Movado (MOV) Q4 2026 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Thu, March 19, 2026 astatine 10:58 AM CDT 19 min read

Image source: The Motley Fool.

Thursday, March 19, 2026 astatine 9 a.m. ET

• Chairman & Chief Executive Officer — Efraim Grinberg

• Executive Vice President & Chief Financial Officer — Sallie A. DeMarsilis

Efraim Grinberg: Thank you, Allison. Good morning, everyone, and invited to Movado Group, Inc.'s 4th fourth and afloat twelvemonth league call. Joining maine contiguous is Sallie A. DeMarsilis, our Executive Vice President and CFO. After our prepared remarks, we volition beryllium gladsome to instrumentality your questions. After a challenging fiscal 2025, we are pleased to instrumentality to maturation successful fiscal 2026. Revenue accrued 2.7% to $171,300,000 and adjusted operating income grew 28.7% to $34,800,000, reflecting beardown execution crossed our strategical priorities. These results exceeded our expectations and improved arsenic the twelvemonth progressed, with 4th fourth income up 5.6% to $191,600,000, led by our U.S. wholesale and retail business. Adjusted operating income grew by 6.2% for the 4th to $14,400,000.

We besides generated beardown operating currency travel of $57,900,000 and ended the twelvemonth with $230,000,000 successful currency and nary debt, which gives america important flexibility arsenic we determination forward. These results were helped by a beardown euro, offset somewhat by the impacts of a precise beardown Swiss franc.

During the year, we precocious our strategical priorities, which focused connected 4 cardinal areas. Let maine sermon highlights of each. First, putting the lawsuit astatine the halfway of everything we do. This absorption continues to usher however we run crossed each channels. Digitally, we strengthened our engagement with consumers, and we are seeing the benefits of a much connected omnichannel approach. From a class standpoint, we saw continued spot successful some the manner ticker and accessible luxury conception successful the U.S. Importantly, we are seeing accrued information from younger consumers, on with a beardown instrumentality of women into the class driven by smaller lawsuit sizes and jewelry-inspired designs and caller styling.

In our institution stores, we delivered a beardown vacation play with income up 9% for the 4th fourth driven by higher mean selling prices, improved merchandising, and amended in-store execution. Our teams person done an fantabulous occupation elevating the user acquisition astatine the constituent of sale.

Second, delivering consumer- and brand-focused innovation. Innovation was a large operator of our momentum, peculiarly successful the 4th quarter. Across our portfolio, accepted watches are resonating strongly, particularly with younger consumers who are responding to caller shapes, sizes, and plan expressions. Within the Movado brand, we had an fantabulous quarter. Wholesale income grew implicit 25%, and our e-commerce concern accrued 18%, reflecting the occurrence of our marque refresh initiatives we began implementing astir eighteen months ago.