Movado Group, Inc. (NYSE: MOV) Q1 2026 Earnings Call | 5/29/2025

23 days ago

19:31

Inside Ticker

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Movado Group’s Q1 FY2026 earnings call reported net sales of $131.8 million, down 1.9% (1% in constant currency) from $134.4 million last year. Adjusted operating income was $0.9 million, down from $2.1 million, and adjusted EPS was $0.08, slightly below $0.09 last year. Gross margin was 54.1% vs. 54.3%, impacted by currency fluctuations, higher shipping costs, and fixed cost deleverage, offset by favorable product mix. Operating expenses were $70.5 million, slightly down from $70.8 million, with cost savings offset by unrealized currency losses and higher performance-based compensation. The company ended with $203.1 million in cash, no debt, and paid a $0.35 per share dividend. U.S. sales fell 1.6%, international sales dropped 2.2% (0.7% in constant currency). The Movado brand saw success with new Mini Bangle and Bold Mini Quest collections and NBA star Tyrese Halliburton’s ambassadorship, boosted by social media. Licensed brands grew high single digits, with strong performances from Coach, Hugo Boss, Lacoste, Calvin Klein, Tommy Hilfiger, and Olivia Burton. Outlet sales improved, down only 1.7%, with trends continuing into Q2. Tariff impacts are being mitigated through selective price increases, but no FY2026 outlook was provided due to macroeconomic and tariff uncertainties. The company remains focused on innovation, value, and cost management, with a strong balance sheet and inventory up $24.1 million due to receipt timing.

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Movado Group, Inc. (NYSE: MOV) reported Q1 2026 results on May 29, 2025, missing Wall Street expectations amid a challenging retail and macroeconomic environment. Net sales fell 1.9% year-over-year to $131.8 million, with U.S. sales down 1.6% and international sales down 2.2%. Adjusted earnings per share came in at $0.08, well below the $0.39 consensus and down from $0.09 a year ago, while adjusted operating income dropped to $870,000 from $2.1 million last year. Gross margin held steady at 54.1%, but operating income was pressured by currency fluctuations and higher performance-based compensation. Despite the earnings shortfall, Movado maintained its strong financial position, ending the quarter with $203.1 million in cash and no debt. The Board declared a quarterly dividend of $0.35 per share, underscoring the company’s commitment to shareholder returns. CEO Efraim Grinberg highlighted ongoing investment in product innovation and operational efficiency, with new collections like the Mini Bangle and Bold Mini Quest receiving a positive consumer response. Licensed brands such as Coach, Hugo Boss, and Lacoste showed resilience, offsetting softness in owned brands and company stores. Looking ahead, Movado refrained from providing a full-year outlook due to ongoing economic uncertainty and tariff risks but is taking proactive steps—including selective price increases and cost-saving initiatives—to navigate the volatile landscape. The company remains focused on brand refresh efforts and digital marketing to reach younger consumers and drive long-term growth. About Inside Ticker: For more expert analysis and real-time updates on Movado Group, Inc. (NYSE: MOV) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #Movado #MOV #EarningsCall #Q12026 #LuxuryGoods #Dividend #RetailStocks #StockMarket #Investing #InsideTicker

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