Movado Group Cuts FY17 Outlook - Quick Facts

(RTTNews) - Movado Group, Inc. (MOV) said that it cut its outlook for fiscal 2017.

In fiscal 2017, the Company anticipates that net sales will be in a range of $565.0 million to $580.0 million and operating income will be approximately $55.0 million to $60.0 million. The Company anticipates net income in fiscal 2017 to be approximately $36.5 million to $40.0 million, or $1.55 to $1.70 per diluted share, reflecting a 32% anticipated effective tax rate. Analysts polled by Thomson Reuters expect the company to report earnings of $1.89 per share and revenues of $592.10 million for fiscal year 2017. Analysts' estimates typically exclude special items.

Previously, the company expected anticipates that net sales for fiscal 2017 will be in a range of $585.0 million to $600.0 million and operating income will be approximately $65.0 million to $70.0 million. The Company anticipated net income in fiscal 2017 to be approximately $43.3 million to $46.7 million, or $1.85 to $2.00 per diluted share, reflecting a 32% anticipated effective tax.

The Company's latest-outlook excludes the charge related to the COO's retirement and assumes no further significant fluctuations from prevailing foreign currency exchange rates, as well as no other unusual items, for fiscal 2017.

The Company announced that the Board of Directors approved the payment on June 21, 2016 of a cash dividend in the amount of $0.13 for each share of the Company's outstanding common stock and class A common stock held by shareholders of record as of the close of business on June 7, 2016.

During the first quarter of fiscal 2017, the Company repurchased approximately 34,000 shares under its share repurchase program. As of April 30, 2016, $0.9 million was utilized of the $50.0 million share repurchase authorization.