Movado Group Q1: 11% Revenue Dip, Difficult Consumer Environment & More - Movado Group (NYSE:MOV)

Movado Group Inc. MOV reported a first-quarter FY24 sales dip of 11.3% year-on-year to $144.9 million, missing the consensus of $148.30 million.
Adjusted EPS of $0.43 beat the analyst consensus of $0.26.
The decrease in net sales reflected declines in wholesale customers' brick-and-mortar stores, online retail, and Movado company stores due to the challenging macro environment.
U.S. net sales decreased by 15.7%, while International net sales fell by 8.1%.
The gross margin contracted 260 basis points to 56.6%, and the gross profit fell 15.2% Y/Y to $82 million.
Adjusted operating income was $11.6 million versus $26.1 million for the prior year period.
The board of directors approved a cash dividend of $0.35 for each share, payable on June 21, 2023, to shareholders of record on June 7, 2023.
The company held $198.26 million in cash and equivalents as of April 30, 2023.
Outlook: Movado reiterated its FY24 outlook. Net sales is expected in the band of $725 million-$750 million. The analyst estimate stands at $736.7 million.
MOV expects EPS of $2.70-$2.90. The analyst estimate stands at $2.79.
For the first half of fiscal 2024, the company continues to expect sales to decline in a range of 9% to 12%
Price Action: MOV shares are trading lower by 0.39% at $25.85 on the last check Thursday.