Financials

Movado’s 2021 US Sales Shot Up 61 Percent

FinancialsMar 24, 2022

Movado’s 2021 US Sales Shot Up 61 Percent

Also, the company has donated $100,000 to charities aiding those affected by the war in Ukraine.

20220324_Movado.jpg
These 36 mm square-dial watches are a part of Movado’s capsule collection in collaboration with the late artist Carmen Herrera.
Paramus, N.J.—Movado Group reported strong sales in the fourth quarter and the full year but remained cautious about the fiscal year ahead in light of the war in Ukraine and inflationary pressures.

Like Signet CEO Gina Drosos last week, Movado CEO Efraim Grinberg opened the company’s earnings call Thursday morning by addressing the Russian invasion of Ukraine.

“We are now operating in a world that is being greatly affected by the devastation in Ukraine. Our hearts and prayers go out to all those affected by this untenable situation.”

The Movado Group Foundation donated $100,000, split evenly between the International Rescue Committee and UNHCR, the UN Refugee Agency.

Looking at its results, net sales in the fourth quarter were up 16 percent to $206 million, compared with $178.3 million in the previous year’s fourth quarter.

Movado attributed the sales increase to growth in its wholesale customers’ brick-and-mortar stores as well as in online retail, in its owned stores and wholesale customers’ website, and growth in Movado stores.

For the full year, net sales surged 45 percent to $732.4 million, compared with $506.4 million in 2021.

Quarterly gross profit totaled $120.8 million, or 59 percent of net sales, compared with $100.8 million, or 57 percent of net sales, in the same period last year.

Gross profit for the full year was $419.1 million, or 57 percent of net sales, compared to gross profit of $270.5 million, or 53 percent of net sales, in fiscal 2021.

In the U.S. market, quarterly net sales were up 19 percent year-over-year, and up 12 percent compared with pre-pandemic Q4 2020.

For the full year, U.S. sales soared, climbing 61 percent year-over-year, and up 14 percent compared with Q4 2020.

“We attribute our ongoing strength to the successful execution of our strategy with powerful brands, excellent craftsmanship and desirable designs,” said CEO Efraim Grinberg in a press release about the results.

“This drove sales growth in our owned and licensed brands; in the U.S. and internationally, and across our channels of wholesale and direct-to-consumer.”

The Movado website has seen “significant growth,” said Grinberg on the call, as the company continues to develop its digital platform and omnichannel capabilities.

Sales on the Movado website grew by 34 percent in the fourth quarter, with average unit retail increasing by 17 percent. Website sales grew 61 percent in the full year.

Movado jewelry made up 12 percent of the brand’s e-commerce sales in the quarter, Grinberg said, with sales more than doubling year-over-year.

For the quarter, watches that retail for more than $1,000 accounted for more than 20 percent of Movado sales.

In fall 2021, Movado launched a new capsule collection in collaboration with Cuban-born artist Carmen Herrera, who died last month at 106.

 Related stories will be right here … 

Movado Group’s licensed brands, including Coach and Tommy Hilfiger, also put on a solid performance, with sales up 12 percent year-over-year in the quarter and up 40 percent for the full year.

The Tommy Hilfiger brand saw strong growth, particularly in key European markets, in both jewelry and watches.

The Coach brand performed well in the U.S. and China, especially its “Arden” collection.

The Hugo Boss brand’s sales exceeded pre-pandemic levels. A new “Admiral'' model, made of ocean plastic and featuring a solar movement, will be introduced this spring to appeal to eco-conscious consumers.

Movado will produce Hugo Boss jewelry in addition to watches after its wholly owned Swiss subsidiary, MGI Luxury Group, recently amended its licensing deal with Hugo Boss Trade Mark Management, according to an SEC filing.

The licensing period was also extended to Dec. 31, 2026, with an additional five years for certain rights after that.

Lacoste also performed well, with its “1212” and “Tiebreaker” collections standing out. The brand will soon introduce a new Minecraft collection and an active lifestyle collection.

The Olivia Burton brand was down single digits for the year due to challenges in its U.K. market.

The MVMT brand also saw single-digit declines for the year, which Grinberg attributed to moderating customer acquisition costs due to decreased marketing efficiency. The brand’s newly appointed CEO, Eran Cohen, is developing a growth strategy, said Grinberg.

Movado also launched its Calvin Klein watches and jewelry line earlier this month.

It inked a five-year licensing agreement with the brand in August 2020 after Calvin Klein ended its 22-year licensing deal with Swatch Group.

Grinberg is taking a cautious approach to the fiscal year ahead.

He highlighted rising inflationary pressures, including wage and labor pressures, as reasons and said Movado will offset some of these costs through price increases.

“As we look ahead, we recognize that we continue to operate in an uncertain environment, with rising interest rates heightened by increasing inflation, combined with the war in Ukraine, ongoing COVID outbreaks and closures in China, and lapping U.S. stimulus measures in the first half of last year, yet we remain confident in our positioning and our ability to deliver long term growth in sales and profit,” he said.

Fiscal 2023 net sales are expected to be in the range of approximately $780 million to $800 million.

Gross profit is expected to be 58 percent of net sales, while operating income is expected to be in the range of to $125 million to $130 million.

The updated outlook does not take into consideration inflation, geopolitical unrest, additional COVID-related retail closures or significant changes in foreign currency exchange rates, Movado noted.

The Latest

GIA iD100® Technology
Supplier BulletinJul 03, 2025
Protect Your Customers and Your Business

Sponsored by the Gemological Institute of America

Madison Keys in Brilliant Earth campaign
MajorsJul 03, 2025
Brilliant Earth Names Tennis Star Madison Keys as Its New Ambassador

The 2025 Australian Open champion is the jewelry brand’s first athlete ambassador.

Muse Nordstrom shop-in-shop
MajorsJul 03, 2025
Muse Sets Up Shop in Nordstrom’s New Jewelry Hall

The West Village jewelry boutique’s new shop-in-shop is the cornerstone of Nordstrom’s revamped jewelry hall.

an instructor and a student in a bench jewelry classroom
Brought to you by
Investing in the Next Generation of Bench Jewelers

The Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.

Shree Ramkrishna Exports
SourcingJul 03, 2025
SRK Announces Its Natural Diamonds Are Now Carbon-Negative

This past year, the manufacturer said it recorded below-zero emissions per carat of natural diamond.

Weekly QuizJul 02, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Yeprem Golden Strada Statement Necklace
CollectionsJul 03, 2025
Piece of the Week: A Firework of Diamonds From Yeprem

The brand’s “Golden Strada” statement necklace features round, marquise, and pear diamonds that sparkle like Fourth of July fireworks.

Stock image of police cars with their lights on
CrimeJul 03, 2025
JSA Shares Holiday Weekend Security Tips Amid Spike in Burglaries

JSA’s Scott Guginsky provided a list of nine security measures jewelers should observe while locking up for the long weekend.

Jewelers of America logo with meetup, State of the Majors, giveaway and massages
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025

The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.

Exterior and entryway of Boucheron’s Los Angeles Flagship
MajorsJul 02, 2025
Boucheron Looks to LA for First West Coast Flagship

Located on Rodeo Drive, the store’s design was inspired by Hollywood and Los Angeles culture.

Exterior of Marco Bicego Milan Flagship
MajorsJul 02, 2025
Marco Bicego Opens Milan Flagship

The new location continues the brand’s celebration of its 25th anniversary.

Chrono24 Time Is Our Thing campaign image
WatchesJul 02, 2025
Chrono24 Revamps Brand, Launches New Campaign

The online watch marketplace’s “Time Is Our Thing” campaign highlights the importance of time.

Bernadette Mack
SourcingJul 02, 2025
Bernadette Mack Joins Gem Legacy as Executive Director

She will oversee strategic planning, fundraising, industry partnerships, and the launch of the Gem Legacy Campus in Tanzania.

Counterfeit Pandora jewelry in bags and boxes
CrimeJul 02, 2025
Pandora, Amazon Partner to Uncover Counterfeit Jewelry Network

Working with Amazon’s Counterfeit Crimes Unit and law enforcement, Pandora helped to shut down a large-scale counterfeit network in China.

Cast Issa Rae
MajorsJul 01, 2025
Cast Closes Business, Plans for Relaunch

The jewelry company has closed its three California brick-and-mortar stores, as well as its online shop, for now.

Eve Goldberg, Matthew Denatale, Willie Lopez, Benjamin Goldberg
Events & AwardsJul 01, 2025
William Goldberg Diamonds, FIT Partner for Apprenticeship Program

The company is providing the opportunity for an FIT student to work alongside master diamond cutter Willie Lopez in its workshop.

Elie Hannoush
IndependentsJul 01, 2025
Elie Hannoush, Founder of Hannoush Jewelers, Dies at 73

He is remembered for his successful entrepreneurship, generosity, and dedication to his family.

Claire’s store
MajorsJul 01, 2025
Claire’s Is Looking for a Buyer, Report Says

The jewelry store chain has reportedly been struggling with costs related to tariffs as well as tough retail competition.

Mindi Mond Spike Earrings
TrendsJul 01, 2025
Amanda’s Style File: Red Hot Rubies

Welcome warm summer days with red hot rubies perfectly chosen as July’s birthstone.

The Story of Everything Campaign, Toadstool Mushroom and Cosmic Egg
CollectionsJun 30, 2025
State Property’s New Jewelry Tells ‘The Story of Everything’

Co-founders Afzal Imram and Lin Ruiyin brought their son’s story of a cosmic egg, toadstool, and railroad to life in their new collection.

Smart Age Solutions CEO Emmanuel Raheb
ColumnistsJun 30, 2025
The Smart Lab: Why Q3 Is the Secret Weapon For Holiday Jewelry Sales

The best time to prepare for the holiday season is right now, according to columnist Emmanuel Raheb.

Morgan Keefe
Events & AwardsJun 30, 2025
AGA Names Recipient of 2025 Gemological Education Scholarship

This year’s winner is Morgan Keefe, who is currently studying at GIA to be a gemologist.

The Jewelry Book
IndependentsJun 30, 2025
Melanie Grant’s New Book Explores 200 Years of Jewelry

“The Jewelry Book” comes out this September.

Gemist
TechnologyJun 27, 2025
Gemist Raises $6M in Funding to Scale Jewelry Tech Platform

The company is focused on modernizing the custom jewelry buying experience with e-commerce tools like product visualization and 3D styling.

Jeff Preolo, David Stout, Levi Higgs, David Benavides
IndependentsJun 27, 2025
David Webb Announces New Hires, Promotions

Following its recent acquisition, the storied brand has updated its leadership team and regional managers.

Blake Graham and Jessica Kohoutek
Events & AwardsJun 27, 2025
AGS, GIA Announce Beatrice Shipley Scholarship Winner

AGS also named the recipient of its “Women in Leadership” scholarship.

Buddha Mama Monstera Ring
CollectionsJun 27, 2025
Piece of the Week: Buddha Mama’s ‘Monstera’ Wrap Ring

The 20-karat yellow gold and diamond wrap ring is modeled after the Monstera plants in the garden of the brand’s Miami villa.

Cashier handing Rocksbox bag to customer
MajorsJun 26, 2025
Why Rocksbox Is Opening Stores As Signet Jewelers Downsizes

Rocksbox President Allison Vigil shared the retailer’s expansion plans, and her thoughts on opening stores in malls.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy