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NEW YORK - Steve Madden, Ltd. (NASDAQ:SHOO) reported second quarter adjusted earnings that exceeded analyst expectations while revenue fell short of forecasts, as the footwear and accessories company navigated challenges from new tariffs on imported goods.
The company posted adjusted earnings per share of $0.20 for the second quarter, surpassing the analyst estimate of $0.18. Revenue increased 6.8% YoY to $559 million, below the consensus estimate of $578.41 million. The revenue growth was primarily driven by the acquisition of Kurt Geiger, while the company’s core business faced headwinds.
Excluding Kurt Geiger, wholesale revenue declined 12.8% and direct-to-consumer revenue decreased 3.0% compared to the same period last year. Adjusted gross profit margin contracted to 41.9% from 41.5% in the second quarter of 2024, primarily due to tariff impacts.
"As anticipated, the second quarter was challenging, driven largely by the impact of new tariffs on goods imported into the United States," said Edward Rosenfeld, Chairman and Chief Executive Officer. "Our team continues to act with agility to mitigate near-term impacts while remaining focused on positioning the company for long-term growth."
The wholesale business saw revenue decrease 6.4% to $360.6 million, while direct-to-consumer revenue increased 43.3% to $195.5 million, boosted by the Kurt Geiger acquisition.
The company maintained its quarterly cash dividend of $0.21 per share, payable on September 23, 2025. Due to continued uncertainty related to the impact of tariffs, Steve Madden is not providing financial guidance for 2025 at this time.
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