Home / Knowledge / News / Fashion / Steve Madden generates healthy growth in Q2
Steve Madden generates healthy growth in Q2
03
Aug '09
Steve Madden, a leading designer and marketer of fashion footwear and accessories for women, men and children, announced financial results for the second quarter ended June 30, 2009 and updated full-year 2009 earnings guidance.

• Second quarter net sales increased 6.5% to $116.5 million.
• Operating margin rose to 16.6% in the second quarter 2009, compared with operating margin of 11.1% in the same period of 2008.
• Net income for the second quarter was $12.1 million, or $0.66 per diluted share, compared to $7.6 million, or $0.43 per diluted share, in the second quarter of 2008.
• Increase in full-year 2009 guidance for diluted EPS to a range of $2.05 to $2.15.

Edward Rosenfeld, Chairman and Chief Executive Officer commented, "We are pleased to have recorded healthy earnings growth in the second quarter despite the difficult economic environment. Our design team, led by Steve, continues to create compelling product that resonates well with consumers. In addition to the strong performance in our core Steve Madden Women's and Madden Girl wholesale divisions, we are encouraged by the results in our new licensed businesses, l.e.i., Fabulosity and Elizabeth and James. As we look ahead, we will remain focused on carefully managing our inventory and controlling costs while continuing to deliver trend-right product at attractive price points.”

Second Quarter 2009 Results:
Second quarter net sales were $116.5 million compared to $109.3 million reported in the comparable period of 2008. Net sales from the wholesale business grew 11.0% to $88.2 million compared to $79.4 million in the second quarter of 2008, driven by strength in the Steve Madden Women's, Kids' and Madden Girl wholesale footwear divisions. Retail net sales totaled $28.3 million compared to $29.9 million in the second quarter of the prior year. Same store sales decreased 5.4% in the second quarter of 2009.

Gross margin improved to 42.6% as compared to 41.7% in the second quarter of 2008. For the wholesale business, gross margin was 36.8% as compared to 34.7% in the prior year's second quarter, with the increase driven primarily by lower markdown allowances as sell-through at retail continued to be strong. Retail gross margin was 60.4% as compared to 60.3% for the comparable period last year, with the benefit of reduced freight costs mostly offset by the impact of a highly promotional environment.

Operating expenses as a percent of sales for the second quarter of 2009 were 32.2% as compared to 33.5% in the same period of the prior year. The improvement was driven by leverage on higher sales as well as cost control initiatives.

Net income for the second quarter of 2009 totaled $12.1 million, or $0.66 per diluted share as compared to net income of $7.6 million, or $0.43 per diluted share, in the same period of 2008.

The Company did not open any stores and closed two stores during the second quarter of 2009, ending the quarter with 92 retail locations, including the Internet store.


Must ReadView All

Uzbekistan wants joint ventures with Hungarian textile firms

Textiles | On 20th Feb 2018

Uzbekistan wants joint ventures with Hungarian textile firms

Uzbekistan has offered Hungary to create joint ventures in the two...

Vietnam’s textile & garment exports up 10.68% in 2017

Textiles | On 20th Feb 2018

Vietnam’s textile & garment exports up 10.68% in 2017

Vietnam came very close to achieving its 2017 textile and garment...

Courtesy: Urban Outfitters

Apparel/Garments | On 20th Feb 2018

Urban Outfitters Q4 FY18 sales climb 5.7%

The net sales of Urban Outfitters, Inc., a leading lifestyle products ...

Interviews View All

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Headhonchos
Indian textile value chain

Adopt innovative techniques, go for automisation rather than being...

Urmil Arya

Sushila International, a well established textile organisation established ...

Sandip Bhojani, Manthan Patel

Krypthm Tradelink LLP is a Surat-based manufacturer of westernwear....

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.6%
No
12.7%
Skip
16.7%

Total Votes: 102

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.7%
No
29.4%
Skip
6.9%

Total Votes: 102

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.2%
No
8.8%
Skip
2.9%

Total Votes: 102

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.3%
No
7.8%
Skip
8.8%

Total Votes: 102


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search