Q2 2025 Steven Madden Ltd Earnings Call Transcript
Key Points
- Steven Madden Ltd (SHOO) reported a 6.8% increase in consolidated revenue compared to the second quarter of 2024, driven by the acquisition of Kurt Geiger.
- The company's direct-to-consumer segment saw a significant revenue increase of 43.3%, highlighting strong performance in this area.
- The integration of the newly acquired Kurt Geiger is proceeding smoothly, with strong momentum and potential for significant growth.
- The company has successfully diversified its sourcing, reducing reliance on China from 71% in 2024 to an expected 30% for fall 2025.
- Steven Madden Ltd (SHOO) is seeing positive consumer response to new fashion offerings, particularly in the dress shoe and boot categories.
- The company faced substantial challenges due to new tariffs on goods imported into the United States, leading to order cancellations and shipment delays.
- Wholesale revenue decreased by 6.4% compared to Q2 2024, with significant declines in both footwear and accessories.
- Gross margins were pressured by tariffs, resulting in a decline in organic gross margins and impacting overall revenue and earnings.
- The direct-to-consumer segment, excluding Kurt Geiger, experienced a 3% revenue decline due to canceled and delayed deliveries.
- Operating expenses increased significantly, impacting operating income, which fell to 4% of revenue compared to 10.4% in the prior year.
Good day, and thank you for standing by. Welcome to the second-quarter 2025 Steven Madden Limited earnings conference call (Operator Instructions) Please be advised that today's conference is being recorded.
I would now like to hand the conference over to your first speaker today, Danielle McCoy, VP of Corporate Development and Investor Relations. Please go ahead.
Thanks, Steven, and good morning, everyone. Thank you for joining our second-quarter 2025 earnings call and webcast. Before we begin, I'd like to remind you that our remarks that follow, including answers to your questions, contain statements that we believe to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act.
These forward-looking statements are subject to risk that could cause actual results to materially differ from those expressed or implied by such forward-looking statements. These risks include, among others, matters that we have
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
