Footwear & accessories marketer Steven Madden posts Q2 results
07 Aug '07
3 min read
Steven Madden Ltd, a leading designer, wholesaler and marketer of fashion footwear and accessories for women, men and children announced financial results for the second quarter ended June 30, 2007.
Second quarter net sales were $108.3 million compared to $129.5 million in the second quarter of 2006. Gross margin was 42.0% compared to 42.1% in the second quarter of the prior year, reflecting a margin decline in the wholesale division offset by a margin increase in the retail division. Operating expenses declined to $33.6 million from $36.1 million in last year's second quarter but were 31.0% of sales compared to 27.8% of sales in the same period of 2006 due to softer top line results.
Operating income was $17.5 million, or 16.2% of sales, compared with operating income of $21.3 million, or 16.5% of sales, in the second quarter of 2006. Net income was $10.5 million, or $0.49 per diluted share, compared to $12.7 million, or $0.58 per diluted share, in the prior year's second quarter.
Revenues from the wholesale business were $78.6 million compared to $96.2 million in the second quarter of 2006. The decrease is principally due to softer sales in Daniel M. Friedman & Associates, Candie's and Steve Madden Men's, as well as the discontinuation of the Rule, l.e.i and Jump brands. Gross margin in the wholesale business was 34.2% compared to 38.0% in the prior year's second quarter, primarily reflecting lower gross margin at Candie's and Daniel M. Friedman &Associates.
marketing@alchempro.com
