Movado Posts FY2026 Profit Rebound on U.S. Sales Growth as It Withholds 2027 Outlook

Overview

• Fiscal 2026 revenue rose 2.7% with fourth-quarter sales up 5.6%, led by U.S. wholesale, retail, and e-commerce channels.
• Operating income increased 28.7% as cost controls and higher volumes improved leverage.
• IEEPA tariffs reduced full-year gross margin by about 150 basis points, or roughly $10 million, and brief 39% peak rates led to import delays that lifted year-end inventory.
• The company ended the year with $230.5 million in cash and no debt, prioritizing a steady dividend and buybacks mainly to offset compensation dilution.
• Management withheld a formal fiscal 2027 outlook due to tariff uncertainty and weaker demand in the Middle East market.