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Steven Madden (Steven Madden) Operating Income : $220 Mil (TTM As of Dec. 2023)


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What is Steven Madden Operating Income?

Steven Madden's Operating Income for the three months ended in Dec. 2023 was $46 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $220 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Steven Madden's Operating Income for the three months ended in Dec. 2023 was $46 Mil. Steven Madden's Revenue for the three months ended in Dec. 2023 was $520 Mil. Therefore, Steven Madden's Operating Margin % for the quarter that ended in Dec. 2023 was 8.94%.

Good Sign:

Steven Madden Ltd operating margin is expanding. Margin expansion is usually a good sign.

Steven Madden's 5-Year average Growth Rate for Operating Margin % was 6.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Steven Madden's annualized ROC % for the quarter that ended in Dec. 2023 was 20.64%. Steven Madden's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 113.31%.


Steven Madden Operating Income Historical Data

The historical data trend for Steven Madden's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Steven Madden Operating Income Chart

Steven Madden Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 182.75 49.56 247.65 281.64 219.74

Steven Madden Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 39.76 46.51 44.04 82.74 46.45

Steven Madden Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $220 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Steven Madden  (NAS:SHOO) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Steven Madden's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=185.812 * ( 1 - 10.67% )/( (801.886 + 806.241)/ 2 )
=165.9858596/804.0635
=20.64 %

where

Invested Capital(Q: Sep. 2023 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1292.227 - 283.896 - ( 206.445 - max(0, 331.76 - 853.583+206.445))
=801.886

Invested Capital(Q: Dec. 2023 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1347.943 - 321.889 - ( 219.813 - max(0, 377.624 - 854.832+219.813))
=806.241

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

2. Joel Greenblatt's definition of Return on Capital:

Steven Madden's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=185.812/( ( (157.978 + max(-6.674, 0)) + (169.982 + max(-39.037, 0)) )/ 2 )
=185.812/( ( 157.978 + 169.982 )/ 2 )
=185.812/163.98
=113.31 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(58.538 + 205.693 + 24.334) - (283.896 + 0 + 11.343)
=-6.674

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(40.246 + 228.99 + 29.009) - (321.889 + 0 + 15.393)
=-39.037

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Steven Madden's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 )/Revenue (Q: Dec. 2023 )
=46.453/519.714
=8.94 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Steven Madden Operating Income Related Terms

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Steven Madden (Steven Madden) Business Description

Traded in Other Exchanges
N/A
Address
52-16 Barnett Avenue, Long Island City, NY, USA, 11104
Steven Madden Ltd designs and sells brand-name and private-label footwear and accessories. Its products are geared toward fashion-conscious adults and children. The company sells its products through department stores and other retailers as well as its own stores and websites. Nearly all of the company's revenue comes from three of its segments. The wholesale footwear segment accounts for the majority of revenue.
Executives
Karla Frieders officer: Chief Merchandising Officer C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Peter Migliorini director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Robert Garrett Smith director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Edward R. Rosenfeld director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Peter Allan Davis director C/O STEVEN MADDEN LTD, 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Arian Simone Reed director C/O STEVEN MADDEN LTD, 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Amelia Varela officer: EVP of Wholesale Sales C/O STEVEN MADDEN LTD, 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Awadhesh K Sinha officer: Chief Operating Officer C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Zine Mazouzi officer: Chief Financial Officer C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Maria Teresa Kumar director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Thomas H Schwartz director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Lisa Keith officer: VP and General Counsel 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Arvind Dharia director, officer: Chief Financial Officer C/O STEVEN MADDEN LTD, 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104
Al Ferrara director 433 LAWNDALE DRIVE, SOUTH SALT LAKE CITY UT 84115
Rose Peabody Lynch director C/O STEVEN MADDEN, LTD., 52-16 BARNETT AVENUE, LONG ISLAND CITY NY 11104

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