STEVEN MADDEN, LTD. (SHOO): Results of Operations and Financial Condition
STEVEN MADDEN, LTD. (SHOO) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Steve Madden Announces Second Quarter 2026 Results ~ Raises Fiscal 2026 Revenue and Adjusted Diluted EPS Guidance; Reaffirms GAAP Diluted EPS Guidance ~ ~ Announces Appointment of Ken Pilot to Board of Directors ~ LONG ISLAND CITY, N.Y., July 30, 2026 – Steven Madden
How this was made
The 30-second read
Why it matters
The key tradable items are the raised FY2026 revenue growth range (11% to 13% from 10% to 12%) and higher GAAP and adjusted diluted EPS ranges, supported by improved gross margin and operating profitability in Q2.
Market read
A same-day earnings and guidance update with explicit FY2026 targets is likely to drive repricing of expectations and near-term positioning in SHOO.
What to watch
Investors may scrutinize wholesale excluding Kurt Geiger growth and the extent to which tariff headwinds and private-label penetration changes are structural versus temporary.
Steve Madden Announces Second Quarter 2026 Results ~ Raises Fiscal 2026 Revenue and Adjusted Diluted EPS Guidance; Reaffirms GAAP Diluted EPS Guidance ~
Revenue increased 19.1% to $665.9 million, GAAP income from operations turned positive at $39.3 million from ($40.3) million, and adjusted diluted EPS increased to $0.44 from $0.20. The Company raised fiscal 2026 revenue and Adjusted diluted EPS guidance while maintaining GAAP diluted EPS guidance.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $665.9 million | – | increased 19.1% |
| Gross profit as a percentage of revenueGAAP | 46.5% | – | – |
| Adjusted gross profit as a percentage of revenuenon-GAAP | 46.5% | – | – |
| Operating expenses as a percentage of revenueGAAP | 40.6% | – | – |
| Adjusted operating expenses as a percentage of revenuenon-GAAP | 39.8% | – | – |
| Income / (loss) from operationsGAAP | $39.3 million | – | – |
| Income / (loss) from operations as a percentage of revenueGAAP | 5.9% | – | – |
| Adjusted income from operationsnon-GAAP | $44.5 million | – | – |
| Adjusted income from operations as a percentage of revenuenon-GAAP | 6.7% | – | – |
| Net income / (loss) attributable to Steven Madden, Ltd.GAAP | $27.7 million | – | – |
| Diluted earnings per shareGAAP | $0.38 per diluted share | – | – |
| Adjusted net income attributable to Steven Madden, Ltd.non-GAAP | $31.7 million | – | – |
| Adjusted diluted earnings per sharenon-GAAP | $0.44 per diluted share | – | – |
| Gross profit as a percentage of wholesale revenueGAAP | 35.2% | – | – |
| Adjusted gross profit as a percentage of wholesale revenuenon-GAAP | 35.2% | – | – |
| Gross profit as a percentage of direct-to-consumer revenueGAAP | 64.0% | – | – |
| Adjusted gross profit as a percentage of direct-to-consumer revenuenon-GAAP | 64.0% | – | – |
| Company-operated brick-and-mortar retail storesother | 382 Company-operated brick-and-mortar retail stores | – | – |
| Outletsother | 92 outlets | – | – |
| E-commerce websitesother | eight e-commerce websites | – | – |
| Company-operated concessions in international marketsother | 164 Company-operated concessions in international markets | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Wholesale businessWholesale revenue increased 11.5% excluding Kurt Geiger. Wholesale footwear revenue increased 9.0%, or 7.8% excluding Kurt Geiger. Wholesale accessories/apparel revenue increased 19.2%, or 17.5% excluding Kurt Geiger. | $407.5 million | – | a 13.0% increase |
| Direct-to-consumerDirect-to-consumer revenue increased 11.1% excluding Kurt Geiger. | $255.4 million | – | a 30.6% increase |
fiscal 2026 outlook
- Revenueincrease 11% to 13% compared to fiscal 2025
- Notediluted earnings per share (“EPS”) will be in the range of $2.55 to $2.65
- NoteAdjusted diluted EPS will be in the range of $2.05 to $2.15
Capital returns
- During the second quarter of 2026, the Company did not repurchase any shares of its common stock in the open market.
- 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.
What drove it
- The Steve Madden brand continued to gain momentum as consumers responded to trend-right assortments created by Steve and his design team.
- Strong marketing execution, a compelling product offering, and increased brand heat fueled performance across direct-to-consumer and wholesale channels.
- Wholesale adjusted gross profit as a percentage of revenue benefited from higher average selling prices, a smaller negative impact from tariffs and a lower penetration of private label.
- Direct-to-consumer adjusted gross profit as a percentage of revenue benefited from higher average selling prices, a reduction in promotional activity and a smaller negative impact from tariffs.
Concerns
- The filing identifies risks from changes in trade policies, additional tariffs on product imported to the United States, retaliatory trade actions and resulting trade wars.
- The filing identifies risks related to integrating the operations, systems, processes, reporting, supply chains, and personnel of Kurt Geiger.
- The filing identifies risks associated with increased indebtedness used to finance the acquisition of Kurt Geiger, including related debt service requirements.
- The filing identifies risks that substantial goodwill and intangible assets recorded from the acquisition of Kurt Geiger could become impaired upon adverse changes to the business environment.
What to watch
- Fiscal 2026 revenue growth within the updated expectation of 11% to 13% compared to fiscal 2025.
- Fiscal 2026 diluted EPS in the range of $2.55 to $2.65 and Adjusted diluted EPS in the range of $2.05 to $2.15.
- Whether the higher average selling prices, reduced promotional activity, smaller tariff impact and lower private-label penetration continue to support channel gross-profit percentages.
- Execution of Kurt Geiger integration and management of the Company’s $124.8 million of total debt outstanding.
Balance sheet and cash flow
- As of June 30, 2026, total debt outstanding was $124.8 million.
- Cash and cash equivalents were $94.7 million.
- Net debt was $30.1 million as of June 30, 2026.
Analysis
Steve Madden reported broad second-quarter growth, with revenue increasing 19.1% to $665.9 million from $559.0 million. Wholesale revenue was $407.5 million, a 13.0% increase, while direct-to-consumer revenue was $255.4 million, a 30.6% increase. Excluding Kurt Geiger, wholesale revenue increased 11.5% and direct-to-consumer revenue increased 11.1%, indicating growth across both channels apart from the acquired business contribution.
Profitability improved materially. Gross profit as a percentage of revenue was 46.5%, compared to 40.4%, while adjusted gross profit as a percentage of revenue was 46.5%, compared to 41.9%. GAAP income from operations was $39.3 million, compared to a loss from operations of ($40.3) million, and adjusted income from operations was $44.5 million, compared to $22.6 million. GAAP diluted EPS was $0.38 per diluted share versus ($0.56) per diluted share, while adjusted diluted EPS was $0.44 per diluted share versus $0.20 per diluted share.
Channel mix and pricing were important contributors to margin performance. Wholesale gross profit as a percentage of revenue was 35.2%, compared to 30.0%, and direct-to-consumer gross profit as a percentage of revenue was 64.0%, compared to 58.7%. The Company attributed wholesale adjusted gross-profit performance to higher average selling prices, a smaller negative impact from tariffs and lower private-label penetration. It attributed direct-to-consumer adjusted gross-profit performance to higher average selling prices, reduced promotional activity and a smaller negative impact from tariffs.
The Company ended the quarter with total debt outstanding of $124.8 million, cash and cash equivalents of $94.7 million, and net debt of $30.1 million. It made no open-market share repurchases during the quarter, while the Board approved a quarterly cash dividend of $0.21 per share. The filing also highlights Kurt Geiger integration and acquisition-related indebtedness as areas of risk.
Management raised fiscal 2026 revenue guidance to an increase of 11% to 13% compared to fiscal 2025, from previous guidance of 10% to 12%, and raised Adjusted diluted EPS guidance to $2.05 to $2.15 from $2.00 to $2.10. It reaffirmed fiscal 2026 diluted EPS guidance of $2.55 to $2.65. The updated outlook follows the reported second-quarter revenue growth, positive GAAP operating income, and expanded gross-profit percentages in both wholesale and direct-to-consumer.
Management, verbatim
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.
Edward Rosenfeld, Chairman and Chief Executive Officer
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.
Edward Rosenfeld, Chairman and Chief Executive Officer
Not in the filing
stated, not guessed- Prior-quarter revenue, gross margin, operating expenses, operating income, net income and EPS comparisons
- Dollar gross profit
- Dollar operating expenses
- Operating cash flow
- Free cash flow
- Capital expenditures
- Inventory
- Accounts receivable
- Prior-period cash, debt and net debt comparisons
- Share repurchase authorization and remaining authorization
- Fiscal 2026 gross margin, operating-expense and tax-rate guidance
- Previous release outlook for formal actual-versus-prior-guidance comparison
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
The company filed an SEC 8-K with Q2 2026 results and updated fiscal 2026 outlook, plus a board appointment.
Ticker impact
Steven Madden reported Q2 revenue up 19.1% to $665.9M, with gross margin up to 46.5%, and raised FY2026 revenue and EPS guidance.
Moderately positive reaction likely, with follow-through dependent on whether investors focus more on margin sustainability or demand/wholesale trends.
The filing includes both hard quarterly results (revenue, margins, net income) and explicit updated FY2026 revenue and adjusted/GAAP EPS ranges, which are direct inputs to valuation and positioning.
Market effects
Signals strength in branded footwear/apparel demand and potential tariff/promotional normalization effects, which can influence sentiment toward discretionary retail peers.
Limited direct regional spillover; primarily US-listed consumer discretionary sentiment.
International wholesale and DTC performance metrics may modestly affect global apparel/discretionary risk appetite, but impact is company-specific.
Counterpoint
Margin gains could be partly mix-driven (e.g., higher average selling prices, lower promotional activity) and may not fully persist into later quarters.
Key entities
- companySteven Madden, Ltd.
Reported Q2 2026 results and raised FY2026 revenue and EPS guidance; announced Ken Pilot joining the board.
- personKen Pilot
Founder and CEO of Ken Pilot Ventures, appointed to Steven Madden’s board effective October 1, 2026.
- personEdward Rosenfeld
Chairman and CEO who commented on brand momentum and disciplined execution.
