FinancialsMay 22, 2025
Watches of Switzerland’s Full-Year U.S. Sales Climb 14% FinancialsMay 30, 2025
Movado’s Q1 Sales Slip Amid ‘Challenging’ Retail Environment
The company plans to raise the prices of select watches to offset the impact of tariffs.
A set of Movado Connect 2.0 watches. Movado Group reported that net sales declined 2 percent year-over-year in the first quarter.
Paramus, N.J.—Movado Group’s sales declined in its first quarter as it faced a tough retail landscape and the impact of tariffs.
“In the first quarter, we navigated a challenging retail environment with discipline and focus, continuing to invest in our iconic brands while driving operational efficiency,” CEO Efraim Grinbergs said in a statement.
On the company’s earnings call Thursday morning, Grinberg provided insight into how the company’s brands are performing, the effect of tariffs on its business, and what younger shoppers are buying.
In the first quarter ending April 30, net sales slipped 2 percent year-over-year (1 percent on a constant dollar basis) to $131.8 million.
Movado attributed the decrease to sales declines at Movado-owned stores and its in-house watch brands, partially offset by an uptick in sales of its licensed brands.
The company’s brand portfolio includes Movado, Ebel, and Concord, as well as licensed brands like Coach and Tommy Hilfiger.
Its licensed brands performed well, especially its fashion watch category, said Grinberg, while new products from the Movado brand were well received for Mother’s Day.
Quarterly sales in the United States were down 2 percent year-over-year while international sales also fell 2 percent (1 percent on a constant dollar basis).
In addressing the ongoing tariffs situation, Grinberg said there is cause for optimism amid the uncertainty.
“As we progress through the current quarter and position ourselves for the second half, we are seeing some positive signs. While continuing to navigate a retail and economic environment affected by tariff- related uncertainties, at the current temporary U.S. tariff rates, we believe we can partially mitigate the associated cost increases through available levers and including selective price increases.”
Grinberg noted that the current tariff rates are subject to change, and given the level of global uncertainty, the company is focusing on what it can control and operating “with a high level of flexibility and agility.”
“Still, we see resilience in the category with young consumers embracing trend-forward watches and jewelry. Across our portfolio, we have seen strong momentum in women’s watch collections and men’s jewelry offerings, both of which are helping to drive engagement and growth,” Grinberg said.
He also noted renewed interest in smaller watches among younger consumers.
As for its brand portfolio, the Movado brand has been undergoing a refresh, which Grinberg said is going well.
Its newly introduced styles, including the “Mini Bangle” collection and the “Bold Mini Quest” watch, received a positive response from customers with price points at $750 and $595, respectively.
“I think the challenges are that discretionary purchases are challenged and value still continues to be really important,” he said.
Movado brand ambassador and NBA star Tyrese Haliburton, a point guard for the Indiana Pacers, is having “a standout playoff run,” added Grinberg, which has enhanced the brand’s visibility.
Related stories will be right here …
“In the first quarter, we navigated a challenging retail environment with discipline and focus, continuing to invest in our iconic brands while driving operational efficiency,” CEO Efraim Grinbergs said in a statement.
On the company’s earnings call Thursday morning, Grinberg provided insight into how the company’s brands are performing, the effect of tariffs on its business, and what younger shoppers are buying.
In the first quarter ending April 30, net sales slipped 2 percent year-over-year (1 percent on a constant dollar basis) to $131.8 million.
Movado attributed the decrease to sales declines at Movado-owned stores and its in-house watch brands, partially offset by an uptick in sales of its licensed brands.
The company’s brand portfolio includes Movado, Ebel, and Concord, as well as licensed brands like Coach and Tommy Hilfiger.
Its licensed brands performed well, especially its fashion watch category, said Grinberg, while new products from the Movado brand were well received for Mother’s Day.
Quarterly sales in the United States were down 2 percent year-over-year while international sales also fell 2 percent (1 percent on a constant dollar basis).
In addressing the ongoing tariffs situation, Grinberg said there is cause for optimism amid the uncertainty.
“As we progress through the current quarter and position ourselves for the second half, we are seeing some positive signs. While continuing to navigate a retail and economic environment affected by tariff- related uncertainties, at the current temporary U.S. tariff rates, we believe we can partially mitigate the associated cost increases through available levers and including selective price increases.”
Grinberg noted that the current tariff rates are subject to change, and given the level of global uncertainty, the company is focusing on what it can control and operating “with a high level of flexibility and agility.”
“Still, we see resilience in the category with young consumers embracing trend-forward watches and jewelry. Across our portfolio, we have seen strong momentum in women’s watch collections and men’s jewelry offerings, both of which are helping to drive engagement and growth,” Grinberg said.
He also noted renewed interest in smaller watches among younger consumers.
As for its brand portfolio, the Movado brand has been undergoing a refresh, which Grinberg said is going well.
Its newly introduced styles, including the “Mini Bangle” collection and the “Bold Mini Quest” watch, received a positive response from customers with price points at $750 and $595, respectively.
“I think the challenges are that discretionary purchases are challenged and value still continues to be really important,” he said.
Movado brand ambassador and NBA star Tyrese Haliburton, a point guard for the Indiana Pacers, is having “a standout playoff run,” added Grinberg, which has enhanced the brand’s visibility.
Its licensed brands, meanwhile, recorded a high single digit increase in sales, he said.
Gen Z and millennial shoppers are gravitating towards the Coach brand, particularly the “Sammy” and “Cast” collections.
Hugo Boss found success with the “Sky Traveler” collection for men and the “Lucy” women’s collection. It is also growing its jewelry offerings.
Lacoste posted growth in the quarter, highlighting its “LS33” and “Boston” lines in particular. Its “Metropole” bracelet remains a top seller in the brand’s jewelry segment.
The Calvin Klein brand is focusing on driving growth in its women’s business, with the “Pulse” collection and the new “Meridian” watch. As for its jewelry, the “Elongated Drop” CK Jewelry collection was a top seller.
Tommy Hilfiger’s skeleton watches remained popular, as did its “Bank” chronograph in the brand’s classic colors. The “Tia” square watch for women also performed well.
The Olivia Burton brand did well in both the U.S. and the U.K., particularly its “Grosvenor” watch.
Sales at Movado’s outlet division slipped 2 percent in the first quarter, an improvement that has continued in Q2, said Grinberg.
Looking at other financial metrics, gross profit was $71.4 million, or 54.1 percent of net sales, compared with $72.9 million, or 54.3 percent of net sales, in the previous first quarter.
The decrease in gross margin percentage was attributed in part to the negative impact of foreign exchange rate fluctuations, increased shipping costs, and the decreased leverage of certain fixed costs as a result of lower sales.
However, it was somewhat offset by favorable changes in channel and product mix, said Movado.
Notably, Movado announced last month 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.
Looking to the year ahead, Movado declined to provide a fiscal 2026 outlook, citing “the current economic uncertainty and the unpredictable impact of tariff developments.”
“As we begin the second quarter, we anticipate continued market volatility, yet we are optimistic about the opportunities that lie ahead, as we introduce compelling innovation across our powerful brand portfolio,” Grinberg said.
More on Financials
The Latest
CollectionsOct 10, 2025
Count Down to the Holidays With Astrid & Miyu’s Advent CalendarsThe trio of Advent calendars include a version with 18-karat gold and lab-grown diamond jewelry in a red lacquer jewelry box.
CollectionsOct 10, 2025
Piece of the Week: Marla Aaron’s ‘Nymphenburg Lock’Created in collaboration with Nymphenburg Porcelain, the lock is part of a four-piece collection that took two years to bring to fruition.
MajorsOct 10, 2025
Frederick Goldman Names New VP of SalesJewelry industry veteran Alisa Bunger has taken on the role.
Brought to you by
JA New York Fall Is Right Around the CornerThe upcoming show provides savvy retailers with the opportunity to stock their cases with best sellers in advance of the holiday season.
SourcingOct 09, 2025
Feriel Zerouki Is Leaving De Beers The company and industry leader’s two-decade tenure with De Beers will come to a close at the end of the month.
Weekly QuizOct 09, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
AuctionsOct 09, 2025
This Fabergé Egg Could Crack $27M At Auction“The Winter Egg” set the world auction record for a Fabergé piece twice at previous Christie’s sales.
MajorsOct 09, 2025
Sy Kessler Buying Watch Batteries as Silver Hits Record High The company will pay 1.5x silver’s current spot price for each pound of silver oxide batteries submitted.
CollectionsOct 09, 2025
Katkim Launches First Men’s CollectionThe line includes a “Shadow” series crafted exclusively for the new men’s offering and reimagined styles from the brand’s core collections.
SourcingOct 09, 2025
Gemfields’ Mini Mixed-Quality Ruby Auction Garners $11MThe rough on offer was recovered from a newer area at the Montepuez mine.
SourcingOct 08, 2025
In ‘Storied Diamond,’ Jared Jewelers Is Emphasizing the Journey The retailer’s new collection of engagement rings and fashion jewelry is set with natural diamonds that are traceable via blockchain.
CollectionsOct 08, 2025
Emily P. Wheeler Shifts Into Neutral for Latest ‘Ombré’ CollectionThe champagne colorway in her newest “Ombré” collection combines white and trendy brown diamonds, a departure from her usual vibrant hues.
CollectionsOct 08, 2025
Tsuba Designs Inspire Monica Rich Kosann’s New CharmsKosann partnered with the Museum of Fine Arts, Boston, to create a set of necklaces inspired by the artwork on samurai sword handguards.
CrimeOct 07, 2025
Men Who Posed as Utility Workers Found Guilty in Jeweler’s MurderCarlos Jose Hernandez and Joshua Zuazo face life in prison for the October 2024 murder of 72-year-old Detroit-area jeweler Hussein Murray.
CollectionsOct 07, 2025
Jessica McCormack Looks to Sea Spirits for ‘Tempest’ CollectionThe brand’s first high jewelry collection, “Tempest” plays with movement while calling to mind the folklore of the sea.
SourcingOct 07, 2025
Columbia Gem House Announces ‘Opals for Outback Heroes’ FundraiserProceeds from its jewelry raffle will go to a volunteer-run fire and rescue group in the Lightning Ridge area of New South Wales, Australia.
MajorsOct 07, 2025
Stuller Names Its S.E.R.V.E Stars for 2025Stuller said the recipients embody the company’s core values, which include community participation and personal and professional growth.
WatchesOct 06, 2025
This Fall, Citizen’s Forecast Calls for RainCitizen’s new “Rainell” women’s watch has a raindrop-shaped case and is available with a silver-, gold-, purple-, or green-colored dial.
AuctionsOct 06, 2025
The ‘Rolex That Made Rolex’ Heads to Auction at Sotheby’s The “Mercedes Gleitze Rolex Oyster,” named for the British endurance swimmer who made it famous, will go up for sale next month.
GradingOct 06, 2025
GIA India Names Former De Beers Exec as New Managing DirectorAmit Pratihari was previously the managing director of De Beers India and Forevermark India.
SourcingOct 06, 2025
SoCal 24 Karat Club Integrates Into Diamond Club West CoastMembers of the Jewelers 24 Karat Club of Southern California will gain access to expanded services, resources, and connections, DCWC said.
TrendsOct 03, 2025
Selena Gomez, Benny Blanco Tie the Knot Wearing Diamonds, White MetalsGomez’s jewelry included Tiffany & Co. drop-style earrings while Blanco stacked diamonds from Jacob & Co. on his wrist.
GradingOct 03, 2025
Grading Lab HRD Antwerp Names New CEODiamond industry banking veteran Paul De Wachter will take on the role in January 2026.
TrendsOct 03, 2025
Piece of the Week: Kallati’s Pink Sapphire RingTaylor Swift flaunts an Elizabeth Taylor-esque gemstone in promo for her new album, “The Life of a Showgirl.”
CollectionsOct 02, 2025
Boucheron Debuts Cuffs Crafted With 3D-Printed SandIts “Quantre Sand” capsule was made using a 3D sand printing technique borrowed from the automotive and aeronautics industries.
CrimeOct 02, 2025
$1M in Jewelry Stolen in Northern California Smash and Grab Four individuals have been charged in the “takeover-style” robbery of Heller Jewelers last month, and additional charges are expected.
MajorsOct 02, 2025
Neil Lane Jewelry Exhibition Coming to Toledo Museum of Art“Radiance and Reverie” will showcase more than 150 jewels from Lane’s personal collection by Tiffany & Co., Cartier, and more.
