Steve Madden reports strong growth for second quarter

Worldwide
Published:  03 August, 2022
Credit: Steve Madden

Footwear brand Steve Madden has announced its financial results for the second quarter of the 2022 fiscal year.

The company achieved US$535 million in revenue, up 34.5% from the same period in 2021. Gross profit as a percentage of revenue was 40.7%, down from 42.7%, which the company attributed to a shift in revenue mix from the higher-margin direct-to-consumer business to the lower-margin wholesale business.

Net income for the second quarter was US$48.5 million, an increase over the result in Q2 2021 of 31.4%.

Revenue for the wholesale business was US$397.1 million, a 51.5% increase, with 47.1% growth in wholesale footwear and 65.2% increase for wholesale accessories/apparel. Meanwhile, direct-to-consumer revenue was $135.5 million, a 2.2% increase.

At the end of the quarter, the company had 213 bricks-and-mortar retail stores, six e-commerce websites and 19 company-operated concessions in international markets.

Reviewing its 2022 outlook, Steve Madden expects that revenue will increase by 13-16% year-on-year.

Edward Rosenfeld, Chairman and Chief Executive Officer, said: “We delivered strong results in the second quarter, with revenue and earnings growing robustly compared to the prior year and exceeding our expectations.

“While macro pressures have increased, making the near-term outlook more uncertain, we are confident that our core strengths – our people, brands and business model – leave us well-positioned to drive growth and create significant value for our stakeholders over the long term.”