- Q4 2025 net sales for Movado Group Inc. (MOV, Financial) increased by 3.3% to $181.5 million, driven by international and online retail growth.
- Annual net sales for fiscal 2025 decreased 1.7% to $653.4 million, with operating income dropping to $20.0 million from $48.5 million in the previous year.
- Movado plans to implement cost-saving measures of $10 million annually and reduce marketing expenses by $15-20 million in fiscal 2026.
Movado Group Inc. (MOV) announced its financial results for the fourth quarter and the fiscal year 2025, ending January 31, 2025. The company reported Q4 net sales of $181.5 million, marking a 3.3% increase compared to the same period last year, driven by growth in international wholesale channels and online retail sectors. The company's gross margin for the quarter improved to 54.2%, up from 53.5% in the previous year.
For the full fiscal year 2025, Movado's net sales decreased by 1.7%, totaling $653.4 million. Operating income fell significantly to $20.0 million, down from $48.5 million in fiscal 2024. The earnings per share (EPS) for the year were reported at $0.81, a decline from $1.83 in the previous year. Despite these declines, Movado maintained a robust financial position, concluding the year with $208.5 million in cash and no debt.
To address the challenges posed by the fiscal year's results, Movado announced a series of cost-saving initiatives aimed at achieving $10 million in annualized savings. Furthermore, the company plans to cut its marketing expenditures by $15-20 million in fiscal 2026. The Board of Directors declared a quarterly dividend of $0.35 per share, demonstrating confidence in the company's financial health.
Movado's international sales showed promising growth, with an 8.8% increase in Q4, highlighting the positive impact of global distribution channels. However, U.S. net sales faced a 4.0% decline for the fiscal year, reflecting the challenges in domestic retail operations. As the company navigates the uncertainties of global market conditions, it remains focused on efficiency improvements and strategic pricing adjustments to mitigate the impact of potential tariffs.
