The company reported revenue up by 13.7% in the full year to US$2.12 billion, while gross profit as a percentage of revenue was up to 41.2%. Net income for the company was US$216.1 million for the full year.
Meanwhile, in the fourth quarter alone, revenue decreased by 18.6% to US$470.6 million while gross profit as a percentage of revenue increased to 42.2%. Finally, net income totalled US$31.8 million.
Revenue for the wholesale business in the fourth quarter was US$308.8 million, a drop of 24.8% year-on-year, with wholesale footwear revenue specifically down by 25.5%. Wholesale accessories/apparel revenue dropped by 22.8%.
Direct-to-consumer (DTC) revenue was US$159.3 million for the period, a fall of 3.2% year-on-year, driven by a decline in the brick-and-mortar business and partially offset by a modest increase in the e-commerce business.
Steve Madden ended the fourth quarter with 232 company-operated brick-and-mortar retail stores and six e-commerce websites, as well as 20 company-operated concessions in international markets. For the 2023 financial year, the company is expecting revenue to drop by 6.5-8.0% year-on-year.
Edward Rosenfeld, Chairman and CEO of Steve Madden, said: “We are pleased to have delivered earnings results in line with our expectations for the fourth quarter and full year 2022 despite an increasingly challenging backdrop. 2022 was a record year for the Company, with double-digit percentage growth in both revenue and earnings, reflecting the power of our brands, the strength of our business model and the successful execution of our strategic initiatives.
“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.”
