New York, March 2024
Steve Madden, a leading footwear, apparel, and accessories brand, has announced robust fourth-quarter results, surpassing expectations across key metrics. Edward Rosenfeld, Chairman and CEO, expressed satisfaction with the company’s performance, highlighting organic revenue growth and improved operating margins.
Fourth Quarter Highlights:
- Revenue Growth: Steve Madden reported fourth-quarter revenue of $519.7 million, marking a 10.4% increase compared to the same period the previous year.
- Wholesale Business: The wholesale segment contributed $354.8 million to total revenue, a 14.9% increase year-over-year. While wholesale footwear revenue experienced a slight decline, wholesale accessories/apparel revenue surged by 56.5%.
- Direct-to-Consumer: Revenue from the direct-to-consumer business reached $162.3 million, driven by growth in brick-and-mortar sales.
- Gross Profit: Gross profit as a percentage of revenue was 41.3%, slightly down from 42.2% in the fourth quarter of 2022.
- Net Income: Net income for the quarter stood at $35.9 million, or $0.49 per diluted share, compared to $31.8 million, or $0.42 per diluted share, in the same period last year. Adjusted net income was $45.0 million, or $0.61 per diluted share.
Full Year Results:
- Revenue Decline: Steve Madden’s full-year revenue for 2023 totaled $2.0 billion, representing a 6.6% decrease from the previous fiscal year.
- Net Income: The company reported a net income of $171.6 million for the year, or $2.30 per diluted share, compared to $216.1 million, or $2.77 per diluted share, in 2022.
Outlook for Fiscal 2024:
Looking ahead, Rosenfeld remains optimistic about the company’s prospects despite the challenging operating environment. He believes Steve Madden’s on-trend product offerings position it well for 2024 and anticipates sustainable revenue and earnings growth in the coming years. For fiscal 2024, Steve Madden expects revenue to grow between 11% to 12% over 2023, with earnings per share ranging from $2.55 to $2.65.
Steve Madden’s solid performance in the fourth quarter underscores its resilience and strategic agility in navigating market dynamics, setting a positive trajectory for the future.
