Steve Madden failed to impress during the holidays. The fashion footwear brand pointed to a challenging retail environment and unseasonable warm weather for sluggish fourth quarter sales.
Net sales for the fourth quarter ended Dec. 31, 2015 were nudged 0.5% to $344.2 million, but missed the average analyst estimate of $360.3 million, according to Reuters.
Net sales for the wholesale division decreased 1.8% to $265.0 million. Retail net sales grew 8.9% to $79.2 million. Retail comparable store sales for the fourth quarter of 2015 increased 6.1%.
The company said it expects profits for the fiscal year 2015 to fall at the low end of its previously provided guidance range of $1.85–$1.95. Steve Madden Chairman and CEO Edward Rosenfeld, Chairman and Chief Executive Officer, commented that the company is “pleased that earnings results for fiscal 2015 are expected to be within the guidance range, albeit at the low end.”
Rosenfeld added that fourth quarter diluted EPS is expected to increase more than 25% from the prior year period despite a “heavily promotional retail environment and challenging landscape for seasonal product like boots and cold weather accessories.”