Overview

* Fossil Q3 net sales of $270.2 mln vs $287.8 mln yr ago

* The fashion design firm completes balance sheet transformation, enhancing financial flexibility

Outlook

* Fossil Group ( FOSL ) reiterates full-year 2025 guidance

* Worldwide net sales expected to decline in mid-teens

* Adjusted operating margin expected to be break-even to slightly positive

Result Drivers

* DIRECT-TO-CONSUMER SALES DECLINE - Direct-to-consumer sales decreased 27%, contributing to overall revenue drop

* BALANCE SHEET TRANSFORMATION - Completion of balance sheet transformation enhances financial flexibility

* RESTRUCTURING IMPACT - Restructuring efforts reduced operating expenses, aiding margin improvement

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales $270 mln $233.30

mln (1

Analyst)

Q3 $0.63 -$0.36

Adjusted (1

EPS Analyst)

Q3 -$32.80 -$13.40

Adjusted mln mln (1

Net Analyst)

Income

Q3 -$15 mln -$21 mln

Adjusted (1

EBITDA Analyst)

Q3 Gross 49.00%

Margin

Q3 -$15 mln -$24 mln

Adjusted (1

Operatin Analyst)

g Income

Analyst Coverage

* The one available analyst rating on the shares is "buy"

* The average consensus recommendation for the apparel & accessories peer group is "hold."

* Wall Street's median 12-month price target for Fossil Group Inc ( FOSL ) is $5.00, about 53.8% above its November 12 closing price of $2.31

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)