Movado Group Reports Strong Q2 Earnings Amid Strategic Shifts
Movado Group (NYSE:MOV) reported second-quarter fiscal 2027 results showing a significant increase in adjusted earnings per share to $0.54 from $0.23 the previous year, alongside net sales rising by 4.9% to $169.8 million. The company attributed part of its strong performance to one-time IEEPA duty refunds totaling $3.2 million related to tariffs paid between February 2025 and May 2026. Even excluding these gains, gross margin improved due to favorable product mix, strategic pricing, and reduced discounting. The growth was broad-based with strong sales in the U.S., international markets (excluding constant currency), Latin America, India, and online channels like Movado.com, which saw an 8% increase. The Olivia Burton brand also contributed significantly with a 23% rise in sales driven by small-shaped watches targeted at key markets. Looking ahead, management noted that the favorable margin tailwinds are temporary and expect normalization for the second half of fiscal 2027. Despite this, Movado remains optimistic about future growth through brand extensions like Kate Spade watches under its Tapestry partnership.
Tickers: $MOV
Topics: financial performance online sales sales growth watch industry