Steven Madden Reports $667.9M Revenue in Q3 2025, Net Income Declines to $20.5M

Steven Madden, Ltd. reported a total revenue of $667.9 million for the third quarter of 2025, marking a 6.9% increase from $624.7 million in the same period last year. The growth was primarily driven by the acquisition of Kurt Geiger, which contributed $135.5 million in revenue during the quarter. However, net income attributable to Steven Madden, Ltd. fell to $20.5 million, down from $55.3 million in the prior year, reflecting a significant decline in profitability. The company's effective tax rate for the quarter was 17.4%, a decrease from 25.5% in the previous year, largely due to non-deductible expenses associated with the Kurt Geiger acquisition.

In terms of operational performance, the company experienced a notable increase in operating expenses, which rose to $246.0 million, or 36.8% of total revenue, compared to $178.9 million, or 28.6% of total revenue, in the prior year. This increase was attributed to costs related to the acquisition and integration of Kurt Geiger, including severance and legal expenses. The income from operations for the quarter was $31.4 million, a sharp decline from $74.6 million in the same quarter of 2024.

The company’s balance sheet as of September 30, 2025, showed total assets of $2.0 billion, up from $1.4 billion at the end of 2024, largely due to the acquisition of Kurt Geiger. Total liabilities also increased significantly to $1.1 billion, compared to $535.8 million at the end of the previous year. The increase in liabilities was primarily due to the new debt incurred to finance the acquisition, which included a term loan facility of $300 million and a revolving credit facility of $250 million.

Steven Madden's strategic initiatives include expanding its international footprint and enhancing its direct-to-consumer business. The company has entered into several joint ventures, including a 50% interest in MG Distribution Hong Kong Limited to boost distribution in China, Hong Kong, and Macau. Additionally, the company is focusing on growing its non-footwear categories and investing in marketing to strengthen consumer connections. As of September 30, 2025, the company had 404 retail stores and reported an inventory turnover of 4.0 times, down from 5.5 times a year earlier.

Looking ahead, Steven Madden remains cautious about the macroeconomic environment, which includes inflationary pressures and geopolitical tensions that could impact consumer spending. The company is committed to executing its strategic priorities while managing costs effectively. The Board of Directors has approved a quarterly dividend of $0.21 per share, payable on December 26, 2025, reflecting the company's ongoing commitment to returning value to shareholders despite the current challenges.