Steve Madden (Nasdaq: SHOO), a leading designer and marketer of
fashion footwear and accessories for women, men and children, today
announced financial results for the second quarter and six months
ended June 30, 2019.
Amounts referred to as “Adjusted”
exclude the items that are described under the heading “Non-GAAP
Adjustments.”
For the Second Quarter
2019:
- Net sales increased 12.4% to $445.0 million compared to $395.8
million in the same period of 2018.
- Gross margin was 37.2% compared to 37.3% in the same period
last year, a decrease of 10 basis points.
- Operating expenses as a percentage of net sales were 26.9%
compared to 27.4% of net sales in the same period of 2018.
Adjusted operating expenses as a percentage of net sales were 26.8%
compared to 26.8% of net sales in the same period of 2018.
- Income from operations totaled $44.6 million, or 10.0% of net
sales, compared to $41.6 million, or 10.5% of net sales, in the
same period of 2018. Adjusted income from operations was
$49.1 million, or 11.0% of net sales, compared to Adjusted income
from operations of $44.0 million, or 11.1% of net sales, in the
same period of 2018.
- Net income attributable to Steven Madden, Ltd. was $36.6
million, or $0.44 per diluted share, compared to $32.4 million, or
$0.38 per diluted share, in the prior year’s second quarter.
Adjusted net income attributable to Steven Madden, Ltd. was $39.5
million, or $0.47 per diluted share, compared to $35.2 million, or
$0.41 per diluted share, in the prior year’s second quarter.
Edward Rosenfeld, Chairman and Chief Executive
Officer, commented, “We delivered a strong second quarter, with net
sales growing 12% and Adjusted diluted EPS increasing 16% compared
to the prior year period. Our flagship Steve Madden brand was
the highlight, with strong growth in the wholesale footwear and
accessories businesses in both domestic and international markets,
as well as exceptional growth on stevemadden.com. Looking
ahead, we remain on track to achieve our sales and Adjusted diluted
EPS guidance for 2019 despite an estimated incremental headwind of
approximately $0.05 per share related to the increase in the tariff
on List 3 products from China from 10% to 25% in effect as of May
10. Based on the strength of our brands and our business
model – combined with our consistency in delivering on-trend
product that resonates with consumers – we are confident that we
can continue to drive sales and earnings growth and create value
for shareholders over the long term.”
Second Quarter 2019
Segment Results
Net sales for the wholesale business increased
13.1% to $363.5 million in the second quarter of 2019, with strong
growth in both the wholesale footwear and accessories
businesses. Wholesale footwear net sales rose 13.5% as robust
growth in Steve Madden, the addition of Anne Klein and a strong
increase in the Company's private label business (excluding Payless
ShoeSource) more than offset not recognizing sales to Payless
ShoeSource in the current period. Wholesale accessories net
sales increased 11.5% driven by a robust gain in Steve Madden
handbags as well as strong growth in the private label
business. Gross margin in the wholesale business increased to
32.1% compared to 31.4% in last year’s second quarter driven by
improvement in wholesale footwear.
Retail net sales in the second quarter rose 9.6%
to $81.5 million compared to $74.3 million in the second quarter of
the prior year. Same store sales increased 6.2% in the
quarter driven by strong performance in the Company’s e-commerce
business. Retail gross margin declined to 59.7% in the second
quarter of 2019 compared to 62.9% in the second quarter of the
prior year due primarily to inventory liquidation and markdowns in
connection with the wind-down of the Company's joint venture
relationship in China as well as aggressive liquidation of
slow-moving inventory in the Company’s North American retail
operations.
The Company ended the quarter with 224
company-operated retail locations, including six internet stores,
as well as 31 company-operated concessions in international
markets.
The Company’s effective tax rate for the second
quarter of 2019 was 21.3% compared to 23.9% in the second quarter
of 2018. On an Adjusted basis, the effective tax rate was
22.4% compared to 21.7% in the second quarter of the prior
year.
Balance Sheet and Cash Flow
During the second quarter of 2019, the Company
repurchased 1.1 million shares of the Company’s common stock for
approximately $34.0 million, which includes shares acquired through
the net settlement of employee stock awards.
As of June 30, 2019, cash, cash equivalents
and current marketable securities totaled $248.8 million.
Quarterly Dividend
The Company’s Board of Directors approved a
quarterly cash dividend of $0.14 per share. The dividend will
be paid on September 27, 2019, to stockholders of record at the
close of business on September 17, 2019.
Fiscal Year 2019 Outlook
For fiscal year 2019, the Company continues to
expect net sales will increase 5% to 7% over net sales in
2018. The Company now expects diluted EPS for fiscal year
2019 will be in the range of $1.74 to $1.82. The Company
continues to expect Adjusted diluted EPS for fiscal year 2019 will
be in the range of $1.78 to $1.86, despite an estimated incremental
headwind of approximately $0.05 per share related to the increase
in the tariff on List 3 products from 10% to 25% in effect as of
May 10.
Non-GAAP Adjustments
Amounts referred to as “Adjusted” exclude the
items below.
For the second quarter 2019:
- $0.1 million pre-tax ($0.1 million after-tax) recovery
associated with the Payless ShoeSource bankruptcy, included in
commission and licensing fee income, net and $1.7 million pre-tax
($1.6 million after-tax) recovery associated with the Payless
ShoeSource bankruptcy, included in operating expenses.
- $1.5 million pre-tax ($1.2 million after-tax) expense in
connection with a provision for early lease termination charges,
included in operating expenses.
- $0.7 million pre-tax ($0.5 million after-tax) expense in
connection with a divisional headquarters relocation, included in
operating expenses.
- $4.1 million pre-tax ($3.0 million after-tax) non-cash expense
associated with the impairment of the Brian Atwood trademark.
For the second quarter 2018:
- $1.1 million pre-tax ($0.8 million after-tax) expense in
connection with the integration of the Schwartz & Benjamin
acquisition and the related restructuring, included in operating
expenses.
- $1.2 million pre-tax ($0.9 million after-tax) expense in
connection with a warehouse consolidation, included in operating
expenses.
- $1.0 million in tax expense in connection with the impairment
of the preferred interest investment in Brian Atwood Italia
Holding, LLC recorded in fourth quarter 2017.
For the fiscal year 2019:
- $0.3 million pre-tax ($0.3 million after-tax) recovery, net of
bad debt expense, associated with the Payless ShoeSource
bankruptcy.
- $2.3 million pre-tax ($1.7 million after-tax) in expense
expected to be incurred in connection with early lease termination
charges.
- $0.7 million pre-tax ($0.5 million after-tax) expense in
connection with a divisional headquarters relocation.
- $4.1 million pre-tax ($3.0 million after-tax) non-cash expense
associated with the impairment of the Brian Atwood trademark.
- $1.9 million pre-tax ($1.4 million after-tax) net benefit
associated with the change in a contingent liability and the
acceleration of amortization related to the termination of the Kate
Spade license agreement as of December 31, 2019.
Reconciliations of amounts on a GAAP basis to
Adjusted amounts are presented in the Non-GAAP Reconciliation
tables at the end of this release and identify and quantify all
excluded items.
Conference Call Information
Interested stockholders are invited to listen to
the second quarter earnings conference call scheduled for today,
July 30, 2019, at 8:30 a.m. Eastern Time. The call will be
broadcast live over the Internet and can be accessed by logging
onto http://stevemadden.gcs-web.com. An online archive of the
broadcast will be available within one hour of the conclusion of
the call and will be accessible for a period of 30 days following
the call.
About Steve Madden
Steve Madden designs, sources and markets
fashion-forward footwear and accessories for women, men and
children. In addition to marketing products under its own
brands including Steve Madden®, Dolce Vita®, Betsey Johnson®,
Blondo®, Report®, Brian Atwood®, Cejon®, Mad Love® and Big Buddha®,
Steve Madden is a licensee of various brands, including Anne
Klein®, Kate Spade®, Superga® and DKNY®. Steve Madden
also designs and sources products under private label brand names
for various retailers. Steve Madden’s wholesale distribution
includes department stores, specialty stores, luxury retailers,
national chains and mass merchants. Steve Madden also operates 224
retail stores (including Steve Madden’s six Internet stores).
Steve Madden licenses certain of its brands to third parties for
the marketing and sale of certain products, including
ready-to-wear, outerwear, eyewear, hosiery, jewelry, fragrance,
luggage and bedding and bath products. For local store
information and the latest Steve Madden booties, pumps, men’s and
women’s boots, fashion sneakers, dress shoes, sandals and more,
visit http://www.stevemadden.com.
Safe Harbor
This press release and oral statements made from
time to time by representatives of the Company contain certain
“forward looking statements” as that term is defined in the federal
securities laws. The events described in forward looking statements
may not occur. Generally, these statements relate to business plans
or strategies, projected or anticipated benefits or other
consequences of the Company’s plans or strategies, projected or
anticipated benefits from acquisitions to be made by the Company,
or projections involving anticipated revenues, earnings or other
aspects of the Company’s operating results. The words “may,”
“will,” “expect,” “believe,” “anticipate,” “project,” “plan,”
“intend,” “estimate,” and “continue,” and their opposites and
similar expressions are intended to identify forward looking
statements. The Company cautions you that these statements concern
current expectations about the Company’s future results and
condition and are not guarantees of future performance or events
and are subject to a number of uncertainties, risks and other
influences, many of which are beyond the Company’s control, that
may influence the accuracy of the statements and the projections
upon which the statements are based. Factors which may affect the
Company’s results include, but are not limited to, the risks and
uncertainties discussed in the Company’s Annual Report on Form
10-K, Quarterly Reports on Form 10-Q and Current Reports on Form
8-K filed with the Securities and Exchange Commission. Any one or
more of these uncertainties, risks and other influences could
materially affect the Company’s results of operations and financial
condition and whether forward looking statements made by the
Company ultimately prove to be accurate and, as such, the Company’s
actual results, performance and achievements could differ
materially from those expressed or implied in these forward looking
statements. The Company undertakes no obligation to publicly update
or revise any forward looking statements, whether as a result of
new information, future events or otherwise.
STEVEN MADDEN, LTD. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF
OPERATIONS DATA
(In thousands, except per share amounts)
(Unaudited)
|
Three Months Ended |
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
Net sales |
$ |
444,974 |
|
|
$ |
395,753 |
|
|
$ |
855,914 |
|
|
$ |
784,767 |
|
Cost of sales |
279,629 |
|
|
247,979 |
|
|
|
533,572 |
|
|
496,260 |
|
Gross profit |
165,345 |
|
|
147,774 |
|
|
|
322,342 |
|
|
288,507 |
|
Commission and licensing fee income, net |
3,147 |
|
|
2,244 |
|
|
|
4,374 |
|
|
5,903 |
|
Operating expenses |
119,809 |
|
|
108,434 |
|
|
|
233,373 |
|
|
216,269 |
|
Impairment charge |
4,050 |
|
|
— |
|
|
|
4,050 |
|
|
— |
|
Income from operations |
44,633 |
|
|
41,584 |
|
|
|
89,293 |
|
|
78,141 |
|
Interest and other income, net |
1,262 |
|
|
1,033 |
|
|
|
2,454 |
|
|
1,630 |
|
Income before provision for income taxes |
45,895 |
|
|
42,617 |
|
|
|
91,747 |
|
|
79,771 |
|
Provision for income taxes |
9,784 |
|
|
10,172 |
|
|
|
20,371 |
|
|
18,128 |
|
Net income |
36,111 |
|
|
32,445 |
|
|
|
71,376 |
|
|
61,643 |
|
Less: net (loss)/income attributable to noncontrolling
interest |
|
|
|
(461 |
) |
|
|
35 |
|
|
|
|
279 |
|
|
|
560 |
|
|
Net income attributable to Steven Madden, Ltd. |
$ |
36,572 |
|
|
$ |
32,410 |
|
|
$ |
71,097 |
|
|
$ |
61,083 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic income per share |
$ |
0.46 |
|
|
$ |
0.40 |
|
|
$ |
0.89 |
|
|
$ |
0.75 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted income per share |
$ |
0.44 |
|
|
$ |
0.38 |
|
|
$ |
0.85 |
|
|
$ |
0.71 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average common
shares outstanding |
|
|
|
79,951 |
|
|
|
|
|
81,681 |
|
|
|
80,241 |
|
|
|
81,885 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted weighted average
common shares outstanding |
|
|
|
83,869 |
|
|
|
|
|
86,258 |
|
|
|
84,064 |
|
|
|
86,123 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends declared per
common share |
$ |
|
0.14 |
|
|
$ |
0.13 |
|
|
$ |
|
0.28 |
|
|
$ |
0.26 |
|
|
STEVEN MADDEN, LTD. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEET
DATA
(In thousands)
|
|
|
As of |
|
|
|
June 30, 2019 |
|
December 31, 2018 |
|
June 30, 2018 |
|
(Unaudited) |
|
|
|
(Unaudited) |
|
|
|
|
|
|
Cash and cash equivalents |
$ |
212,664 |
|
|
$ |
200,031 |
|
|
$ |
190,985 |
|
Marketable securities (current
& non-current) |
36,096 |
|
|
66,968 |
|
|
66,449 |
|
Accounts receivable, net |
306,636 |
|
|
266,452 |
|
|
285,318 |
|
Inventories |
146,120 |
|
|
137,247 |
|
|
133,627 |
|
Other current assets |
39,287 |
|
|
32,427 |
|
|
37,772 |
|
Property and equipment,
net |
61,654 |
|
|
64,807 |
|
|
67,378 |
|
Operating lease right-of-use
assets |
179,320 |
|
|
— |
|
|
— |
|
Goodwill and intangibles,
net |
286,129 |
|
|
291,423 |
|
|
295,454 |
|
Other assets |
13,654 |
|
|
13,215 |
|
|
10,659 |
|
Total assets |
$ |
1,281,560 |
|
|
$ |
1,072,570 |
|
|
$ |
1,087,642 |
|
|
|
|
|
|
|
Accounts payable |
$ |
107,436 |
|
|
$ |
79,802 |
|
|
$ |
100,463 |
|
Contingent payment liability
(current & non-current) |
— |
|
|
3,000 |
|
|
3,000 |
|
Operating leases (current
& non-current) |
193,295 |
|
|
— |
|
|
— |
|
Other current liabilities |
136,131 |
|
|
141,887 |
|
|
130,963 |
|
Other long-term
liabilities |
17,142 |
|
|
33,199 |
|
|
22,923 |
|
Total Steven Madden, Ltd.
stockholders’ equity |
818,354 |
|
|
805,814 |
|
|
823,622 |
|
Noncontrolling interest |
9,202 |
|
|
8,868 |
|
|
6,671 |
|
Total liabilities and
stockholders’ equity |
$ |
1,281,560 |
|
|
$ |
1,072,570 |
|
|
$ |
1,087,642 |
|
STEVEN MADDEN, LTD. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED CASH FLOW
DATA
(In thousands)
(Unaudited)
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
Net cash provided by operating activities |
$ |
59,761 |
|
|
$ |
44,927 |
|
|
|
|
|
Investing Activities |
|
|
|
Purchases of property and
equipment |
(6,214 |
) |
|
(5,251 |
) |
Sales of marketable
securities, net |
32,062 |
|
|
24,896 |
|
Net cash provided by investing
activities |
25,848 |
|
|
19,645 |
|
|
|
|
|
Financing Activities |
|
|
|
Common stock share repurchases
for treasury |
(51,156 |
) |
|
(35,102 |
) |
Investment of noncontrolling
interest |
1,283 |
|
|
— |
|
Distribution of noncontrolling
interest earnings |
(1,113 |
) |
|
— |
|
Payment of contingent
liability |
— |
|
|
(7,000 |
) |
Proceeds from exercise of
stock options |
1,799 |
|
|
11,115 |
|
Cash dividends paid |
(23,987 |
) |
|
(23,474 |
) |
Net cash used in financing
activities |
(73,174 |
) |
|
(54,461 |
) |
|
|
|
|
Effect of exchange rate
changes on cash and cash equivalents |
198 |
|
|
(340 |
) |
|
|
|
|
Net increase in cash and cash
equivalents |
12,633 |
|
|
9,771 |
|
|
|
|
|
Cash and cash equivalents -
beginning of period |
200,031 |
|
|
181,214 |
|
|
|
|
|
Cash and cash equivalents -
end of period |
$ |
212,664 |
|
|
$ |
190,985 |
|
STEVEN MADDEN, LTD. AND
SUBSIDIARIES
NON-GAAP RECONCILIATION
(In thousands, except per share amounts)
(Unaudited)
The Company uses non-GAAP financial information
to evaluate its operating performance and in order to represent the
manner in which the Company conducts and views its business.
Additionally, the Company believes the information assists
investors in comparing the Company’s performance across reporting
periods on a consistent basis by excluding items that are not
indicative of its core business. The non-GAAP financial information
is provided in addition to, and not as an alternative to, the
Company’s reported results prepared in accordance with GAAP.
Table 1 - Reconciliation of GAAP licensing and commission income,
net to Adjusted licensing and commission income, net |
|
|
|
|
|
Three Months Ended |
|
|
|
|
|
Six Months Ended |
|
|
|
|
|
June 30, 2019 |
|
|
|
|
|
June 30, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP commission and licensing fee income, net |
|
|
|
|
$ |
3,147 |
|
|
|
|
|
|
$ |
4,374 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(Recovery)/bad debt expense, net of recovery, associated with the
Payless ShoeSource bankruptcy |
|
|
|
|
(143 |
) |
|
|
|
|
|
1,409 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted licensing and commission income, net |
|
|
|
|
$ |
3,004 |
|
|
|
|
|
|
$ |
5,783 |
|
Table 2 - Reconciliation of GAAP operating expenses to Adjusted
operating expenses |
|
|
|
|
|
Three Months Ended |
|
Three Months Ended |
|
Six Months Ended |
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
GAAP operating expenses |
$ |
119,809 |
|
|
$ |
108,434 |
|
|
$ |
233,373 |
|
|
$ |
216,269 |
|
|
|
|
|
|
|
|
|
Recovery
associated with the Payless ShoeSource bankruptcy |
1,668 |
|
|
— |
|
|
1,668 |
|
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with provision for early lease termination
charges |
(1,543 |
) |
|
— |
|
|
(2,292 |
) |
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with a divisional headquarters relocation |
(669 |
) |
|
— |
|
|
(669 |
) |
|
— |
|
|
|
|
|
|
|
|
|
Net
benefit in connection with the change in a contingent liability and
the acceleration of amortization related to the termination of the
Kate Spade license agreement |
— |
|
|
— |
|
|
1,868 |
|
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with provision for legal charges |
— |
|
|
— |
|
|
— |
|
|
(2,837 |
) |
|
|
|
|
|
|
|
|
Expense
in connection with the integration of the Schwartz & Benjamin
acquisition and the related restructuring |
— |
|
|
(1,131 |
) |
|
— |
|
|
(1,381 |
) |
|
|
|
|
|
|
|
|
Expense
in connection with a warehouse consolidation |
— |
|
|
(1,241 |
) |
|
— |
|
|
(1,241 |
) |
|
|
|
|
|
|
|
|
Adjusted operating expenses |
$ |
119,265 |
|
|
$ |
106,063 |
|
|
$ |
233,948 |
|
|
$ |
210,811 |
|
Table 3 - Reconciliation of GAAP income from operations to Adjusted
income from operations |
|
Three Months Ended |
|
Three Months Ended |
|
Six Months Ended |
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
GAAP income from operations |
$ |
44,633 |
|
|
$ |
41,584 |
|
|
$ |
89,293 |
|
|
$ |
78,141 |
|
|
|
|
|
|
|
|
|
Recovery,
net of bad debt expense, associated with the Payless ShoeSource
bankruptcy |
(1,811 |
) |
|
— |
|
|
(259 |
) |
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with provision for early lease termination
charges |
1,543 |
|
|
— |
|
|
2,292 |
|
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with a divisional headquarters relocation |
669 |
|
|
|
|
669 |
|
|
|
|
|
|
|
|
|
|
|
Net
benefit in connection with the change in a contingent liability and
the acceleration of amortization related to the termination of the
Kate Spade license agreement |
— |
|
|
— |
|
|
(1,868 |
) |
|
— |
|
|
|
|
|
|
|
|
|
Impairment of the Brian Atwood trademark |
4,050 |
|
|
— |
|
|
4,050 |
|
|
— |
|
|
|
|
|
|
|
|
|
Expense
in connection with provision for legal charges |
— |
|
|
— |
|
|
— |
|
|
2,837 |
|
|
|
|
|
|
|
|
|
Expense
in connection with the integration of the Schwartz & Benjamin
acquisition and the related restructuring |
— |
|
|
1,131 |
|
|
— |
|
|
1,381 |
|
|
|
|
|
|
|
|
|
Expense
in connection with a warehouse consolidation |
— |
|
|
1,241 |
|
|
— |
|
|
1,241 |
|
|
|
|
|
|
|
|
|
Adjusted income from operations |
$ |
49,084 |
|
|
$ |
43,956 |
|
|
$ |
94,177 |
|
|
$ |
83,600 |
|
Table 4 - Reconciliation of GAAP provision for income taxes to
Adjusted provision for income taxes |
|
Three Months Ended |
|
Three Months Ended |
|
Six Months Ended |
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
GAAP provision for income taxes |
$ |
9,784 |
|
|
$ |
10,172 |
|
|
$ |
20,371 |
|
|
$ |
18,128 |
|
|
|
|
|
|
|
|
|
Tax
effect of recovery, net of bad debt expense, associated with the
Payless ShoeSource bankruptcy |
(85 |
) |
|
— |
|
|
85 |
|
|
— |
|
|
|
|
|
|
|
|
|
Tax
effect of expense in connection with provision for early lease
termination charges |
387 |
|
|
— |
|
|
575 |
|
|
— |
|
|
|
|
|
|
|
|
|
Tax
effect of expense in connection with a divisional headquarters
relocation |
168 |
|
|
— |
|
|
168 |
|
|
— |
|
|
|
|
|
|
|
|
|
Tax
effect of the net benefit in connection with the change in a
contingent liability and the acceleration of amortization related
to the termination of the Kate Spade license agreement |
— |
|
|
— |
|
|
(469 |
) |
|
— |
|
|
|
|
|
|
|
|
|
Tax
effect in connection with the impairment of the Brian Atwood
trademark |
1,017 |
|
|
— |
|
|
1,017 |
|
|
— |
|
|
|
|
|
|
|
|
|
Tax
expense in connection with the impairment of the preferred interest
investment in Brian Atwood Italia Holding, LLC recorded in fourth
quarter 2017 |
|
|
(1,028 |
) |
|
|
|
(1,028 |
) |
|
|
|
|
|
|
|
|
Tax
effect of expense in connection with provision for legal
charges |
— |
|
|
— |
|
|
— |
|
|
702 |
|
|
|
|
|
|
|
|
|
Tax
effect of expense in connection with the integration of the
Schwartz & Benjamin acquisition and the related
restructuring |
— |
|
|
298 |
|
|
— |
|
|
360 |
|
|
|
|
|
|
|
|
|
Tax
effect of expense in connection with a warehouse consolidation |
— |
|
|
327 |
|
|
— |
|
|
327 |
|
|
|
|
|
|
|
|
|
Adjusted provision for income taxes |
$ |
11,271 |
|
|
$ |
9,769 |
|
|
$ |
21,747 |
|
|
$ |
18,489 |
|
Table 5 - Reconciliation of GAAP net income to Adjusted net
income |
|
Three Months Ended |
|
Three Months Ended |
|
Six Months Ended |
|
Six Months Ended |
|
June 30, 2019 |
|
June 30, 2018 |
|
June 30, 2019 |
|
June 30, 2018 |
|
|
|
|
|
|
|
|
GAAP net income attributable to Steven Madden, Ltd. |
$ |
36,572 |
|
|
$ |
32,410 |
|
|
$ |
71,097 |
|
|
$ |
61,083 |
|
|
|
|
|
|
|
|
|
After-tax
impact of a recovery, net of bad debt expense, associated with the
Payless ShoeSource bankruptcy |
(1,727 |
) |
|
— |
|
|
(344 |
) |
|
— |
|
|
|
|
|
|
|
|
|
After-tax
impact of expense in connection with early lease termination
charges |
1,156 |
|
|
— |
|
|
1,717 |
|
|
— |
|
|
|
|
|
|
|
|
|
After-tax
impact of expense in connection with a divisional headquarters
relocation |
501 |
|
|
— |
|
|
501 |
|
|
— |
|
|
|
|
|
|
|
|
|
After-tax
impact of the net benefit in connection with the change in a
contingent liability and the acceleration of amortization related
to the termination of the Kate Spade license agreement |
— |
|
|
— |
|
|
(1,399 |
) |
|
— |
|
|
|
|
|
|
|
|
|
After-tax
impact associated with the impairment related to the Brian Atwood
trademark |
3,033 |
|
|
— |
|
|
3,033 |
|
|
— |
|
|
|
|
|
|
|
|
|
Tax
expense in connection with the impairment of the preferred interest
investment in Brian Atwood Italia Holding, LLC recorded in fourth
quarter 2017 |
|
|
1,028 |
|
|
|
|
1,028 |
|
|
|
|
|
|
|
|
|
After-tax
impact of expense in connection with provision for legal
charges |
— |
|
|
— |
|
|
— |
|
|
2,135 |
|
|
|
|
|
|
|
|
|
After-tax
impact of expense in connection with the integration of the
Schwartz & Benjamin acquisition and the related
restructuring |
— |
|
|
833 |
|
|
— |
|
|
1,021 |
|
|
|
|
|
|
|
|
|
After-tax
impact of expense in connection with a warehouse consolidation |
— |
|
|
914 |
|
|
— |
|
|
914 |
|
|
|
|
|
|
|
|
|
Adjusted
net income attributable to Steven Madden, Ltd. |
$ |
39,535 |
|
|
$ |
35,185 |
|
|
$ |
74,605 |
|
|
$ |
66,181 |
|
|
|
|
|
|
|
|
|
GAAP
diluted income per share |
$ |
0.44 |
|
|
$ |
0.38 |
|
|
$ |
0.85 |
|
|
$ |
0.71 |
|
|
|
|
|
|
|
|
|
Adjusted diluted income per share |
$ |
0.47 |
|
|
$ |
0.41 |
|
|
$ |
0.89 |
|
|
$ |
0.77 |
|
Contact
Steven Madden, Ltd.Director of Corporate Development &
Investor RelationsDanielle
McCoy718-308-2611InvestorRelations@stevemadden.com
Steven Madden (NASDAQ:SHOO)
Historical Stock Chart
From Aug 2024 to Sep 2024
Steven Madden (NASDAQ:SHOO)
Historical Stock Chart
From Sep 2023 to Sep 2024