FinancialsApr 15, 2025
LVMH’s Q1 Sales Slip 2 PercentFinancialsApr 17, 2025
Movado Group to Increase Prices to Offset Tariffs Impact
During a call about its full-year results, CEO Efraim Grinberg discussed how the company is approaching the uncertainty surrounding tariffs.
A set of Movado Connect 2.0 watches. During a recent earnings call, Movado Group announced plans to raise prices on select items as a result of the tariffs.
Paramus, N.J.—Movado Group reported a decline in sales for its fiscal year as sales slipped at its own stores and those of its wholesale U.S. retail partners.
On an earnings call Wednesday morning, CEO Efraim Grinberg discussed the company’s financial results as well as the recent “misconduct” at its Dubai branch and the potential effects tariffs will have on the business, including Movado’s decision to raise prices on select items.
The company announced last week that it would have to restate its financial results going back to 2021 after “unethical conduct” at a subsidiary branch in Dubai, which included overstating and prematurely recording sales to select customers.
“Honesty, integrity, and transparency are at the core of Movado Group as a company. That is why the unethical conduct that occurred at the Dubai sales office is so disappointing,” said CEO Efraim Grinberg on the call.
“Nevertheless, we will emerge from this episode as a stronger company with an even more robust control environment in place.”
The results announced Wednesday reflect the restated financials.
As for the impact of tariffs, Grinberg acknowledged “the increased level of uncertainty in the economic environment and friction in global trade.”
Even with the 90-day pause on higher reciprocal tariffs, he noted the company still faces a 10 percent tariff on products from other countries (excluding China) and rates of more than 100 percent on Chinese products.
Grinberg said that Movado will face tariffs on the bracelets and leather straps made in China that it uses in its fashion watches.
He said the company will do its best to protect its gross margin in the U.S. despite the impact of tariffs.
As a result of the tariffs, the company will be implementing price increases on certain items.
On the call, Chief Financial Officer Sallie DeMarsilis said, “Although we remain focused on maintaining the quality and value consumers expect, we will be implementing selective price increases while actively engaging with our supply chain partners and customers to respond effectively.”
Grinberg added that the company is working to mitigate some of the cost increases.
“What we're trying to do right now is really understand the tariff structure and see where we will be implementing some price increases but doing it in a way that is sustainable for the long term and manageable with both our retail partners and consumers,” he said.
Due to this uncertainty, the company will not be providing an outlook for fiscal year 2026.
Grinberg said, if the tariffs are sustained, it’s not known yet the effects that will have on consumers worldwide, and so it’s hard to predict what the retail environment will look like.
“I think there's just too much uncertainty to know if this will be a year of growth,” said Grinberg, adding that he hopes the company will have more clarity by the first quarter call in May.
Related stories will be right here …
On an earnings call Wednesday morning, CEO Efraim Grinberg discussed the company’s financial results as well as the recent “misconduct” at its Dubai branch and the potential effects tariffs will have on the business, including Movado’s decision to raise prices on select items.
The company announced last week that it would have to restate its financial results going back to 2021 after “unethical conduct” at a subsidiary branch in Dubai, which included overstating and prematurely recording sales to select customers.
“Honesty, integrity, and transparency are at the core of Movado Group as a company. That is why the unethical conduct that occurred at the Dubai sales office is so disappointing,” said CEO Efraim Grinberg on the call.
“Nevertheless, we will emerge from this episode as a stronger company with an even more robust control environment in place.”
The results announced Wednesday reflect the restated financials.
As for the impact of tariffs, Grinberg acknowledged “the increased level of uncertainty in the economic environment and friction in global trade.”
Even with the 90-day pause on higher reciprocal tariffs, he noted the company still faces a 10 percent tariff on products from other countries (excluding China) and rates of more than 100 percent on Chinese products.
Grinberg said that Movado will face tariffs on the bracelets and leather straps made in China that it uses in its fashion watches.
He said the company will do its best to protect its gross margin in the U.S. despite the impact of tariffs.
As a result of the tariffs, the company will be implementing price increases on certain items.
On the call, Chief Financial Officer Sallie DeMarsilis said, “Although we remain focused on maintaining the quality and value consumers expect, we will be implementing selective price increases while actively engaging with our supply chain partners and customers to respond effectively.”
Grinberg added that the company is working to mitigate some of the cost increases.
“What we're trying to do right now is really understand the tariff structure and see where we will be implementing some price increases but doing it in a way that is sustainable for the long term and manageable with both our retail partners and consumers,” he said.
Due to this uncertainty, the company will not be providing an outlook for fiscal year 2026.
Grinberg said, if the tariffs are sustained, it’s not known yet the effects that will have on consumers worldwide, and so it’s hard to predict what the retail environment will look like.
“I think there's just too much uncertainty to know if this will be a year of growth,” said Grinberg, adding that he hopes the company will have more clarity by the first quarter call in May.
Looking to its fourth-quarter results, ending Jan. 31, the company reported that net sales rose 3 percent year-over-year (5 percent on a constant dollar basis) to $181.5 million.
The increase in net sales was attributed to growth in international wholesale channels and online retail.
However, the increase was partially offset by declines in U.S. wholesale customers’ brick and mortar stores and Movado-owned stores, as well as the negative impact of fluctuations in foreign exchange rates.
“I think there's just too much uncertainty to know if this will be a year of growth.”-Movado Group CEO Efraim Grinberg
Gross profit was $98.3 million, or 54 percent of net sales, compared with $94.1 million, or 54 percent of net sales in the previous fourth quarter.
Quarterly sales in the U.S. were down 3 percent year-over-year while international sales rose 9 percent (12 percent on a constant dollar basis).
For the full-year, net sales were down 2 percent year-over-year (2 percent on a constant dollar basis) to $653.4 million.
The decline in full-year net sales was attributed to declines in U.S. wholesale customers’ brick and mortar stores and Movado-owned stores, as well as the negative impact of fluctuations in foreign exchange rates.
It was partially offset by growth in online retail in the U.S. and in international wholesale channels.
Gross profit was $353.1 million, or 54 percent of net sales, compared with $364.2 million, or 55 percent of net sales, in the previous fiscal year.
Full-year sales in the U.S. fell 4 percent year-over-year while international sales were up under 1 percent (1 percent on a constant dollar basis).
“While this past year represented challenges for the company, history has shown that these are the moments when our teams rise to the occasion and deliver. It's in these times that we identify what needs to be corrected, tighten our focus on variable expenses, and raise the bar on execution,” said Grinberg.
Editors' Picks
Sponsored by
Grinberg also shared updates about Movado’s various brands during the call.
The company’s brand portfolio includes its eponymous brand as well as in-house and licensed brands, like Coach and Tommy Hilfiger.
Its namesake brand has been undergoing a “refresh” since last fall, which Movado previously said has paid off, noting increased brand awareness across the market in key demographic targets.
Notably, DeMarsilis said the company plans to reduce its marketing spend by $15 million to $20 million this fiscal year.
The Movado brand introduced a new “Bold Mini Quest” watch and a collection of women’s bangles, which will be available in time for Mother’s Day, as well as new automatic watches for men.
This spring, the brand will introduce its first set of Movado watches set with lab-grown diamonds, priced below $2,000.
Grinberg noted a rise in popularity of women’s watches with feminine, smaller designs, across both its Movado brand and its licensed brands.
The Coach brand is performing well with Gen Z shoppers, he said, while Tommy Hilfiger is seeing success with its skeleton watches and smaller women’s watches.
For Lacoste, the new “LC33” collection was a strong seller as was its “Metropole” bracelet. The brand will introduce a new hexagonal-shaped women’s watch as part of its new “Parisian” collection.
In Hugo Boss, the “Grand Prix” chronograph has been selling out, said Grinberg, while its bold jewelry offerings are also performing well.
For Calvin Klein, the “Pulse” collection has been a bestseller. It will introduce new watches and jewelry this year, including the “Spiral” collection.
More on Financials
The Latest
Lab-GrownNov 10, 2026
GIA Examines Pink Lab-Grown Diamond Made to Look NaturalThe 6-carat CVD-grown pink diamond was “deliberately modified” to mimic the appearance of a natural rough diamond, the lab said.
SourcingNov 10, 2026
Botswana in Line to Take Controlling Stake in De Beers, President Says If the Global Diamond Consortium emerges as the top bidder for De Beers, Botswana’s stake will double to 30 percent, Duma Boko said Monday.
ColumnistsNov 10, 2026
Who Checks the Facts When AI Writes Your Jewelry Copy?An incorrect AI-generated ad or product description can cost your store valuable consumer trust.
Brought to you by
DSF Antique Jewelry: Fine Jewelry, Signed Designers, and a World of Rare DiscoveriesWith over 50 years experience in the trade, DSF Antique Jewelry offers quality, craftsmanship, condition, and remarkable variety.
Events & AwardsNov 09, 2026
Here Are the 2027 Gem Award NomineesThese nine individuals and brands are up for a Gem Award in the Jewelry Design, Media Excellence, and Retail Innovation categories.
Weekly QuizNov 05, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CrimeNov 09, 2026
Jeweler Pistol-Whipped, $900K in Jewelry Stolen During Home Invasion The incident, which happened in Miami-Dade County, serves as a reminder to jewelers of the dangers of selling and storing jewelry at home.
GradingNov 09, 2026
GIA Acquires Thousands of Gem Specimens With ‘Extraordinary’ InclusionsGIA Analytical Microscopist John Koivula curated the collection of 2,665 crystals, gems, and minerals over a 60-year span.
Brought to you by
How Overnight Mountings’ Bridal Builder Makes Custom Engagement Ring Design Easier to SellWith customization becoming more expected in engagement ring shopping, the Bridal Builder makes the process tangible.
CollectionsNov 09, 2026
Bibi van der Velden’s Alligators Become High JewelryThe “Eclipse” collection, the brand’s first high jewelry line, centers its alligator motif in diamond and spinel jewels.
EditorsNov 06, 2026
The Spectrum Pieces I Can’t Stop Thinking AboutFrom a Betta fish brooch to a “dragon’s trove” of zircon eggs, here are seven pieces that’ve stuck with Associate Editor Lauren McLemore.
TrendsNov 06, 2026
Pat Pruitt’s DragonFly Earrings Take Flight on Election NightGroundbreaking New Mexico Governor-elect Deb Haaland wore the earrings, our Piece of the Week, when she declared victory on Tuesday.
MajorsNov 06, 2026
SNL’s Colin Jost Finds the Perfect Gift in Kay Jewelers’ Holiday AdJost goes on an epic journey, traversing rough seas and encountering a cyclops, to discover the perfect holiday gift.
Supplier BulletinNov 05, 2026
Winning With GCAL 8X®: What’s Working at the CounterSponsored by GCAL by Sarine
SurveysNov 05, 2026
What Retailers Should Know About Holiday Shoppers This YearFrom shrinking budgets to AI elves, here are five takeaways from holiday reports by Bain, Adobe, Mastercard, NRF, and insights from YouGov.
CollectionsNov 05, 2026
Judi Powers, Russell Jones Unleash Joy With New CollaborationThe designers combined their talents for Little Pet Portraits, hand-painted miniatures of our best friends set in a piece of jewelry.
MajorsNov 05, 2026
Ariana Grande Stars In Swarovski’s Holiday Campaign“Joy: The Swarovski Musical” features Ariana Grande as the leading lady in scenes inspired by classic musical montages.
GradingNov 05, 2026
GIA to Offer Next-Day Holiday ServicesThe lab will bring back its complimentary next-day service for some reports starting next week.
CrimeNov 04, 2026
$250K+ in Undeclared Cartier Jewelry Seized at Philadelphia AirportA Pennsylvania woman failed to declare a ring and a bracelet, discarding the boxes and receipts to conceal the purchases, officials said.
Events & AwardsNov 04, 2026
NYC Jewelry Week 2026 Is the Largest Edition YetThe citywide celebration, slated for Nov. 16-22, is set to host more than 175 events, including live jewelry-making demos.
MajorsNov 04, 2026
Bergdorf Goodman Names New PresidentLanessa Elrod, former president and CEO of Louis Vuitton Americas, has stepped into the role as the retailer celebrates 125 years.
AuctionsNov 03, 2026
Infinity Gauntlet Set With 170+ Carats of Colored Gemstones Up for AuctionA replica of one of the most powerful objects in the Marvel Cinematic Universe, the glove is heading to auction next month in Abu Dhabi.
IndependentsNov 03, 2026
Longtime Jewelry Marketer Arthur Klein Dies at 89Klein, who had his own marketing agency and worked for Gabriel & Co. and Trans American Diamond, is remembered as a kind man.
IndependentsNov 03, 2026
Zadok Jewelers Toasts To 50 Years With Diamond Bracelet GiveawayTo enter the giveaway, locals can purchase a featured beverage from one of eight participating restaurants in Houston and Austin, Texas.
Events & AwardsNov 03, 2026
David Yurman Gem Awards Grant Opens 2027 ApplicationsThe grant recipient will be awarded $50,000 as well as mentoring meetings with executives at David Yurman and other industry executives.
Events & AwardsNov 03, 2026
NAJA, Instappraise Name 2026 Scholarship WinnersThe winners include a non-NAJA member seeking training, a member beginning NAJA courses, and a member becoming a Certified Master Appraiser.
AuctionsNov 02, 2026
197-Carat ‘Romanov Sapphire’ Heads to Sotheby’s GenevaThe rare jewel, which has links to Russia’s Romanov dynasty, is estimated to fetch up to $2 million.
CrimeNov 02, 2026
Customs Seizes More Than 400 Fake Audemars Piguet WatchesIt is one of several seizures of counterfeit jewelry and watches by U.S. Customs and Border Protection officials in Louisville this year.
