NASDAQ$FOSL
Fossil Group Inc. · Q3 2020 earnings
Q3 2020 earnings · · Investor relations
Briefing
Fossil Group's financial performance was reported with net sales decreasing due to COVID-19 impacts, but e-commerce and China showed strength. Operating income improved driven by gross margin expansion and cost reductions.
Fossil Group reported a decrease in worldwide net sales by 19% to $435 million, but outperformed topline expectations due to growth in e-commerce and Mainland China. The company achieved an operating income of $18 million, a significant improvement from the previous year's operating loss of $9 million, driven by gross margin expansion and cost reduction efforts.
- Worldwide net sales decreased by 19% to $435 million, or 20% in constant currency.
- Owned e-commerce sales increased by 66% and third-party marketplace e-commerce sales increased by 44% in constant currency.
- Gross margin expanded by 120 basis points to 52.8%.
- Operating expenses were reduced by $75 million, or 26% year-over-year.
Headline financials
Revenue & EPS history
Fossil · Revenue · Quarterly
$435M
Revenue by segment
Fossil · $435M total across 4 segments · Q3 2020
- Watches$357M-19.8%82.1%
- Leathers$38M-29.6%8.7%
- Jewelry$29M+3.6%6.7%
- Other$11M-8.3%2.5%
Forward guidance
The Company anticipates that impacts from COVID-19 will continue to pressure sales in the fourth quarter of 2020, with ongoing strength in e-commerce channels offset by contraction in Fossil retail stores and the wholesale channel. Worldwide net sales are expected to decline in the range of 40% to 30%.
Tailwinds
- Ongoing strength in e-commerce channels
Headwinds
- Impacts from COVID-19 will continue to pressure sales
- Contraction in Fossil retail stores
- Contraction in the wholesale channel
- Worldwide net sales are expected to decline in the range of 40% to 30%
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q3 2020
+0.8%
Avg return
Earnings day
+4.1%
Avg return
5 days after
+5.9%
Avg return
30 days after
45%
29 / 65 earnings
Positive
+102.3%
Q4 2017
Best reaction
-37.8%
Q3 2015
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +5.6% | -6.1% | +6.6% | |
| Q4 2025 | +16.8% | +14.3% | +24.8% | |
| Q3 2025 | -9.2% | -3.3% | +85.7% | |
| Q2 2025 | +31.5% | +74.6% | +72.4% | |
| Q1 2025 | +18.0% | +34.1% | +5.6% | |
| Q4 2024 | +29.1% | +3.1% | -23.6% | |
| Q3 2024 | -10.8% | -6.9% | +51.5% | |
| Q2 2024 | +1.8% | -0.9% | -2.8% | |
| Q1 2024 | -4.7% | +6.2% | +25.8% | |
| Q4 2023 | -5.6% | -1.2% | +4.7% | |
| Q3 2023 | -34.3% | -35.4% | -28.1% | |
| Q2 2023 | -10.4% | -16.3% | -17.9% | |
| Q1 2023 | -9.2% | -32.3% | -27.2% | |
| Q4 2022 | -13.4% | -15.3% | -24.9% | |
| Q3 2022 | +10.3% | +17.7% | +21.6% | |
| Q2 2022 | -4.2% | -12.1% | -40.2% | |
| Q1 2022 | -10.2% | -10.9% | -23.3% | |
| Q4 2021 | -28.3% | -36.3% | -25.3% | |
| Q3 2021 | +16.7% | +13.0% | -28.2% | |
| Q2 2021 | +9.1% | +7.6% | -3.7% | |
| Q1 2021 | +0.7% | +20.8% | +38.6% | |
| Q3 2020 | +18.1% | +42.9% | +111.3% | |
| Q2 2020 | +10.2% | +18.9% | +50.1% | |
| Q1 2020 | +27.1% | +136.2% | +29.2% | |
| Q4 2019 | -19.4% | -19.6% | -36.2% | |
| Q3 2019 | -23.4% | -36.5% | -42.9% | |
| Q2 2019 | +9.1% | -4.4% | +34.6% | |
| Q1 2019 | +17.0% | +9.1% | -10.4% | |
| Q4 2018 | -5.9% | -8.2% | -9.6% | |
| Q3 2018 | -7.7% | -16.9% | -25.7% | |
| Q2 2018 | -18.9% | -18.7% | -19.4% | |
| Q1 2018 | +23.1% | +27.5% | +90.6% | |
| Q4 2017 | +102.3% | +73.1% | +38.4% | |
| Q3 2017 | -18.8% | -5.4% | -3.9% | |
| Q2 2017 | -20.8% | -26.8% | -21.7% | |
| Q1 2017 | -16.9% | -24.4% | -38.5% | |
| Q4 2016 | -15.2% | -9.8% | -27.1% | |
| Q3 2016 | -0.6% | +5.7% | +27.0% | |
| Q2 2016 | -0.6% | +2.9% | -8.4% | |
| Q1 2016 | -27.9% | — | — | |
| Q4 2015 | +32.9% | — | — | |
| Q3 2015 | -37.8% | — | — | |
| Q2 2015 | -6.0% | — | — | |
| Q1 2015 | -5.6% | — | — | |
| Q4 2014 | -15.0% | — | — | |
| Q3 2014 | +9.0% | — | — | |
| Q2 2014 | -6.5% | — | — | |
| Q1 2014 | -10.8% | — | — | |
| Q4 2013 | +5.3% | — | — | |
| Q3 2013 | -1.3% | — | — | |
| Q2 2013 | +12.8% | — | — | |
| Q1 2013 | +10.7% | — | — | |
| Q4 2012 | -2.1% | — | — | |
| Q3 2012 | -10.8% | — | — | |
| Q2 2012 | +25.2% | — | — | |
| Q1 2012 | +4.8% | — | — | |
| Q4 2011 | +3.6% | — | — | |
| Q3 2011 | +1.2% | — | — | |
| Q2 2011 | +9.5% | — | — | |
| Q4 2009 | +6.9% | — | — | |
| Q1 2011 | +3.1% | — | — | |
| Q3 2010 | -1.3% | — | — | |
| Q4 2010 | -1.1% | — | — | |
| Q2 2010 | -1.1% | — | — | |
| Q1 2010 | -4.6% | — | — |
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