Steven Madden, Ltd. slightly raised its earnings and sales outlook for the year while reporting earnings on an adjusted basis more than doubled on an 18.1 percent sales increase.

Second Quarter 2026 Results

  • Revenue increased 19.1 percent to $665.9 million, compared to $559.0 million in the same period of 2025.
  • Gross profit as a percentage of revenue was 46.5 percent, compared to 40.4 percent in the same period of 2025. Adjusted gross profit as a percentage of revenue was 46.5 percent, compared to 41.9 percent in the same period of 2025.
  • Operating expenses as a percentage of revenue were 40.6 percent, compared to 47.2 percent in the same period of 2025. Adjusted operating expenses as a percentage of revenue were 39.8 percent, compared to 37.9 percent in the same period of 2025.
  • Income / (loss) from operations totaled $39.3 million, or 5.9 percent of revenue, compared to ($40.3) million, or (7.2 percent) of revenue, in the same period of 2025. Adjusted income from operations totaled $44.5 million, or 6.7 percent of revenue, compared to $22.6 million, or 4.0 percent of revenue, in the same period of 2025.
  • Net income / (loss) attributable to Steven Madden, Ltd. was $27.7 million, or 38 cents per diluted share, compared to a loss of $39.5 million, or 56 cents per diluted share, in the same period of 2025. Adjusted net income attributable to Steven Madden, Ltd. was $31.7 million, or 44 cents per diluted share, compared to $13.9 million, or 20 cents per diluted share, in the same period of 2025.

Edward Rosenfeld, chairman and chief executive officer, commented, “We delivered robust top- and bottom-line growth in the second quarter, reflecting the strength of our brands and disciplined execution across the organization. The Steve Madden brand was the highlight, continuing to gain momentum as consumers responded enthusiastically to the trend-right assortments created by Steve and his design team. Combined with strong marketing execution, our compelling product offering generated increased brand heat and fueled strong performance across both direct-to-consumer and wholesale channels.

“Based on the strong results in the second quarter and the momentum we see across our brands, we are raising our revenue and adjusted diluted earnings per share outlook for 2026. 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.”

Second Quarter 2026 Channel Results

  • Revenue for the wholesale business in the second quarter of 2026 was $407.5 million, a 13.0 percent increase compared to the second quarter of 2025. Excluding Kurt Geiger, wholesale revenue increased 11.5 percent. Wholesale footwear revenue increased 9.0 percent, or 7.8 percent excluding Kurt Geiger. Wholesale accessories/apparel revenue increased 19.2 percent, or 17.5 percent excluding Kurt Geiger. Gross profit as a percentage of wholesale revenue was 35.2 percent in the second quarter of 2026, compared to 30.0 percent in the second quarter of 2025. Adjusted gross profit as a percentage of wholesale revenue was 35.2 percent, compared to 30.9 percent in the second quarter of 2025, due to higher average selling prices, a smaller negative impact from tariffs and a lower penetration of private label.
  • Direct-to-consumer revenue in the second quarter of 2026 was $255.4 million, a 30.6 percent increase compared to the second quarter of 2025. Excluding Kurt Geiger, direct-to-consumer revenue increased 11.1 percent. Gross profit as a percentage of direct-to-consumer revenue was 64.0 percent, compared to 58.7 percent in the second quarter of 2025. Adjusted gross profit as a percentage of direct-to-consumer revenue was 64.0 percent, compared to 61.3 percent in the second quarter of 2025, due to higher average selling prices, a reduction in promotional activity and a smaller negative impact from tariffs.
  • The company ended the quarter with 382 company-operated brick-and-mortar retail stores, including 92 outlets, as well as eight e-commerce websites and 164 company-operated concessions in international markets.

Balance Sheet Highlights

  • As of June 30, 2026, total debt outstanding was $124.8 million and cash and cash equivalents were $94.7 million. Net debt is a non-GAAP financial measure that the company defines as total debt less cash and cash equivalents. Net debt was $30.1 million as of June 30, 2026.
  • During the second quarter of 2026, the company did not repurchase any shares of its common stock in the open market.

Quarterly Cash Dividend

  • The company’s Board of Directors approved a quarterly cash dividend of $0.21 per share. The dividend is payable on September 24, 2026 to stockholders of record as of the close of business on September 11, 2026.

Board Appointment
The company also announced that, effective October 1, 2026, its Board of Directors will expand from ten to eleven directors, and Ken Pilot will join the Board as the newly appointed director. Mr. Pilot is the Founder and Chief Executive Officer of Ken Pilot Ventures, an advisory and investment firm focused on retail, consumer and commerce technology companies. He brings more than 30 years of leadership experience across retail and consumer businesses, having served in senior executive roles at leading retailers including J.Crew, Gap Inc., Ralph Lauren, American Eagle Outfitters and ABC Carpet & Home. Mr. Pilot currently advises and invests in a number of companies focused on artificial intelligence, e-commerce infrastructure and retail technology platforms.

Rosenfeld commented, “We are pleased to welcome Ken to our Board of Directors. His decades of experience building brands and driving growth, together with his deep understanding of digital innovation and emerging technologies, will be invaluable as we continue to execute our long-term growth strategy. We look forward to benefiting from his insights and perspective.”

Fiscal 2026 Outlook
The company now expects fiscal 2026 revenue will increase 11 percent to 13 percent compared to fiscal 2025, up from its previous guidance of 10 percent to 12 percent. The company continues to expect fiscal 2026 diluted earnings per share (“EPS”) will be in the range of $2.55 to $2.65. The company now expects adjusted diluted EPS will be in the range of $2.05 to $2.15, up from its previous guidance range of $2.00 to $2.10.

Image courtesy Steve Madden