Group 1 - Steven Madden reported quarterly earnings of $0.55 per share, exceeding the Zacks Consensus Estimate of $0.54 per share, but down from $0.61 per share a year ago, representing an earnings surprise of 1.85% [1] - The company achieved revenues of $582.32 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 6.15% and increasing from $519.71 million year-over-year [2] - Over the last four quarters, Steven Madden has consistently surpassed consensus EPS and revenue estimates [2] Group 2 - The stock has underperformed, losing approximately 10.9% since the beginning of the year, while the S&P 500 has gained 1.3% [3] - The current consensus EPS estimate for the upcoming quarter is $0.66 on revenues of $577.04 million, and for the current fiscal year, it is $2.81 on revenues of $2.35 billion [7] - The Shoes and Retail Apparel industry, to which Steven Madden belongs, is currently ranked in the bottom 16% of over 250 Zacks industries, indicating potential challenges ahead [8]

Revenue Growth - Full Year 2024 revenue increased by 15.2% to $2,282.9 million, compared to $1,981.6 million in 2023[7] - Fourth Quarter 2024 revenue rose by 12.0% to $582.3 million, compared to $519.7 million in the same period of 2023[7] - The wholesale business revenue in Q4 2024 was $402.9 million, a 13.6% increase year-over-year[8] - Direct-to-consumer revenue in Q4 2024 was $176.0 million, an 8.4% increase compared to Q4 2023[9] Earnings and Profitability - Adjusted diluted EPS for 2024 increased by 9% to $2.67, compared to $2.45 in 2023[7] - Adjusted diluted income per share for the twelve months ended December 31, 2024, was $2.67, up from $2.45 in 2023, an increase of 9.0%[28] - Net income for the twelve months ended December 31, 2024, was $175,902 thousand, a slight increase from $173,975 thousand in 2023, reflecting a growth of 1.1%[24] - Adjusted net income attributable to Steven Madden, Ltd. for the twelve months ended December 31, 2024, was $192,390 thousand, compared to $182,683 thousand in 2023, marking a 5.9% increase[28] Financial Position - As of December 31, 2024, cash and short-term investments totaled $203.4 million, with inventory at $257.6 million[11] - Total assets increased to $1,411,771 thousand as of December 31, 2024, up from $1,347,943 thousand in 2023, representing a growth of 4.7%[22] - Total stockholders' equity increased to $875,997 thousand in 2024 from $848,032 thousand in 2023, a growth of 3.3%[22] - Cash and cash equivalents decreased to $189,924 thousand at the end of 2024 from $204,640 thousand in 2023, a decline of 7.3%[24] - Total current liabilities rose to $413,721 thousand in 2024, up from $377,624 thousand in 2023, indicating an increase of 9.5%[22] Capital Expenditures - Capital expenditures for the year were $25,911 thousand, compared to $19,470 thousand in 2023, representing a 33.4% increase[24] Future Outlook - The company expects 2025 revenue to increase by 17% to 19% compared to 2024, with diluted EPS projected between $2.30 and $2.40[13] - The company plans to close the acquisition of Kurt Geiger in Q2 2025, which is expected to enhance growth in international markets and direct-to-consumer channels[6] Dividends - A quarterly cash dividend of $0.21 per share was approved, payable on March 21, 2025[12] Operating Expenses - For Q4 2024, the company incurred a pre-tax expense of $1.8 million ($1.3 million after-tax) related to severances and related charges, included in operating expenses[29] - The company reported a pre-tax expense of $3.4 million ($2.6 million after-tax) for legal settlements and related fees in Q4 2024, included in operating expenses[29] - A pre-tax expense of $3.6 million ($2.8 million after-tax) was recorded for acquisitions, joint ventures, and reorganization of foreign entities in Q4 2024, included in operating expenses[29] - The company recognized a pre-tax benefit of $2.9 million ($2.2 million after-tax) from the change in valuation of a contingent consideration liability related to the acquisition of Almost Famous[29] Historical Expenses - For the full year 2023, the company reported a pre-tax expense of $6.5 million ($5.0 million after-tax) due to trademark impairment[31] - The company incurred a pre-tax expense of $2.4 million ($1.9 million after-tax) for acquisitions and joint ventures in the full year 2023, included in operating expenses[31] - A pre-tax expense of $2.7 million ($2.3 million after-tax) was recorded for the write-off of an investment in a subsidiary in Asia during the full year 2023[31] - The company reported a pre-tax expense of $3.8 million ($2.9 million after-tax) related to severances, termination benefits, and corporate office relocation in the full year 2023[31] - A pre-tax expense of $10.3 million ($7.9 million after-tax) was incurred for trademark impairments in Q4 2023[30] - The company recognized a pre-tax expense of $2.0 million ($1.5 million after-tax) for the purchase accounting fair value adjustment of inventory acquired in the Almost Famous acquisition, included in cost of goods sold for the full year 2023[31]

Core Viewpoint - Steve Madden reported strong financial results for 2024, with a revenue increase of 15% and an adjusted diluted EPS growth of 9% compared to 2023, while providing a cautious outlook for 2025 due to anticipated headwinds from new tariffs and the pending acquisition of Kurt Geiger [5][6]. Full Year 2024 Results - Revenue for 2024 was $2,282.9 million, a 15.2% increase from $1,981.6 million in 2023 [7]. - Adjusted diluted EPS for 2024 was $2.67, compared to $2.45 in 2023 [7]. - Gross profit margin decreased to 41.0% from 42.0% in 2023 [7]. - Operating expenses as a percentage of revenue improved to 30.0% from 30.6% in 2023 [7]. Fourth Quarter 2024 Results - Fourth quarter revenue was $582.3 million, a 12.0% increase from $519.7 million in Q4 2023 [7]. - Net income for the fourth quarter was $34.8 million, or $0.49 per diluted share, compared to $35.9 million, or $0.49 per diluted share in Q4 2023 [7]. - Direct-to-consumer revenue increased by 8.4% in Q4 2024, driven by both brick-and-mortar and e-commerce sales [9]. Channel Performance - Wholesale revenue in Q4 2024 was $402.9 million, a 13.6% increase year-over-year, with wholesale accessories/apparel revenue up 35.4% [8]. - Direct-to-consumer gross profit margin was 62.0%, down from 62.7% in Q4 2023 due to increased promotional activity [9]. Balance Sheet and Cash Flow - As of December 31, 2024, cash and cash equivalents totaled $203.4 million, with inventory at $257.6 million [11]. - The company repurchased approximately $98.4 million of its common stock during the year [11]. 2025 Outlook - For 2025, the company expects revenue growth of 17% to 19% compared to 2024, with diluted EPS projected between $2.30 and $2.40 [13]. - The outlook assumes the acquisition of Kurt Geiger will close on May 1, 2025, which is expected to enhance growth opportunities [6][13].

Core Viewpoint - Analysts project that Steven Madden (SHOO) will report quarterly earnings of $0.54 per share, reflecting an 11.5% decline year over year, while revenues are expected to reach $548.56 million, marking a 5.6% increase from the same quarter last year [1] Earnings Estimates - The consensus EPS estimate has been revised downward by 6.1% in the past 30 days, indicating a reassessment by covering analysts [2] - Revisions to earnings projections are crucial for predicting investor behavior and are linked to short-term stock price performance [3] Revenue Projections - Total Revenue - Net Sales is estimated at $546.24 million, representing a 5.6% increase year over year [5] - Total Revenue - Wholesale Accessories/Apparel is projected to reach $142.08 million, indicating a 9.6% year-over-year change [5] - Total Revenue - Wholesale is expected to be $370.96 million, reflecting a 4.6% increase from the prior year [5] - Revenue - Direct-to-Consumer is forecasted at $173.69 million, showing a 7% year-over-year change [6] - Total Revenue - Wholesale Footwear is estimated at $228.88 million, indicating a 1.7% increase year over year [6] Operational Income - Income from operations - Wholesale Accessories/Apparel is estimated at $16.35 million, down from $35.96 million reported in the same quarter last year [7] Stock Performance - Over the past month, shares of Steven Madden have declined by 6.6%, compared to a 1.8% decline in the Zacks S&P 500 composite [7] - Currently, SHOO holds a Zacks Rank 5 (Strong Sell), suggesting potential underperformance in the near future [7]

Core Viewpoint - Steven Madden, Ltd. (SHOO) is expected to report a year-over-year increase in revenues for the fourth quarter of 2024, with a consensus estimate of $548.6 million, reflecting a 5.6% increase from the previous year [1][2]. Revenue Performance - The company's revenues are projected to grow due to strategic initiatives, including a focus on direct-to-consumer (DTC) sales, diversification into accessories and apparel, and strengthening international presence [4][7]. - DTC channel revenues are anticipated to increase by 6.8% year over year in the fourth quarter, driven by enhancements in e-commerce and digital marketing strategies [5]. - Wholesale revenues are expected to grow by 4.7% year over year, with wholesale accessories projected to increase by 7.5% and wholesale footwear by 3% [6]. Earnings Performance - Despite the revenue growth, the earnings per share (EPS) is expected to decline by 11.5% year over year, with a consensus estimate of 54 cents [3]. - The company has delivered a trailing four-quarter earnings surprise of 9.8% on average, with the last quarter's earnings surpassing the Zacks Consensus Estimate by 2.3% [3]. Operating Environment - The operating environment remains challenging due to cautious consumer spending and rising operating expenses, which are expected to have deleveraged by 120 basis points as a percentage of sales in the fourth quarter [8]. Earnings Prediction Model - The current earnings prediction model does not indicate a strong likelihood of an earnings beat for Steven Madden, with an Earnings ESP of +4.67% and a Zacks Rank of 5 (Strong Sell) [9].

Core Insights - Steve Madden has announced the acquisition of UK-based Kurt Geiger for an enterprise value of approximately £289 million in cash [1][3] - The acquisition aims to enhance Steve Madden's portfolio by adding a brand that has shown exceptional growth, particularly in handbags, and aligns with the company's strategic initiatives to expand internationally and in direct-to-consumer channels [2][3] Company Overview - Steve Madden is a designer and marketer of fashion footwear, accessories, and apparel, with a diverse brand portfolio including Steve Madden®, Dolce Vita®, Betsey Johnson®, and others [6] - Kurt Geiger, which had an estimated revenue of approximately £400 million for the twelve months ended February 1, 2025, operates footwear concessions in luxury department stores in the UK [2][6] Transaction Details - The transaction has been unanimously approved by Steve Madden's Board of Directors and will be funded through a combination of committed debt financing and cash on hand [3] - The deal is expected to close in the second quarter of 2025, pending regulatory clearance and customary closing conditions [3] Leadership Comments - Edward Rosenfeld, CEO of Steve Madden, expressed excitement about the acquisition, highlighting Kurt Geiger's strong brand image and growth potential [2] - Neil Clifford, CEO of Kurt Geiger, noted the brand's progress and the significant expansion opportunities available with Steve Madden as a strategic partner [2]

Group 1 - Company plans to release its fourth quarter and fiscal year end 2024 earnings results on February 26, 2025 [1] - Management will host a conference call at 8:30 a.m. Eastern Time to review the results [1] - The conference call will be webcast live on the Company's website [2] Group 2 - Participants can register for the conference call to receive dial-in information and a unique PIN [3] - It is recommended to join the call 10 minutes prior to the event start [3] Group 3 - Company designs, sources, and markets fashion-forward footwear, accessories, and apparel under various brands [4] - Steve Madden licenses products for the Anne Klein brand and operates both brick-and-mortar and e-commerce stores [4] - The wholesale distribution includes a variety of retail channels such as department stores, online retailers, and specialty retailers [4]

Core Insights - Steven Madden, Ltd. (SHOO) achieves success through a focus on trendy, consumer-relevant products and fast market adaptation, driving growth across footwear, accessories, and apparel [1][5] - The brand's e-commerce growth, international expansion, and strong wholesale performance highlight effective strategic execution [1][2] Financial Performance - In the third quarter of 2024, Steven Madden's revenues grew 13% year over year to $624.7 million, driven by a 48% increase in the accessories and apparel segments [7] - The wholesale segment reported a 14.4% year-over-year revenue growth to $495.7 million, with organic growth at 4.8% excluding acquisitions [8][9] - E-commerce revenue grew by 10% year over year in the same quarter, reflecting ongoing investments in digital transformation [6] Product and Market Strategy - Key product launches, such as tall-shaft boots and soccer-inspired sneakers, have resonated well with consumers, showcasing the brand's ability to innovate [6] - The company plans to expand its international presence, with revenues from international markets climbing 11% in the fiscal third quarter, and anticipates a 14.7% increase in 2024 [10] Omnichannel and Customer Engagement - The Direct-to-Consumer (DTC) segment posted a 7.8% revenue increase in the fiscal third quarter, highlighting the success of the brand's omnichannel strategy [11] - Enhancements to the online platform and customer experience are expected to fuel sustained growth in e-commerce [6] Future Outlook - The company projects 2024 revenues to grow 13-14% year over year, with specific segments like wholesale and international expected to see significant increases [7][10]

Steven Madden, Ltd. (SHOO) continues to demonstrate resilience and potential for sustained success, driven by its solid financial performance, expanding market reach and operational excellence. The company’s innovative product strategies and commitment to digital advancements highlight its competitive edge.In the past six months, shares of this leading branded apparel, footwear and accessories company have gained 2.3%, significantly outperforming the Shoes and Retail Apparel industry’s 23.6% decline.SHOO St ...

Steven Madden, Ltd. (SHOO) is positioned for sustained growth and success, driven by strong financial performance, market expansion and operational efficiency. The company's impressive fiscal third-quarter results, innovative product offerings and focus on digital transformation underscore its market strength. With an optimistic outlook and a raised 2024 guidance, it demonstrates significant potential for long-term success in the retail sector.SHOO’s Category Diversification & Market ResponsivenessThe compa ...