Steven Madden, Ltd. posted fourth quarter revenue of $582.3 million, a 12.0 percent increase versus $519.7 million in the 2023 Q4 period.

  • Wholesale business revenue in the fourth quarter was $402.9 million, a 13.6 percent increase year-over-year. Wholesale footwear revenue increased 1.0 percent, and Wholesale accessories/apparel revenue increased 35.4 percent. Gross profit as a percentage of Wholesale revenue was 30.5 percent, compared to 31.7 percent in the fourth quarter of 2023, said to be primarily driven by a greater mix of private label business.
  • Direct-to-Consumer (DTC) revenue in the fourth quarter was $176.0 million, an 8.4 percent increase compared to the 2023 fourth quarter, reportedly driven by increases in both the brick-and-mortar and e-commerce businesses. Gross profit as a percentage of DTC revenue was 62.0 percent, compared to 62.7 percent in the fourth quarter of 2023, said to be driven by an increase in promotional activity.

Gross margin was 40.4 percent of revenue in the quarter, compared to 41.3 percent in the 2023 Q4 period. Adjusted margin was 40.4 percent of revenue, compared to 41.7 percent in the 2023 Q4 period.

Operating expenses as a percentage of revenue were 32.9 percent, compared to 32.4 percent in the 2023 Q4 period. Adjusted operating expenses as a percentage of revenue were 31.4 percent, compared to 31.5 percent in the 2023 Q4 period.

Income from operations totaled $46.7 million, or 8.0 percent of revenue, in Q4, compared to $39.9 million, or 7.7 percent of revenue, in the 2023 Q4 period. Adjusted income from operations totaled $52.6 million, or 9.0 percent of revenue, compared to $53.0 million, or 10.2 percent of revenue, in the 2023 Q4 period.

Net income attributable to Steven Madden, Ltd. was $34.8 million, or 49 cents per diluted share, compared to $35.9 million, or 49 cents per diluted share, in the 2023 Q4 period. Adjusted net income attributable to Steven Madden, Ltd. was $39.3 million, or 55 cents per diluted share, compared to $45.0 million, or 61 cents per diluted share, in the 2023 Q4 period.

“We are pleased to have delivered earnings results at the high end of our guidance range for the fourth quarter and full year 2024,” commented Edward Rosenfeld, chairman and CEO, Steven Madden, Ltd. For the year, revenue grew 15 percent and Adjusted diluted EPS increased 9 percent compared to 2023. Our strong performance in 2024 was driven by our team’s disciplined execution of our key strategic initiatives, with robust gains in international markets, non-footwear categories and direct-to-consumer channels, as well as a return to revenue growth in our U.S. wholesale footwear business.”

Full Year 2024 Results

  • Revenue increased 15.2 percent to $2.28 billion in 2024, compared to $1.98 billion in 2023.
  • Gross profit as a percentage of revenue was 41.0 percent, compared to 42.0 percent in 2023. Adjusted gross profit as a percentage of revenue was 41.1 percent, compared to 42.1 percent in 2023.
  • Operating expenses as a percentage of revenue were 30.6 percent, compared to 30.9 percent in 2023. Adjusted operating expenses as a percentage of revenue were 30.0 percent, compared to 30.6 percent in 2023.
  • Income from operations totaled $224.9 million, or 9.9 percent of revenue, compared to $213.2 million, or 10.8 percent of revenue, in 2023. Adjusted income from operations totaled $253.5 million, or 11.1 percent of revenue, compared to $228.5 million, or 11.5 percent of revenue, in 2023.
  • Net income attributable to Steven Madden, Ltd. was $169.4 million, or $2.35 per diluted share, compared to $171.6 million, or $2.30 per diluted share, in 2023. Adjusted net income attributable to Steven Madden, Ltd. was $192.4 million, or $2.67 per diluted share, compared to $182.7 million, or $2.45 per diluted share, in 2023.

Balance Sheet and Cash Flow Highlights
As of December 31, 2024, cash, cash equivalents and short-term investments totaled $203.4 million. Inventory totaled $257.6 million as of the same date, compared to $229.0 million at the end of 2023.

During the fourth quarter and full year of 2024, the company spent approximately $2.6 million and $98.4 million, respectively, on repurchases of its common stock, which includes shares acquired through the net settlement of employees’ stock awards.

Quarterly Cash Dividend
The company’s Board of Directors approved a quarterly cash dividend of 21 cents per share. The dividend is payable on March 21, 2025 to stockholders of record as of the close of business on March 10, 2025.

2025 Outlook
For 2025, the company expects revenue will increase 17 percent to 19 percent compared to 2024. The company expects diluted EPS will be in the range of $2.30 to $2.40. This outlook assumes the Kurt Geiger acquisition closes on May 1, 2025.

“Looking ahead, we are cautious on the near-term outlook, as we face meaningful headwinds in 2025, most notably the impact of new tariffs on goods imported into the United States,” Rosenfeld said. “That said, we have a proven ability to navigate difficult market conditions with our agile business model, and we are set to add a powerful new growth engine to the company with the pending acquisition of Kurt Geiger, which we expect to close in the second quarter of 2025. The Kurt Geiger London brand has exhibited exceptional growth over the last several years driven by its unique brand image, distinctive design aesthetic and compelling value proposition. Its differentiated and elevated positioning – and its alignment with our strategic initiatives of expanding in international markets, accessories categories and direct-to-consumer channels – make it a highly attractive and complementary addition to our portfolio.”

The company ended the year with 291 company-operated brick-and-mortar retail stores and five e-commerce websites, as well as 42 company-operated concessions in international markets.

Image courtesy Steve Madden, Ltd./Mall of America