NYSE$MOV

Movado Group Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Announced strong fourth quarter and fiscal year 2021 results, with net sales of $178.3 million.

Movado Group reported strong Q4 results with a sequential improvement in sales, a 220 basis point expansion in gross profit margin, and an $18.1 million decline in operating expenses, driving operating income to $23.9 million.

  • Fourth quarter net sales reached $178.3 million.
  • Operating income was reported at $25.9 million, with adjusted operating income at $23.9 million.
  • Ended fiscal year 2021 with cash of $223.8 million, compared to $185.9 million in fiscal 2020.
  • Board approved a new share repurchase program for $25 million and declared a quarterly dividend of $0.20 per share.

Headline financials

Total Revenue

$178M

Previous: $191M-6.6%
EPS (adj)

$0.84

Previous: $0.15+460.0%
Capital Expenditures

$590K

Previous: $2.69M-78.1%
Free Cash Flow

$74.5M

Previous: $74M+0.8%
Net Income

$30.3M

Previous: $3.53M+756.6%
Operating Income

$25.9M

Previous: $6.6M+292.2%
Gross Profit

$101M

Previous: $101M+0.2%
Cash & Equivalents

$224M

Previous: $186M+20.4%
Total Assets

$719M

Previous: $847M-15.1%
Stock-Based Comp

$1.24M

Previous: $1.72M-27.6%

Revenue & EPS history

Movado · Revenue · Quarterly

$178M

Q4 2021-6.6%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Forward guidance

The Company is not providing annual fiscal 2022 outlook at this time, but expects first quarter fiscal 2022 net sales in a range of approximately $110 million to $115 million and to be slightly profitable on an operating basis.

Tailwinds

  • Brands are experiencing favorable momentum driven by compelling watch and jewelry offerings.
  • Growth opportunities across geographies.
  • Growth opportunities across channels.
  • Growth opportunities across categories.
  • Excited about the upcoming launch of Calvin Klein watches and jewelry in January 2022.

Headwinds

  • The environment still remains uncertain.
  • General economic and business conditions which may impact disposable income of consumers in the United States and the other significant markets (including Europe) where the Company’s products are sold.
  • Uncertainty regarding such economic and business conditions.
  • Trends in consumer debt levels and bad debt write-offs.
  • General uncertainty related to possible terrorist attacks, natural disasters, pandemics, including the effect of the COVID-19 pandemic and other diseases on travel and traffic in the Company’s retail stores and the stores of its wholesale customers.

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 Q4 2021

Historical avgQ4 2021

+2.6%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+0.1%

Avg return

30 days after

60%

39 / 65 earnings

Positive

+30.8%

Q4 2021

Best reaction

-20.8%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026-1.6%+3.3%+23.3%
Q3 2026+6.4%+7.7%+6.5%
Q2 2026+1.9%+7.6%+7.8%
Q1 2026-7.2%-6.8%-11.2%
Q4 2025+4.3%-1.3%+10.2%
Q3 2025+0.0%+0.4%-4.4%
Q2 2025-16.3%-17.9%-13.6%
Q1 2025-1.0%-2.8%-7.1%
Q4 2024+4.2%+5.3%-0.8%
Q3 2024-10.0%-6.7%+4.0%
Q2 2024-1.0%+2.9%-0.2%
Q1 2024+0.5%-0.1%+2.9%
Q4 2023-15.9%-11.9%-19.0%
Q3 2023-8.5%-8.2%-10.0%
Q2 2023-1.5%-2.5%-14.3%
Q1 2023+14.0%+5.9%+2.2%
Q4 2022+10.1%+15.9%+9.5%
Q3 2022+19.4%+13.8%+1.5%
Q2 2022+10.0%+5.3%-2.0%
Q1 2022-9.0%-2.9%+3.3%
Q4 2021+30.8%+30.5%+44.3%
Q3 2021+8.2%+6.9%+4.2%
Q2 2021+2.4%+0.9%-5.8%
Q1 2021-9.7%-11.0%-32.4%
Q4 2020+11.4%+17.3%-8.8%
Q3 2020-20.8%-22.4%-14.4%
Q2 2020-15.2%-13.8%+0.9%
Q1 2020-16.1%-13.2%-12.1%
Q4 2019+11.5%+3.8%+6.1%
Q3 2019+4.6%-10.0%-13.5%
Q2 2019-14.4%-13.8%-15.2%
Q1 2019+16.4%+23.9%+14.5%
Q4 2018+16.0%+13.1%+20.2%
Q3 2018+2.2%-1.4%+10.7%
Q2 2018+14.5%+14.9%+17.6%
Q1 2018-4.5%-4.5%+6.2%
Q4 2017+3.2%-0.8%-1.1%
Q3 2017+10.3%+14.0%+11.8%
Q2 2017-3.9%-4.7%-5.8%
Q1 2017-6.4%-13.6%-13.8%
Q4 2016-4.9%
Q3 2016+11.9%
Q2 2016+27.6%
Q1 2016-5.0%
Q4 2015+20.6%
Q3 2015+3.8%
Q2 2015-11.9%
Q1 2015+1.2%
Q4 2014+9.3%
Q3 2014-2.7%
Q2 2014+12.8%
Q1 2014+1.8%
Q2 2011+1.1%
Q4 2013-13.8%
Q3 2013+8.2%
Q2 2013+16.9%
Q1 2013-8.0%
Q1 2012-8.0%
Q4 2012+5.8%
Q2 2012+5.8%
Q4 2010+5.8%
Q3 2012+18.5%
Q3 2011+18.5%
Q4 2011+2.8%
Q1 2011+10.8%

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