The company’s operating expenses as a percentage of revenue remained flat at 27.9 per cent. Adjusted operating expenses as a percentage of revenue increased to 27.9 per cent from 27.1 per cent in 2021. The net income attributable to Steven Madden was $216.1 million or $2.77 per diluted share, compared to $190.7 million or $2.34 per diluted share in 2021, the company said in a press release.
Steven Madden, a leading designer and marketer of fashion-forward footwear, accessories, and apparel, has reported a revenue growth of 13.7 per cent to $2,122 million in fiscal 2022 (FY22), compared to $1,866.1 million in FY21. The gross profit as a percentage of revenue increased to 41.2 per cent in FY22 compared to 41.1 per cent in the previous fiscal.
For the fourth quarter (Q4) of FY22, the Steven Madden reported a decrease of 18.6 per cent in revenue to $470.6 million compared to $578.5 million in the same period of 2021. The gross profit percentage increased to 42.2 per cent compared to 41.2 per cent in the same period of FY21, while operating expenses as a percentage of revenue increased to 33.8 per cent compared to 27 per cent in Q4 FY21. Adjusted operating expenses as a percentage of revenue increased to 33.2 per cent from 26.2 per cent in Q4 FY21. The net income attributable to Steven Madden was $31.8 million, or $0.42 per diluted share, compared to $66 million or $0.81 per diluted share in the corresponding period of the previous fiscal.
Steven Madden’s wholesale business revenue was $308.8 million in Q4 FY22, a decrease of 24.8 per cent compared to the fourth quarter of FY21, while direct-to-consumer revenue was $159.3 million, a decrease of 3.2 per cent compared to Q4 FY21.
The company expects revenue to decrease by 6.5 per cent to 8 per cent in FY23 compared to FY22. The expected diluted earnings per share (EPS) for FY23 will be in the range of $2.40 to $2.50.
“Looking ahead, we are cautious on the near-term outlook due to the challenging operating environment and conservative initial spring orders from our wholesale customers as they prioritise inventory control. That said, we have a proven ability to navigate difficult market conditions with our agile business model, which combines our test-and-react strategy and industry-leading speed-to-market capability. Looking out further, we are confident that our unique competitive advantages and the continued execution of our strategy will enable us to drive sustainable growth and value creation over the long term,” said Edward Rosenfeld, chairman and chief executive officer.
Fibre2Fashion News Desk (DP)
