This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Fossil Group Reports Record Second Quarter 2013 Results

Net Sales Increase 11% to a Record $706 Million EPS Increases 25% to a Record $1.15 Provides Third Quarter Guidance and Increases Full Year Guidance

RICHARDSON, Texas, Aug. 6, 2013 (GLOBE NEWSWIRE) -- Fossil Group, Inc. (Nasdaq:FOSL) (the "Company") today reported its financial results for the second quarter and six month period ended June 29, 2013. 

Second Quarter Operating Highlights
  • Net sales grew in all segments, compared to the prior year second quarter:
  • North America wholesale net sales increased 4%
  • Europe wholesale net sales increased 16%
  • Asia Pacific wholesale net sales increased 14%
  • Direct to consumer net sales increased 16% with flat global retail comps
  • Operating income increased 21%

The Company reported record net earnings of $67.7 million for the second quarter of 2013, compared to $57.3 million for the second quarter of 2012. Diluted earnings per share grew 25% to a record $1.15, compared to $0.92 for the prior year's second quarter. The Company's second quarter results benefitted from a shift of about $7 million (or $0.08 per share) of marketing and systems related expenditures into the third quarter. Additionally, compared to prior expectations, second quarter results were negatively impacted by $0.03 per share as the Company now expects a higher full year effective income tax rate, given an earnings mix shift among its operating entities.

Kosta Kartsotis, Chief Executive Officer stated: "We are pleased to continue our positive momentum and report record second quarter results that surpassed both our revenue and earnings expectations. During the quarter we advanced each of our core growth initiatives with strength in our FOSSIL® and SKAGEN® brands and double-digit sales increases in our multi-brand watch portfolio and in jewelry. We continued to leverage the power of our brands and our distribution infrastructure to expand our international footprint, fueling robust revenue increases in both Europe and Asia. Our team made substantial progress on many key operational initiatives that drove significant gross margin expansion in the quarter. Our consistent positive performance continues to reflect the innovation in our watch and jewelry lines, the disciplined execution of our strategies by our team and our ability to capitalize on the inherent strength of our dynamic global operating model." 

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs