AuctionsMar 29, 2023
10.57-Carat Purplish Pink Diamond Expected to Sell for $35M+Sotheby’s will auction the diamond, which it says is “arguably the most significant pink diamond to ever appear at auction,” in June.
WatchesApr 01, 2016
Movado Bracing for ‘Challenging’ Year
The watch company saw sales increase in the fourth quarter and fiscal year but is tempering its growth forecast for the year ahead.
Paramus, N.J.--Movado Group reported Thursday that sales increased in both the fourth quarter and fiscal year, but the watch maker is tempering its 2016 outlook as the retail environment remains challenging.
Net sales for the watch company whose brands include Movado, Ebel and Concord were up 1 percent year-over-year to $594.9 million in the fiscal year ended Jan. 31. Excluding the impact of foreign exchange rates, net sales increased 6 percent year-over-year.
Gross profit increased to $316.9 million, or 53 percent of sales, compared with gross profit of $310 million, or about 53 percent of sales, last year. Movado said a favorable shift in channel and product mix, selective price increases and sourcing improvements helped to buoy gross profit but that was mostly offset by the unfavorable impact of changes in foreign currency exchange rates.
Net income slid from $51.8 million to $45.1 million.
In the fourth quarter, Movado’s net sales increased 7 percent, from $133.9 million to $143.3 million. Excluding the impact of foreign exchange rates, net sales were up 10 percent year-over-year.
Gross profit grew from $67.4 million, or 50 percent of sales, to $75.4 million, or 53 percent of sales, while net income fell from $10.1 million to $7.9 million.
Commenting on the company’s results, Chairman and CEO Efraim Grinberg called the company’s fourth quarter performance “solid” and noted that the Q4 and full-year performance “demonstrate the strength of our Movado brand and licensed brand portfolio, which continue to outperform the overall watch market, as well as the early success of our new collection launches.”
Despite the company’s solid finish to the year, Grinberg said they expect the retail environment to remain “challenging” in the coming year.
As a result, Movado projects sales of $585 million to $600 million, and net income of $43.3 million to $46.7 million.
Also on Thursday, Movado announced that Vice Chairman and Chief Operating Officer Rick Coté, who joined the company in 2001, will retire in June. He will remain on the board of directors.
The company said it will not replace him.
In addition, Grinberg announced that the company has increased its ownership of its joint venture subsidiaries in France and Germany to 100 percent.
More on Watches
The Latest
MajorsMar 29, 2023
Blue Nile to Close Fulfillment Center, Lay Off WorkersThe retailer, recently acquired by Signet Jewelers, will lay off 119 employees in July.
MajorsMar 29, 2023
Mark Henry Jewelry Offering Complimentary ‘Masterclass’ on Sales from Peter SmithAs part of the promotion, Smith will share his sales expertise during a 90-minute training session.
Brought to you by
Full Disclosure at Your FingertipsDistinguishing natural diamonds from laboratory-grown stones – now more available than ever – has been difficult for jewelers. Until now.
EditorsMar 28, 2023
I’m Enchanted With Parmigiani Fleurier’s Perfect Travel WatchAt Watches & Wonders, the Swiss brand unveiled a follow-up to last year’s Tonda PF GMT Rattrapante.
Weekly QuizMar 23, 2023
This Week’s QuizTest your jewelry news knowledge with this short test.
CollectionsMar 28, 2023
Helzberg’s New Lab-Grown Diamond Collection Earns SCS CertificationThe “rêve” collection’s engagement rings and wedding bands are geared toward “sustainability minded customers.”
EditorsMar 28, 2023
This New Rolex Day-Date Tells Time … and AffirmationsA new word appears on the dial each day of the week.
Brought to you by
Bringing Over 130 Years of Diamond Expertise to Modern GradingDe Beers Institute of Diamonds provides the very best in diamond verification, education and diamond services.
IndependentsMar 28, 2023
D.C. Jeweler That Honored 50-Year-Old Gift Certificate Closes Bensons Jewelers closed for good Feb. 24, impacted in part by the decline in foot traffic downtown since the onset of the pandemic.
MajorsMar 28, 2023
Swarovski Names New GM of North AmericaKolja Kiofsky has been with the crystal and jewelry company since 2010.
AuctionsMar 27, 2023
Jewels to Shine in Upcoming ‘Golden Age’ of Hollywood AuctionThe Kruse GWS Auctions sale will include the replica “Taj Mahal” necklace Elizabeth Taylor made with Avon as well as a costume piece Marilyn Monroe wore.
MajorsMar 27, 2023
Pandora Promotes GM to Chief of Retail OperationsMassimo Basei is moving up, while Chief Commercial Officer Martino Pessina is stepping down.
Events & AwardsMar 27, 2023
Registration Is Open for the HardRock SummitAGTA GemFair and the Denver Gem & Mineral Show also will have a presence on the show floor.
AuctionsMar 24, 2023
Piece of the Week: The $5.8M Patek Philippe ‘Sky Moon Tourbillon’Sold by Christie’s Hong Kong, this masterwork of complications now holds the record for most expensive watch ever auctioned online.
FinancialsMar 24, 2023
Movado Predicts Declining Sales Amid ‘Volatile’ Retail EnvironmentThe watch company expects first-quarter sales to fall as much as 15 percent due to inflation and tough comps.
Lab-GrownMar 24, 2023
Lightbox Promotes General Manager to COOAdam O’Grady, general manager of the Lightbox Lab, has taken on the new role and will report directly to Lightbox CEO Antoine Borde.
SourcingMar 23, 2023
Burgundy Diamond Backing Out of Ellendale Mine Deal Burgundy has opted not to exercise its option to buy the mining claims Gibb River Diamonds currently owns.
GradingMar 23, 2023
GCAL Introduces 8X Cut Grade for Proprietary CutsPatented and specialty cuts now can receive an 8X Proprietary Certificate, which can be customized to include a company’s brand and logo.
Events & AwardsMar 23, 2023
Diamonds Do Good Names 2023 Award Recipients The organization said it will recognize those who exemplify the idea that doing good is good business.
CollectionsMar 22, 2023
Messika’s 2023 Campaign Pairs New Jewelry With Vintage CarsKendall Jenner once again is fronting the French brand’s campaign, joined by model and dancer Alton Mason.
Events & AwardsMar 22, 2023
Hari Krishna Exports Hosts Gala Amid UN Water ConferenceThe CEOs of Signet, Helzberg, and GIA spoke on a water conservation panel, and had lakes named in their companies’ honor.
Policies & IssuesMar 22, 2023
See Kwiat’s Bracelet for World Water DaySales of the sleek sterling silver and diamond design will go to nonprofit organization charity: water.
AuctionsMar 21, 2023
Marlene Dietrich’s Van Cleef & Arpels Bracelet Going Up for AuctionExpected to earn up to $4.5 million, the “Jarretière” bracelet is the star of Christie’s “The Magnificent Jewels of Anne Eisenhower” sale.
ColumnistsMar 21, 2023
Squirrel Spotting: Customer Retention Mindset—The New CRM With jewelry sales coming down from their pandemic highs, retailers need to do all they can to retain existing customers, Peter Smith says.
Events & AwardsMar 21, 2023
ASJRA’s May Conference Examines ‘Iconic’ Jewelry CompaniesJewelry historians, authors, and experts will explore the works of Tiffany & Co., Oscar Heyman, Verdura, and more.
IndependentsMar 21, 2023
Borsheims Executive Jennifer Johnson RetiresJohnson joined the retailer in 1987, establishing its first human resources department.
Recorded WebinarsMar 20, 2023
Watch: Lab Grown Diamonds: What's Now? What's New? What's Next?Supplier Spotlight Presented by IGI
