Cato to close 120 stores in 2026
- The Cato Corporation (NYSE:CATO) plans to close about 70 additional underperforming stores in the second half of fiscal 2026.
- Total planned fiscal 2026 store closures will reach approximately 120 locations.
- The company expects $1 million to $1.3 million in exit costs for the additional closures.
The Cato Corporation (NYSE:CATO) plans to close approximately 70 additional underperforming stores during the third and fourth quarters of fiscal 2026, bringing total planned store closures for the year to about 120 locations.
The company said the additional closures are part of an effort to reduce costs associated with lower-performing locations and improve future operating results.
The company expects to record between $1 million and $1.3 million in exit costs through the end of 2026, mainly related to disposing of signage and fixtures and returning store systems to corporate.
The Cato Corporation operates women’s fashion retail stores under brands including Cato, Versona and It’s Fashion, serving customers through locations across the United States.
The company said all affected stores are at the end of their lease terms, meaning Cato will not incur rent expenses on those locations beyond 2026.
