Fossil Q3 2022 Earnings Report
Key Takeaways
Fossil Group's third-quarter results were in line with expectations despite global macro headwinds. Worldwide net sales decreased by 11% on a reported basis, and operating income also declined compared to the previous year. The company is focusing on capturing efficiencies and driving growth through its digital roadmap and updated FOSSIL brand strategy.
Worldwide net sales totaled $436 million, an 11% decrease on a reported basis.
Direct to consumer net sales increased 5% in constant currency.
Operating income was $22 million, compared to $48 million a year ago.
Cash and cash equivalents totaled $163 million as of October 1, 2022.
Fossil
Fossil
Fossil Revenue by Segment
Fossil Revenue by Geographic Location
Forward Guidance
The Company is updating its guidance for full year 2022 to reflect the estimated impact of prevailing foreign currency translation, and a more cautious outlook on global markets, including a slowdown in consumer spending in our categories, and the ongoing COVID-19 related restrictions in mainland China. For fiscal year 2022, the Company now expects worldwide net sales declines of approximately 7% to 10% versus prior guidance of net sales declines of 5% to 8%.
Revenue & Expenses
Visualization of income flow from segment revenue to net income