While relocating production out of China and facing trade war, alongside rise in prices, Steve Madden talks about its prospective business. In the meantime, the brand has achieved a very good performance in the third quarter, as revenues went beyond financial analysts’ forecast.
The American manufacturer of shoes, accessories and apparel reached in the quarter, ended on September 30, some considerable results, as net sales have been increasing by 8.5% (that is, 497.3 million US dollars). Since the beginning of the year, the company’s net revenues, coming from sales, have reached 1.35 billion dollars (they amounted to 1.24 billion dollars in 2018), while net profits have been 123.6 million dollars (last year, in the same period, they amounted to 116.6 million dollars). The company’s business outlook has improved throughout the year. According to former estimates, they were expecting to boost sales by 5 to 7%; according to the latest forecast, instead, earnings will supposedly increase by 7 to 7.5%.
Word of CEO
During a conference call held with investors, president and chief executive officer Edward Rosenfeld restated that Steve Madden is still gradually relocating its manufacturing out of China. As reported by Footwear News, the company also stressed the fact they are going to raise selling prices to offset rising costs in the supply chain.