• Steve Madden Announces Third Quarter 2025 Results

    ソース: Nasdaq GlobeNewswire / 05 11 2025 03:59:00   America/Los_Angeles

    LONG ISLAND CITY, N.Y., Nov. 05, 2025 (GLOBE NEWSWIRE) -- Steven Madden, Ltd. (Nasdaq: SHOO), a leading designer and marketer of fashion-forward footwear, accessories and apparel, today announced financial results for the third quarter ended September 30, 2025.

    Amounts referred to as “Adjusted” are non-GAAP measures that exclude the items defined as “Non-GAAP Adjustments” in the “Non-GAAP Reconciliation” section.

    Third Quarter 2025 Results

    • Revenue increased 6.9% to $667.9 million, compared to $624.7 million in the same period of 2024.
    • Gross profit as a percentage of revenue was 41.5%, flat to the same period of 2024. Adjusted gross profit as a percentage of revenue was 43.4%, compared to 41.6% in the same period of 2024.
    • Operating expenses as a percentage of revenue were 36.8%, compared to 28.6% in the same period of 2024. Adjusted operating expenses as a percentage of revenue were 36.4%, compared to 27.9% in the same period of 2024.
    • Income from operations totaled $31.4 million, or 4.7% of revenue, compared to $74.6 million, or 11.9% of revenue, in the same period of 2024. Adjusted income from operations totaled $46.3 million, or 6.9% of revenue, compared to $85.4 million, or 13.7% of revenue, in the same period of 2024.
    • Net income attributable to Steven Madden, Ltd. was $20.5 million, or $0.29 per diluted share, compared to $55.3 million, or $0.77 per diluted share, in the same period of 2024. Adjusted net income attributable to Steven Madden, Ltd. was $30.4 million, or $0.43 per diluted share, compared to $64.8 million, or $0.91 per diluted share, in the same period of 2024.

    Edward Rosenfeld, Chairman and Chief Executive Officer, commented, “As anticipated, the third quarter was challenging, driven largely by the impact of new tariffs on goods imported into the United States. That said, we are pleased with underlying demand for our brands and products. Consumers have responded favorably to our Fall assortments, particularly in our flagship Steve Madden brand. The improved trend in Steve Madden, together with our tariff mitigation strategies and the contribution from our recent acquisition Kurt Geiger, position us to deliver stronger financial results beginning in the fourth quarter.”

    Third Quarter 2025 Channel Results

    Revenue for the wholesale business in the third quarter of 2025 was $442.7 million, a 10.7% decrease compared to the third quarter of 2024. Excluding the recently acquired Kurt Geiger, wholesale revenue declined 19.0%. Wholesale footwear revenue decreased 10.9%, or 16.7% excluding Kurt Geiger. Wholesale accessories/apparel revenue decreased 10.3%, or 22.5% excluding Kurt Geiger. Gross profit as a percentage of wholesale revenue was 32.7% in the third quarter of 2025, compared to 35.5% in the third quarter of 2024. Adjusted gross profit as a percentage of wholesale revenue was 33.6%, compared to 35.5% in the third quarter of 2024, as a result of the impact of new tariffs on goods imported into the United States.

    Direct-to-consumer revenue in the third quarter of 2025 was $221.5 million, a 76.6% increase compared to the third quarter of 2024. Excluding Kurt Geiger, direct-to-consumer revenue increased 1.5%. Gross profit as a percentage of direct-to-consumer revenue was 58.3%, compared to 64.0% in the third quarter of 2024. Adjusted gross profit as a percentage of direct-to-consumer revenue was 61.9%, compared to 64.0% in the third quarter of 2024, as a result of the impact of new tariffs on goods imported into the United States and the addition of the Kurt Geiger concessions business.

    The company ended the quarter with 397 company-operated brick-and-mortar retail stores, including 99 outlets, as well as seven e-commerce websites and 133 company-operated concessions in international markets.

    Balance Sheet and Cash Flow Highlights

    As of September 30, 2025, total debt outstanding was $293.8 million, and cash, cash equivalents and short-term investments were $108.9 million, for net debt of $185.0 million.

    During the third quarter of 2025, the company did not repurchase any shares of its common stock in the open market.

    Quarterly Cash Dividend

    The company’s Board of Directors approved a quarterly cash dividend of $0.21 per share. The dividend is payable on December 26, 2025 to stockholders of record as of the close of business on December 15, 2025.

    Fourth Quarter 2025 Outlook

    For the fourth quarter of 2025, the company expects revenue will increase 27% to 30% compared to the same period of 2024. The company expects diluted EPS will be in the range of $0.30 to $0.35. The company expects Adjusted diluted EPS will be in the range of $0.41 to $0.46.

    Conference Call Information

    Interested stockholders are invited to listen to the conference call scheduled for today, November 5, 2025, at 8:30 a.m. Eastern Time, which will include a discussion of the company's third quarter 2025 earnings results and fourth quarter outlook. The call will be webcast live on the company’s website at https://investor.stevemadden.com. A webcast replay of the conference call will be available on the company's website or via the following webcast link https://edge.media-server.com/mmc/p/f3725r4k beginning today at approximately 10:00 a.m. Eastern Time.

    About Steve Madden

    Steve Madden designs, sources and markets fashion-forward footwear, accessories and apparel. In addition to marketing products under its own brands including Steve Madden®, Kurt Geiger London®, Dolce Vita®, Betsey Johnson®, Carvela®, Blondo® and ATM®, Steve Madden licenses footwear, handbags and other accessory categories for the Anne Klein® brand. Steve Madden also designs and sources products under private label brand names for various retailers. Steve Madden’s wholesale distribution includes department stores, mass merchants, off-price retailers, shoe chains, online retailers, national chains, specialty retailers and independent stores. Steve Madden also directly operates brick-and-mortar retail stores and e-commerce websites. In addition, Steve Madden licenses certain of its brands to third parties for the marketing and sale of certain products in the apparel, accessory and home categories.

    Safe Harbor Statement Under the U.S. Private Securities Litigation Reform Act of 1995

    This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include, among others, statements regarding revenue and earnings guidance, plans, strategies, objectives, expectations and intentions. Forward-looking statements can be identified by words such as: “may”, “will”, “expect”, “believe”, “should”, “anticipate”, “project”, “predict”, “plan”, “intend”, “estimate”, or “confident” and similar expressions or the negative of these expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they represent the company’s current beliefs, expectations, and assumptions regarding anticipated events and trends affecting its business and industry based on information available as of the time such statements are made. Investors are cautioned that such forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which may be outside of the company’s control. The company’s actual results and financial condition may differ materially from those indicated in these forward-looking statements. The company does not undertake, and disclaims, any obligation to publicly update any forward-looking statement, including, without limitation, any guidance regarding revenue or earnings, whether as a result of new information, future developments, or otherwise.

    STEVEN MADDEN, LTD. AND SUBSIDIARIES

    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

    (In thousands, except per share amounts)
    (Unaudited)

      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    Net sales $664,200  $621,170  $1,771,672  $1,693,446
    Licensing fee income  3,675   3,505   8,737   7,163
    Total revenue  667,875   624,675   1,780,409   1,700,609
    Cost of sales  390,500   365,131   1,050,740   999,121
    Gross profit  277,375   259,544   729,669   701,488
    Operating expenses  246,017   178,915   687,145   507,343
    Change in valuation of contingent payment liability  —   (2,584)  (2,075)  5,616
    Impairment of intangibles  —   8,635   —   10,335
    Income from operations  31,358   74,578   44,599   178,194
    Gain on derivative  —   —   9,252   —
    Interest and other (expense) / income, net  (4,947)  1,400   (7,913)  4,309
    Income before provision for income taxes  26,411   75,978   45,938   182,503
    Provision for income taxes  4,593   19,390   21,572   44,404
    Net income  21,818   56,588   24,366   138,099
    Less: net income attributable to noncontrolling interest  1,290   1,310   2,892   3,510
    Net income attributable to Steven Madden, Ltd. $20,528  $55,278  $21,474  $134,589
             
    Basic income per share $0.29  $0.78  $0.30  $1.88
             
    Diluted income per share $0.29  $0.77  $0.30  $1.87
             
    Basic weighted average common shares outstanding  70,906   70,806   70,850   71,516
             
    Diluted weighted average common shares outstanding  71,157   71,569   71,022   72,135
             
    Cash dividends declared per common share $0.21  $0.21  $0.63  $0.63
                    


    STEVEN MADDEN, LTD. AND SUBSIDIARIES

    CONDENSED CONSOLIDATED BALANCE SHEETS

    (In thousands)

        As of  
      September 30, 2025 December 31, 2024 September 30, 2024
      (Unaudited)   (Unaudited)
    ASSETS      
    Current assets:      
    Cash and cash equivalents $108,722 $189,924 $139,414
    Short-term investments  140  13,484  11,064
    Accounts receivable, net of allowances  91,285  45,653  56,297
    Factor accounts receivable  333,198  348,659  426,408
    Inventories  476,027  257,625  268,669
    Prepaid expenses and other current assets  56,760  34,463  28,041
    Income tax receivable and prepaid income taxes  26,582  4,887  14,950
    Total current assets  1,092,714  894,695  944,843
    Property and equipment, net  112,301  57,388  52,906
    Operating lease right-of-use asset  220,656  139,695  148,391
    Deposits and other  21,363  22,214  20,166
    Deferred tax assets  1,389  610  609
    Goodwill  273,836  183,737  181,905
    Intangibles, net  277,268  113,432  108,308
    Total Assets $1,999,527 $1,411,771 $1,457,128
    LIABILITIES      
    Current liabilities:      
    Accounts payable $254,346 $206,889 $225,586
    Accrued expenses and other current liabilities  237,736  142,452  150,067
    Operating leases - current portion  55,957  43,172  43,812
    Income taxes payable  16,351  6,147  12,435
    Contingent payment liability - current portion  3,221  —  7,716
    Accrued incentive compensation  4,591  15,061  13,347
    Total current liabilities  572,202  413,721  452,963
    Contingent payment liability - long-term portion  15,164  7,565  11,200
    Operating leases - long-term portion  190,459  109,816  118,674
    Long-term debt  293,828  —  —
    Deferred tax liabilities  39,867  4,628  8,777
    Other liabilities  1,872  44  5,448
    Total Liabilities  1,113,392  535,774  597,062
           
    STOCKHOLDERS’ EQUITY      
    Total Steven Madden, Ltd. stockholders’ equity  850,841  847,719  833,923
    Noncontrolling interest  35,294  28,278  26,143
    Total stockholders’ equity  886,135  875,997  860,066
    Total Liabilities and Stockholders’ Equity $1,999,527 $1,411,771 $1,457,128
              


    STEVEN MADDEN, LTD. AND SUBSIDIARIES

    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

    (In thousands)
    (Unaudited) 

      Nine Months Ended
      September 30, 2025 September 30, 2024
    Cash flows from operating activities:    
    Net income $24,366  $138,099 
    Adjustments to reconcile net income to net cash provided by operating activities:    
    Stock-based compensation  22,175   19,531 
    Depreciation and amortization  25,108   14,736 
    Amortization of debt issuance costs  725   — 
    Loss on disposal of fixed assets  180   112 
    Impairment of intangibles  —   10,335 
    Loss on divestiture of business  —   3,199 
    Change in valuation of contingent payment liability  (2,075)  5,616 
    Other operating activities  (413)  (48)
    Changes, net of acquisitions, in:    
    Accounts receivable  (10,962)  (15,794)
    Factor accounts receivable  17,184   (108,276)
    Inventories  1,943   (39,064)
    Prepaid expenses, income tax receivables, prepaid taxes, and other assets  (46,097)  (864)
    Accounts payable, accrued expenses, and other current liabilities  48,906   66,853 
    Accrued incentive compensation  (10,574)  1,382 
    Leases and other liabilities  (2,836)  (1,572)
         
    Net cash provided by operating activities  67,630   94,245 
         
    Cash flows from investing activities:    
    Capital expenditures  (29,079)  (16,642)
    Purchases of short-term investments  —   (12,840)
    Maturity / sale of short-term investments  13,410   16,654 
    Acquisition of businesses, net of cash acquired  (371,554)  (4,259)
    Other investing activities  (2,196)  372 
    Net cash used in investing activities  (389,419)  (16,715)
         
    Cash flows from financing activities:    
    Common stock repurchased and net settlements of stock awards  (8,367)  (95,788)
    Proceeds from exercise of stock options  —   1,086 
    Investment of noncontrolling interest  3,500   — 
    Borrowings, net of repayments  300,000   — 
    Financing costs paid  (8,955)  — 
    Cash dividends paid on common stock  (45,692)  (45,880)
    Distribution of noncontrolling interest  (2,946)  — 
    Net cash provided by / (used in) financing activities  237,540   (140,582)
    Effect of exchange rate changes on cash and cash equivalents  3,047   (2,174)
    Net decrease in cash and cash equivalents  (81,202)  (65,226)
    Cash and cash equivalents – beginning of period  189,924   204,640 
         
    Cash and cash equivalents – end of period $108,722  $139,414 
             
             

    STEVEN MADDEN, LTD. AND SUBSIDIARIES

    NON-GAAP RECONCILIATION

    (In thousands, except per share amounts)

    (Unaudited)

    The company uses non-GAAP financial information to evaluate its operating performance and in order to represent the manner in which the company conducts and views its business. Additionally, the company believes the information assists investors in comparing the company’s performance across reporting periods on a consistent basis by excluding items that are not indicative of its core business. The non-GAAP financial information is provided in addition to, and not as an alternative to, the company’s reported results prepared in accordance with GAAP.

    Table 1 - Reconciliation of GAAP gross profit to Adjusted gross profit    
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP gross profit $277,375 $259,544 $729,669 $701,488
    Non-GAAP Adjustments  12,309  59  20,840  393
    Adjusted gross profit $289,684 $259,603 $750,509 $701,881


    Table 2 - Reconciliation of GAAP operating expenses to Adjusted operating expenses    
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP operating expenses $246,017  $178,915  $687,145  $507,343 
    Non-GAAP Adjustments  (2,585)  (4,680)  (61,597)  (6,301)
    Adjusted operating expenses $243,432  $174,235  $625,548  $501,042 


    Table 3 - Reconciliation of GAAP income from operations to Adjusted income from operations
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP income from operations $31,358 $74,578 $44,599 $178,194
    Non-GAAP Adjustments  14,895  10,790  80,360  22,645
    Adjusted income from operations  46,253 $85,368 $124,959 $200,839


    Table 4 - Reconciliation of GAAP interest and other (expense) / income, net to Adjusted interest and other (expense) / income, net
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP interest and other (expense) / income, net $(4,947) $1,400 $(7,913) $4,309
    Non-GAAP Adjustments  —   —  840   —
    Adjusted interest and other (expense) / income, net $(4,947) $1,400 $(7,073) $4,309


    Table 5 - Reconciliation of GAAP provision for income taxes to Adjusted provision for income taxes
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP provision for income taxes $4,593 $19,390 $21,572 $44,404
    Non-GAAP Adjustments  5,065  1,238  6,794  4,032
    Adjusted provision for income taxes $9,658 $20,628 $28,366 $48,436


    Table 6 - Reconciliation of GAAP net income attributable to noncontrolling interest to Adjusted net income attributable to noncontrolling interest
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP net income attributable to noncontrolling interest $1,290 $1,310 $2,892 $3,510
    Non-GAAP Adjustments  —  25  —  155
    Adjusted net income attributable to noncontrolling interest $1,290 $1,335 $2,892 $3,665


    Table 7 - Reconciliation of GAAP net income attributable to Steven Madden, Ltd. to Adjusted net income attributable to Steven Madden, Ltd.
      Three Months Ended Nine Months Ended
      September 30, 2025 September 30, 2024 September 30, 2025 September 30, 2024
             
    GAAP net income attributable to Steven Madden, Ltd. $20,528 $55,278 $21,474 $134,589
    Non-GAAP Adjustments  9,830  9,527  65,155  18,459
    Adjusted net income attributable to Steven Madden, Ltd. $30,358 $64,805 $86,629 $153,048
             
    GAAP diluted net income per share $0.29 $0.77 $0.30 $1.87
             
    Adjusted diluted net income per share $0.43 $0.91 $1.22 $2.12


    Table 8 - Reconciliation of GAAP diluted net income per share to Adjusted diluted net income per share in Q4 2025 outlook
      Fourth Quarter 2025 Outlook
      Low End High End
         
    GAAP diluted net income per share $0.30 $0.35
    Non-GAAP Adjustments  0.11  0.11
    Adjusted diluted net income per share $0.41 $0.46


    Non-GAAP Adjustments include the items below.

    For the third quarter of 2025:

    • $12.3 million pre-tax ($9.2 million after-tax) expense in connection with the purchase accounting fair value adjustment of inventory from acquired businesses, included in cost of goods sold.
    • $1.1 million pre-tax ($0.8 million after-tax) expense in connection with severances and related charges, included in operating expenses.
    • $0.8 million pre-tax ($0.6 million after-tax) expense in connection with legal settlements and related fees, included in operating expenses.
    • $0.7 million pre-tax expense ($0.8 million after-tax benefit) in connection with acquisition costs and formation of joint ventures, included in operating expenses.

    For the third quarter of 2024:

    • $3.2 million pre-tax ($3.7 million after-tax) expense in connection with a divestiture of a business, included in operating expenses.
    • $1.5 million pre-tax ($1.1 million after-tax) expense in connection with an acquisition and formation of joint ventures, included in operating expenses.
    • $8.6 million pre-tax ($6.6 million after-tax) expense in connection with a trademark impairment.
    • $2.6 million pre-tax ($2.0 million after-tax) benefit in connection with the change in valuation of a contingent consideration in connection with the acquisition of Almost Famous.

    Contact

    Steven Madden, Ltd.
    VP of Corporate Development & Investor Relations
    Danielle McCoy
    718-308-2611
    InvestorRelations@stevemadden.com


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