Movado reports Q2 adjusted EPS 38c vs. $1.07 a year ago

Reports Q2 revenue $160.4M vs. $182.8M last year. Generated gross margin of 55.7% as compared to 58.5% in the prior year period. Efraim Grinberg, Chairman and CEO, stated, “We managed our business well, delivering second quarter net sales and earnings within our range of expectations despite operating in a challenging retail environment for our category, particularly in the United States and Europe, our largest markets. While wholesale shipments moderated from last year, reflecting our partners’ tight management of inventory and a more cautious consumer, we continued to make progress against our key initiatives to deliver sought-after innovation, powerful marketing and compelling value across our portfolio of brands. Our Company continues to manage with discipline, delivering positive operating cash flow and balance sheet strength with $218.9 million in cash, well-controlled inventory and no debt at quarter end. While we believe that there remains a level of consumer uncertainty, we are committed to investing in our brand-building efforts and expect these initiatives to generate strong return on investment and enhance our growth potential over the medium and long term. We are excited about our Movado brand refresh being launched this fall and supporting our licensed brand partners with strong regional marketing programs.”