The strength of Steven Madden Ltd.’s brands was evident in its second quarter earnings report.
“We delivered robust top- and bottom-line growth in the second quarter, reflecting the strength of our brands and disciplined execution across the organization,” said Edward Rosenfeld, the company’s chairman and chief executive officer, in a statement. “The Steve Madden brand was the highlight, continuing to gain momentum as consumers responded enthusiastically to the trend-right assortments.”
Rosenfeld added that due to the strong results in the quarter and momentum across the firm’s brand, the company is raising revenue and adjusted diluted earnings per share (EPS) outlook for 2026.
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“Looking further ahead, we remain confident that our powerful brands, proven business model and talented team provide a strong foundation to deliver sustainable growth and long-term value creation for our shareholders,” the CEO said.
Shares of Steven Madden rose 3.7 percent to $45.00 in pre-market trading after the firm posted its second earnings report.
For the second quarter ended June 30, net income was $27.7 million, or 38 cents a diluted share, against a net loss of $39.5 million, or 56 cents, in the same year-ago quarter. Adjusted diluted EPS was 44 cents. Total revenue rose 19.1 percent to $665.9 million from $559.0 million, with net sales up 19.2 percent to $662.9 million from $556.1 million. The balance of income was from licensing revenue.
Wall Street was expecting adjusted diluted earnings per share of 33 cents on revenue of $638.4 million.
The company said revenue for the wholesale buisness was $407.5 million, up 13 percent from year-ago levels. Excluding Kurt Geiger, wholesale revenue rose 11.5 percent. Wholesale footwear revenue rose 9 percent, or 7.8 percent excluding Kurt Geiger. And wholesale accessories and apparel revenue was up 19.2 percent, or 17.5 percent excluding Kurt Geiger. Gross profit as a percentage of wholesale revenue was 35.2 percent, versus 30.0 percent a year ago. The wholesale report was far better than in the first quarter where the firm saw wholesale footwear sales slow.
Direct-to-consumer (DTC) revenue for the quarter was $255.4 million, up 30.6 percent from year-ago levels. Excluding Kurt Geiger, DTC revenue rose 11.1 percent. Gross profit as a percentage of DTC revenue was 64 percent, up from 58.7 percent a year ago.
For the six months, net income was $99.5 million, or $1.38 a diluted share, up from $946, or 1 cent, in the same year-ago period. Total revenue was up 18.6 percent to $1.32 billion from $1.11 billion, which included a net sales increase of 18.5 percent to $1.31 billion from $1.11 billion.
The company guided fiscal 2026 revenue to increase between 11 percent and 13 percent, up from prior guidance of an increase between 10 percent and 12 percent. It continues to expected diluted EPS in the range of $2.55 to $2.65, with adjusted diluted EPS in the range of $2.05 to $2.15, up from prior guidance of $2.00 to $2.10.
The company also said as of Oct. 1, 2026, its Board of Directors will expand from 10 to 11 members. Ken Pilot, a digital expert, will join the Board as a director.
The company ended the quarter with 382 company-operated brick-and-mortar retail stores, including 92 outlets and eight e-commerce websites. It also operates 164 company-owned concessions in international markets.
