Steven Madden Beats on the Top Line

Before you go, we thought you'd like these...
Before you go close icon

Steven Madden (NAS: SHOO) reported earnings on May 3. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Steven Madden beat expectations on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share improved significantly.


Margins shrank across the board.

Revenue details
Steven Madden notched revenue of $266.0 million. The eight analysts polled by S&P Capital IQ predicted sales of $250.0 million on the same basis. GAAP reported sales were 60% higher than the prior-year quarter's $165.8 million.

anImage

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.50. The nine earnings estimates compiled by S&P Capital IQ predicted $0.50 per share. GAAP EPS of $0.50 for Q1 were 19% higher than the prior-year quarter's $0.42 per share.

anImage

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 36.1%, 560 basis points worse than the prior-year quarter. Operating margin was 13.3%, 330 basis points worse than the prior-year quarter. Net margin was 8.2%, 260 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $280.4 million. On the bottom line, the average EPS estimate is $0.60.

Next year's average estimate for revenue is $1.19 billion. The average EPS estimate is $2.67.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 209 members out of 229 rating the stock outperform, and 20 members rating it underperform. Among 66 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 59 give Steven Madden a green thumbs-up, and seven give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Steven Madden is outperform, with an average price target of $49.86.

With hundreds of companies like Steven Madden competing for shoppers' limited dollars, strong brands matter. Household names can provide growth for even boring, mature companies -- as long as you choose the right ones. Learn about a few who have what it takes in "3 American Companies Set to Dominate the World." Click here for instant access to this free report.

At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners