Movado Group, Inc. Announces Fourth Quarter and Fiscal Year 2026 Results

Fiscal Year 2026 Highlights - Movado Group, Inc. reported net sales of $671.3 million for fiscal year 2026, representing a 2.7% increase compared to $653.4 million in fiscal year 2025 [2][7] - The company achieved an operating income of $29.8 million, a 49.0% increase from $20.0 million in fiscal year 2025, and an adjusted operating income of $34.8 million, up 28.7% from $27.1 million [2][7] - Net income for fiscal year 2026 was $26.6 million, or $1.17 per diluted share, compared to $18.4 million, or $0.81 per diluted share, in fiscal year 2025 [6][7] - The company ended fiscal year 2026 with $230.5 million in cash and no debt [2][8] Fourth Quarter Highlights - In the fourth quarter, net sales reached $191.6 million, a 5.6% increase from $181.5 million in the fourth quarter of fiscal 2025 [4][9] - The diluted earnings per share for the fourth quarter were $0.55, a 52.8% increase from $0.36 in the prior-year period, while adjusted diluted earnings per share were $0.57, up 11.8% from $0.51 [4][6] - Operating income for the fourth quarter was $13.8 million, a 49.7% increase from $9.2 million in the fourth quarter of fiscal 2025, with adjusted operating income at $14.4 million, up 6.2% from $13.5 million [4][6] Sales Performance - The Movado brand experienced significant growth, with wholesale sales increasing by 25%, Movado.com sales up 18%, and Movado Company Stores sales growing by 9% in the fourth quarter [1][2] - U.S. net sales increased by 11.2% compared to the fourth quarter of last year, while international net sales rose by 1.0%, although they decreased by 5.9% on a constant-dollar basis [9][10] Cash Flow and Dividends - The company generated $57.9 million in net cash from operating activities during fiscal 2026 [1][2] - The Board of Directors declared a quarterly dividend of $0.35 per share, payable on April 16, 2026 [8][9] Strategic Outlook - The company remains optimistic about its ability to navigate a dynamic environment, despite geopolitical volatility and uncertain tariff and trade policies [1][2] - Management believes that the execution of its strategy will lead to long-term sustainable growth and increased shareholder value [3][4]