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First Quarter 2025 Channel Results

Revenue for the wholesale business was $439.3 million, a 0.2% increase compared to the first quarter of 2024, including an increase in wholesale footwear revenue of 0.2% and an increase in wholesale accessories/apparel revenue of 0.4%. Gross profit as a percentage of wholesale revenue was 35.7%, up from 35.1% in the first quarter of 2024, with increases in both the wholesale footwear and wholesale accessories/apparel channels.

Direct-to-consumer revenue was $112.1 million, a 0.2% decrease compared to the first quarter of 2024. Gross profit as a percentage of direct-to-consumer revenue was 60.1%, compared to 61.9% in the first quarter of 2024, driven by an increase in promotional activity.

The Company ended the quarter with 314 brick-and-mortar retail stores and five e-commerce websites, as well as 61 company-operated concessions in international markets.

Balance Sheet and Cash Flow Highlights

As of March 31, 2025, cash, cash equivalents and short-term investments totaled $147.2 million. Inventory totaled $238.6 million as of the same date, compared to $202.0 million at the end of the first quarter of 2024.

During the first quarter of 2025, the Company did not repurchase any shares of its common stock in the open market. The Company spent $7.8 million on repurchases of shares through the net settlement of employees’ stock awards.

Quarterly Cash Dividend

The Company’s Board of Directors approved a quarterly cash dividend of $0.21 per share. The dividend is payable on June 20, 2025 to stockholders of record as of the close of business on June 9, 2025.

Acquisition of Kurt Geiger

On May 6, 2025, the Company completed its previously announced acquisition of UK-based Kurt Geiger from a group led by international private equity firm Cinven for an enterprise value of approximately £289 million in cash. For the twelve months ended February 1, 2025, Kurt Geiger had revenue of £400 million. In connection with the acquisition, the Company entered into a new credit agreement which provides for a $300 million term loan facility and a $250 million revolving credit facility. The Company funded the acquisition with borrowings under the new credit agreement and cash on hand.

2025 Outlook

Due to macroeconomic uncertainty related to the impact of new tariffs on goods imported into the United States, the Company is withdrawing the 2025 financial guidance provided in its earnings release on February 26, 2025 and is not providing guidance at this time.

Conference Call Information

Interested stockholders are invited to listen to the conference call scheduled for today, May 7, 2025, at 8:30 a.m. Eastern Time, which will include a discussion of the Company's first quarter 2025 earnings results. The call will be webcast live on the Company’s website at https://investor.stevemadden.com. A webcast replay of the conference call will be available on the Company's website or via the following webcast link https://edge.media-server.com/mmc/p/p84y3xg8 beginning today at approximately 10:00 a.m. Eastern Time.

About Steve Madden

Steve Madden designs, sources and markets fashion-forward footwear, accessories and apparel. In addition to marketing products under its own brands including Steve Madden^®, Kurt Geiger London^®, Dolce Vita^®, Betsey Johnson^®, Carvela^®, Blondo^® and ATM^®, Steve Madden licenses footwear, handbags and other accessory categories for the Anne Klein^® brand. Steve Madden also designs and sources products under private label brand names for various retailers. Steve Madden’s wholesale distribution includes department stores, mass merchants, off-price retailers, shoe chains, online retailers, national chains, specialty retailers and independent stores. Steve Madden also directly operates brick-and-mortar retail stores and e-commerce websites. In addition, Steve Madden licenses certain of its brands to third parties for the marketing and sale of certain products in the apparel, accessory and home categories.

Safe Harbor Statement Under the U.S. Private Securities Litigation Reform Act of 1995

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include, among others, statements regarding revenue and earnings guidance, plans, strategies, objectives, expectations and intentions. Forward-looking statements can be identified by words such as: “may”, “will”, “expect”, “believe”, “should”, “anticipate”, “project”, “predict”, “plan”, “intend”, “estimate”, or “confident” and similar expressions or the negative of these expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they represent the Company’s current beliefs, expectations, and assumptions regarding anticipated events and trends affecting its business and industry based on information available as of the time such statements are made. Investors are cautioned that such forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which may be outside of the Company’s control. The Company’s actual results and financial condition may differ materially from those indicated in these forward-looking statements. As such, investors should not rely upon them. Important risks and uncertainties include:

• the Company's ability to navigate changes in global trade policies and tariffs imposed by the United States government and the governments of other nations in which the Company manufactures and sells products;

• geopolitical tensions in the regions in which we operate and any related challenging macroeconomic conditions globally that may materially adversely affect our customers, vendors, and partners, and the duration and extent to which these factors may impact our future business and operations, results of operations and financial condition;

• the Company’s ability to navigate shifting macro-economic environments, including but not limited to inflation and the potential for recessionary conditions;

• the Company’s ability to accurately anticipate fashion trends and promptly respond to consumer demand;

• the Company’s ability to compete effectively in a highly competitive market;

• the Company’s ability to adapt its business model to rapid changes in the retail industry;

• supply chain disruptions to product delivery systems and logistics, and the Company’s ability to properly manage inventory;

• the Company’s reliance on independent manufacturers to produce and deliver products in a timely manner, especially when faced with adversities such as work stoppages, transportation delays, public health emergencies, social unrest, changes in local economic conditions, and political upheavals as well as their ability to meet the Company’s quality standards;

• the Company’s dependence on the hiring and retention of key personnel;

• the Company’s ability to successfully implement growth strategies and integrate acquired businesses;

• the Company’s ability to adequately protect its trademarks and other intellectual property rights;

• the Company’s ability to maintain adequate liquidity when negatively impacted by unforeseen events such as an epidemic or a pandemic, which may cause disruption to the Company’s business operations for an indeterminable period of time;

• legal, regulatory, political and economic risks that may affect the Company’s sales in international markets;

• changes in U.S. and foreign tax laws that could have an adverse effect on the Company’s financial results;

• additional tax liabilities resulting from audits by various taxing authorities;

• cybersecurity risks and costs of defending against, mitigating, and responding to data security threats and breaches impacting the Company;

• the Company’s ability to achieve operating results that are consistent with prior financial guidance; and

• other risks and uncertainties indicated from time to time in the Company’s filings with the Securities and Exchange Commission.

The Company does not undertake, and disclaims, any obligation to publicly update any forward-looking statement, including, without limitation, any guidance regarding revenue or earnings, whether as a result of new information, future developments, or otherwise.

STEVEN MADDEN, LTD. AND SUBSIDIARIES

NON-GAAP RECONCILIATION

(In thousands, except per share amounts)

(Unaudited)

The Company uses non-GAAP financial information to evaluate its operating performance and in order to represent the manner in which the Company conducts and views its business. Additionally, the Company believes the information assists investors in comparing the Company’s performance across reporting periods on a consistent basis by excluding items that are not indicative of its core business. The non-GAAP financial information is provided in addition to, and not as an alternative to, the Company’s reported results prepared in accordance with GAAP.

Non-GAAP Adjustments include the items below.

For the first quarter of 2025:

• $0.3 million pre-tax ($0.2 million after-tax) expense in connection with the purchase accounting fair value adjustment of inventory from acquired businesses, included in cost of goods sold.

• $1.2 million pre-tax ($0.9 million after-tax) expense in connection with legal settlements and related fees, included in operating expenses.

• $2.4 million pre-tax ($1.8 million after-tax) expense in connection with severances and related charges, included in operating expenses.

• $3.2 million pre-tax ($2.4 million after-tax) expense in connection with an acquisition and formation of joint ventures, included in operating expenses.

• $4.5 million pre-tax ($3.4 million after-tax) net benefit in connection with the change in valuation of contingent payment liabilities related to the acquisitions of Almost Famous and ATM.
  

For the first quarter of 2024:

• $0.2 million pre-tax ($0.2 million after-tax) expense in connection with the purchase accounting fair value adjustment of inventory from acquired businesses, included in cost of goods sold.

• $0.7 million pre-tax ($0.5 million after-tax) expense in connection with an acquisition and formation of joint ventures, included in operating expenses.

• $1.7 million pre-tax ($1.3 million after-tax) expense in connection with the change in valuation of contingent payment liabilities related to the acquisition of Almost Famous.

• $1.7 million pre-tax ($1.3 million after-tax) expense in connection with a trademark impairment.

Contact

Steven Madden, Ltd.
VP of Corporate Development & Investor Relations
Danielle McCoy
718-308-2611
InvestorRelations@stevemadden.com