FOSL Earnings Prediction
The chart below shows how FOSL performed 10 days before and after its earnings report, based on data from the past quarters. Typically, FOSL sees a +2.10% change in stock price 10 days leading up to the earnings, and a +29.46% change 10 days following the report. On the earnings day itself, the stock moves by +0.58%. This data can give you a slight idea of what to expect for the next quarter's release.
FOSL Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
287.82M
-16.36%
10.70%
Gross Margin
49.42%
6.07%
-6.12%
Operating Margin
-6.47%
-28.43%
0.47%
Net Margin
-11.09%
-37.24%
-25.77%
EPS
-0.60
-48.28%
-17.81%
No Data Available
FOSL Earnings Analysis
Fossil Group, Inc. Corporation (FOSL.O) Earnings Conference Call
Positive
Sales Decline, Margin Expansion: Fossil Group's third quarter net sales totaled $288 million, reflecting a 16% decrease in constant currency, but gross margin expanded by 240 basis points versus last year at 49.4%.
SG&A Expense Reduction: SG&A expenses were down $31 million to $161 million compared to last year, representing a 16% decrease as the company focuses on cost takeout.
Operating Loss Improvement: The adjusted operating loss narrowed to $19 million, reflecting an improvement of 39% compared to the adjusted operating loss of $31 million last year.
Strong Financial Liquidity: The company ended the quarter with total liquidity of $130 million, including $106 million in cash and cash equivalents, indicating strong financial health.
Annualized P&L Benefits: Fossil Group expects to achieve at least $100 million of annualized P&L benefits in 2024 across margin and SG&A under their TAG Plan.
Negative
Net Sales Decline: Third quarter net sales totaled $288 million, down 16% in constant currency.
Impact of Smart Watch Exit: 600 basis points of the decline is attributable to our smart watch exit and store closures.
Fossil Watch Stabilization Trends: We continue to see stabilization trends in Fossil traditional watches, which declined 4% globally on a comp basis in Q3 as well as in India, which was up about 10%, excluding connected.
Store Closure Update: During Q3, we closed seven stores, ending the quarter with 251 stores, a 17% reduction compared to a year ago.
Location Exits Update: We have exited 53 locations year-to-date and expect to close up to 58 by year-end.
FOSL FAQs
How does FOSL typically perform around its earnings report dates?
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FOSL Earning Call Sentiment
Fossil Group, Inc. (FOSL) Q3 2024 Earnings Call Transcript
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00:00
00:00
FOSL.O
-5.52%Positive
The earnings call summary reflects several challenges: a 16% decline in net sales, competitive pressures from major brands, and significant restructuring costs. Despite some positive aspects like improved gross margin and liquidity, the overall outlook is clouded by economic factors, supply chain issues, and a transition to new leadership. The Q&A section lacks clarity, adding uncertainty. Given the weak guidance and ongoing financial difficulties, the stock price is likely to react negatively in the short term.
