0.2%

Net Income (Loss)

$

(15,074)

-10.4%

$

(6,077)

-3.9%

$

(4,005)

-0.8%

$

(523)

-0.1%

Basic Earnings Per Share

$

(0.79)

$

(0.30)

$

(0.24)

$

(0.02)

Diluted Earnings Per Share

$

(0.79)

$

(0.30)

$

(0.24)

$

(0.02)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

THE CATO CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

November 2,

February 3,

2024

2024

(Unaudited)

(Unaudited)

ASSETS

Current Assets

Cash and cash equivalents

$

20,216

$

23,940

Short-term investments

65,994

79,012

Restricted cash

3,355

3,973

Accounts receivable - net

24,776

29,751

Merchandise inventories

107,159

98,603

Other current assets

8,705

7,783

Total Current Assets

230,205

243,062

Property and Equipment - net

62,648

64,022

Other Assets

19,783

25,047

Right-of-Use Assets, net

111,769

154,686

TOTAL

$

424,405

$

486,817

LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities

$

123,697

$

126,900

Current Lease Liability

45,836

61,108

Noncurrent Liabilities

14,555

14,475

Lease Liability

63,218

92,013

Stockholders' Equity

177,099

192,321

TOTAL

$

424,405

$

486,817

 

 

 

EXHIBIT 99.2

NEWS RELEASE

FOR IMMEDIATE RELEASE

For Further Information Contact:

Charles D. Knight

Executive Vice President

Chief Financial Officer

InvestorRelations@catocorp.com

THE CATOCORPORATION SUSPENDS REGULAR QUARTERLYDIVIDEND

CHARLOTTE, N.C. (November 21, 2024) – In light of the current economic conditions and current sales trends

the Board of Directors of The Cato Corporation (NYSE: CATO)suspended the regular quarterly dividend.

Statements in this press releasethat express a belief, expectation or intention, aswell as those that are not a historical fact,

i

ncluding,

without limitation, statements regardingthe Company’sexpected or estimated operational financial results,activities or

opportunities, and potential impacts and effects of interestrates, inflation or other factors that may affect our customers’

discretionary spending or our costs areconsidered “forward-looking”within the meaning of The Private Securities Litigation Reform

Act of 1995.Such forward-looking statements arebased on current expectations that aresubject to known and unknown risks,

uncertainties and other factors that could cause actual resultsto differ materially from those contemplatedby the forward-looking

statements.Such factors include, but are not limited to, anyactual or perceived deterioration in, or continuationof negative trends in,

the conditions that drive consumer confidence and spending, including,but not limited to, prevailing social, economic,political and

public health conditions and uncertainties, levels of unemployment, fuel,energy and food costs, inflation, wage rates, tax rates,

interest rates, home values, consumer net worth andthe availability of credit; changes in laws, regulationsor government policies

affecting our business including but not limited to tariffs; uncertainties regardingthe impact of any governmental action regarding,or

responses to, the foregoingconditions; competitive factors and pricing pressures;our ability to predict and respondto rapidly

changing fashion trends and consumer demands;our ability to successfully implement our new store developmentstrategy to increase

new store openings and the ability of any such newstores to grow and performas expected; underperformance or other factors that

may lead to, or affect the volume of, store closures;adverse weather,public health threats (including the globalcoronavirus (COVID-

19) outbreak), acts of war or aggressionor similar conditions that may affect our merchandisesupply chain, sales or operations;

inventory risks due to shifts in market demand, including the ability to liquidateexcess inventory at anticipated margins; adverse

developments or volatility affecting the financial services industry or broaderfinancial markets; and other factors discussed under

“Risk Factors” in Part I, Item 1Aof the Company’smost recently filed annual reporton Form 10-K and in other reports the

Company files with or furnishes to the SEC from time totime.The Company does not undertake to publicly update or revisethe

forward-looking statements even if experienceor future changes make it clear that the projectedresults expressed or impliedtherein

will not be realized. The Company is not responsiblefor any changes made to this press releaseby wire or Internet services.

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