Movado Group 2026 Q3 Earnings Revenue Beats, EPS Misses as Net Income Grows 91.5%

Movado Group (MOV) reported fiscal 2026 Q3 results on Nov 25, 2025, with revenue exceeding estimates but earnings falling short of expectations. The company did not provide fiscal 2026 guidance due to economic uncertainty and evolving tariff impacts.

Revenue

Movado Group’s total revenue rose 3.1% to $186.13 million in Q3 2026, surpassing the $184.64 million forecast. The Watch and Accessory Brands segment drove $162.72 million, with Licensed Brands contributing $116.36 million and Owned Brands generating $46.02 million. Company Stores added $23.42 million, while After-sales Service and Other accounted for $343,000.

Earnings/Net Income

The company’s EPS surged 95.5% to $0.43, and net income grew 91.5% to $9.66 million, reflecting improved profitability despite earnings missing analyst estimates.

Price Action

The stock gained 6.73% on the latest trading day, 11.15% for the week, and 9.56% month-to-date, reflecting post-earnings optimism.

Post-Earnings Price Action Review

A strategy of buying Movado shares after revenue growth and holding for 30 days underperformed significantly, yielding -39.31% over three years versus a 65.99% benchmark return. The strategy showed a 0.00% maximum drawdown but delivered an excess return of -105.30%, underscoring consistent underperformance.

CEO Commentary

Efraim Grinberg highlighted 3.1% revenue growth, 5.9% expansion excluding the Middle East, and a 6.9% U.S. sales increase. He emphasized improved gross margins (54.3%) amid U.S. tariffs and optimism about a U.S.-Switzerland agreement to reduce tariffs to 15%. Strategic priorities include brand innovation, Gen-Z engagement, and profitability enhancement.

Guidance

Movado Group withheld formal fiscal 2026 guidance but noted plans to reduce price-based mitigation post-tariff agreement, resume Middle East growth in 2027, and leverage holiday season momentum.

Additional News

Movado announced a $0.35 per share quarterly dividend and reaffirmed its $48.4 million share repurchase program. The company also highlighted a recent U.S.-Switzerland trade framework expected to lower tariffs on Swiss watches to 15%, mitigating cost pressures. Additionally, CEO Efraim Grinberg expressed confidence in expanding momentum in fashion and accessible luxury watch markets.