Breitling Named NFL Official Timepiece Partner, Unveils NFL Watches https://t.co/fEvjFzhHh7 https://t.co/sqQK4UnoDE ...

I haven't written about the watch brand, manufacturer and retailer Fossil Group, Inc. (NASDAQ: FOSL ) in two years. There is a good reason for it. Owing to falling sales and resulting losses, atManika is a macroeconomist with over 20 years of experience in industries including investment management, stock broking, investment banking. She also runs the profile Long Term Tips [LTT], which focuses on the generational opportunity in the green economy. Her investing group, Green Growth Giants , takes the theme a ...

Core Insights - Fossil Group, Inc. reported a second quarter 2025 net sales of $220 million, a decrease of 15.2% compared to the same period in 2024, primarily due to category softness and a decline in smartwatch sales [5][11] - The company achieved a gross margin of 57.5%, an increase of 490 basis points year-over-year, attributed to improved product margins and reduced freight costs [5][11] - Operating income for the second quarter was $8 million, with an operating margin of 3.9%, marking a significant improvement from a loss of $34 million in the prior year [11][12] - Fossil Group announced a comprehensive refinancing plan aimed at strengthening its balance sheet and increasing liquidity [3][4] Financial Performance - Net sales for the second quarter totaled $220.4 million, down from $260 million in Q2 2024, with declines across all major regions: 19% in the Americas, 14% in Europe, and 12% in Asia [5][11] - Gross profit was $126.7 million, a decline of 7.4% from $136.9 million in the previous year, but gross margin improved to 57.5% from 52.6% [5][11] - Operating expenses decreased by 30.8% to $118.2 million, representing 53.7% of net sales compared to 65.7% in the prior year [5][6] Outlook and Guidance - The company raised its full-year 2025 financial guidance, reflecting strong year-to-date results and ongoing progress in its turnaround strategy [8][12] - Worldwide net sales are expected to decline in the mid-teens, an improvement from previous guidance of a decline in the mid to high teens [12] - Adjusted operating margin is anticipated to be break-even to slightly positive, compared to prior guidance of negative low single digits [12] Balance Sheet and Liquidity - As of July 5, 2025, Fossil Group had total liquidity of $110.6 million, including $109.9 million in cash and cash equivalents [7] - Total debt stood at $179 million, with inventories decreasing by 11.9% to $178.1 million compared to the previous year [7][11]

Panerai Unveils Two Watches Honoring The Italian Navy Aviation Branch https://t.co/zMENMv3Jjq https://t.co/zMENMv3Jjq ...

Switzerland’s gold exports, along with the watches and jewellery it sells to America (worth $7bn in 2024), may simply have convinced the president the country is rich enough to bear more tariffs https://t.co/aUZ3dDflIw ...

Group 1 - The core viewpoint is that U.S. consumers are facing significant price increases on various imported goods due to high tariffs imposed by the Trump administration, which will ultimately lead to higher costs for households [1][4][7] - The average effective tariff rate on imported goods in the U.S. has reached 18.3%, the highest level since 1934, which is expected to increase average household spending by $2,400 by 2025 [4] - The tariffs are projected to cause a short-term price increase of 18.2% on computers and electronic products, with long-term increases of 7.7% [1][4] Group 2 - Apparel and footwear prices are expected to rise significantly, with short-term increases of 40% for shoes and 38% for clothing, and long-term increases of 19% and 17%, respectively [1] - The tariffs on Swiss watches, which are currently set at 39%, could lead to a short-term price increase of 39.7% for these products [5] - The tariffs are anticipated to lower the U.S. GDP growth rate by 0.5 percentage points annually in 2025 and 2026, and increase the unemployment rate by 0.3 percentage points by the end of 2025 [4]

Core Insights - LVMH is a prominent French luxury conglomerate with a diverse portfolio that includes watches, fashion, and champagne, featuring globally recognized brands such as Louis Vuitton, Dior, and Moët [1] Group 1 - LVMH's brands have a rich history and are well-known worldwide, contributing to the company's strong market presence [1]

Core Insights - The company reported consolidated revenue of €8 billion for the first half of 2025, reflecting an 8% increase at constant exchange rates and a 7% increase at current exchange rates compared to the same period in 2024 [1][16] - Recurring operating income reached €3.3 billion, representing 41.4% of sales, which is a 6% increase from €3.1 billion in the first half of 2024 [1][6] - The net profit attributable to the group was €2.2 billion, down from €2.4 billion in the first half of 2024, but up to €2.5 billion when excluding an exceptional contribution from large companies in France [7][16] Revenue Growth - Sales in the second quarter amounted to €3.9 billion, marking a 9% increase at constant exchange rates compared to the first quarter [2] - All geographical regions experienced growth, with notable increases in Japan (+16%), the Americas (+12%), and Europe excluding France (+13%) [5][24] Performance by Sector - The Leather Goods and Saddlery sector saw a solid growth of 12%, driven by increased production capacities and sustained demand [5][26] - The Ready-to-wear and Accessories sector grew by 6%, benefiting from successful new collections [5][26] - The Perfume and Beauty sector experienced a decline of 4%, while the Watches sector saw a decrease of 8% [5][26] Financial Position - Cash flow from operating activities reached €2.3 billion, a 4% increase, with adjusted free cash flow at €1.8 billion after operational investments and lease repayments [8] - The restated net cash position at the end of June 2025 was €10.7 billion, down from €12.0 billion at the end of December 2024 [8][18] Employment and Sustainability - The company increased its workforce by over 500 employees in the first half of 2025, with 300 new hires in France, bringing the total number of employees to 25,700 [9] - Hermès continues to focus on diversity and inclusion, with a direct employment rate of 7.90% for people with disabilities in France [10] Outlook - The company maintains an ambitious goal for revenue growth at constant exchange rates despite global economic uncertainties [13] - Hermès is committed to its long-term development strategy, emphasizing creativity and control over its know-how [14]

Core Insights - Investing in stocks based on valuation metrics, particularly the price-to-sales (P/S) ratio, can identify opportunities with strong upside potential, especially for unprofitable or early-stage companies [1][2][3] Valuation Metrics - The P/S ratio compares a company's market capitalization to its revenues, providing a clearer picture of value when earnings are minimal or volatile [2][5] - A P/S ratio below 1 indicates a good bargain, as investors pay less than a dollar for each dollar of revenue generated [6] - The P/S ratio is often preferred over the price-to-earnings (P/E) ratio due to the difficulty of manipulating sales figures compared to earnings [7][10] Investment Opportunities - Companies with low P/S ratios, such as Affiliated Managers Group (AMG), The Greenbrier Companies, Inc. (GBX), Signet Jewelers (SIG), Cognizant Technology Solutions (CTSH), and PagSeguro Digital (PAGS), may offer compelling growth opportunities [4][10] - AMG is positioned for growth through partnerships and a robust balance sheet, currently holding a Zacks Rank 2 and a Value Score of A [12][13] - GBX benefits from a strong market position and ongoing success in its leasing business, also holding a Value Score of A and Zacks Rank 2 [14][15] - SIG demonstrates strength in key jewelry segments and has implemented cost-saving initiatives, maintaining a Value Score of A and Zacks Rank 2 [16][17] - CTSH is experiencing robust organic growth, particularly in Health Sciences and Financial Services, with a Value Score of B and Zacks Rank 2 [18][20] - PAGS is expanding its digital banking platform and adjusting credit offerings, well-positioned for long-term opportunities in Brazil's digital finance space, holding a Value Score of A and Zacks Rank 2 [21][22]

Core Viewpoint - Richemont reported a solid start to the fiscal year 2025, with group sales increasing by 6% at constant exchange rates, driven by strong performance in Europe, the Americas, and the Middle East & Africa, despite challenges in Japan and the Asia Pacific region [2][4][5]. Summary by Region - **Europe**: Sales increased by 11% to €1,295 million, supported by robust local demand and positive tourist spending, particularly in Italy and Germany [3][5]. - **Asia Pacific**: Sales decreased by 4% to €1,731 million, with a notable 7% decline in China, Hong Kong, and Macau, offset by growth in other Asian markets [3][5]. - **Americas**: Sales rose by 17% to €1,335 million, driven by strong local demand across all business areas [3][5]. - **Japan**: Sales fell by 15% to €527 million, impacted by a high comparative from the previous year and reduced tourist spending [3][5]. - **Middle East & Africa**: Sales increased by 17% to €524 million, led by the UAE market and higher tourist spending [3][5]. Summary by Distribution Channel - **Retail**: Sales grew by 6% to €3,734 million, accounting for 69% of group sales, with growth across all regions except Japan [3][6]. - **Online Retail**: Sales increased by 6% to €323 million, reflecting robust growth across almost all regions [3][7]. - **Wholesale and Royalty Income**: Grew by 6% to €1,355 million, driven by solid group sales performance [3][6]. Summary by Business Area - **Jewellery Maisons**: Sales rose by 11% to €3,914 million, marking a third consecutive quarter of double-digit growth [3][8]. - **Specialist Watchmakers**: Sales decreased by 7% to €824 million, primarily due to declines in China, Hong Kong, and Macau [3][8]. - **Other (Fashion & Accessories)**: Sales declined by 1% to €674 million, with notable performances from brands like Peter Millar and Alaïa [3][8]. Financial Position - The group maintained a strong net cash position of €7.4 billion as of 30 June 2025, slightly up from €7.3 billion in the previous year, after accounting for a cash-out related to the sale of YNAP [6][9].