Steve Madden reported strong financial results for 2024, with revenue growing 15.2% to $2.28 billion. However, gross profit margins declined slightly to 41.0% from 42.0% in 2023 due to a greater mix of private label business and increased promotional activity. Net income was $169.4 million, or $2.35 per diluted share, compared to $171.6 million, or $2.30 per diluted share, in 2023. Adjusted net income, which excludes non-GAAP items, rose to $192.4 million, or $2.67 per diluted share.

In Q4 2024, revenue increased 12.0% to $582.3 million, driven by strong growth in wholesale accessories and apparel (+35.4%) and direct-to-consumer sales (+8.4%). Wholesale footwear revenue grew modestly at 1.0%. Gross profit margin declined to 40.4% from 41.3% due to increased private label sales.

CEO Edward Rosenfeld expressed confidence despite 2025 headwinds, particularly new U.S. import tariffs. He highlighted the pending acquisition of luxury footwear brand Kurt Geiger, expected to close in Q2 2025, as a major growth opportunity.

For 2025, Steve Madden expects revenue growth of 17-19%, with diluted EPS ranging between $2.30 and $2.40. The company maintained a strong balance sheet with $203.4 million in cash and equivalents, ending the year with 291 retail stores and 42 international concessions.

The company repurchased $98.4 million in stock in 2024 and announced a quarterly dividend of $0.21 per share, payable on March 21, 2025.

Steven Madden, Ltd. (Nasdaq: SHOO) has entered into a definitive agreement to acquire Kurt Geiger, a luxury footwear and accessories brand, in a deal valued at approximately £289 million. The acquisition will be conducted through Steve Madden’s subsidiary, SML UK Holding Ltd., which will purchase all issued shares of Mercury Acquisitions Topco Limited, the parent company of Kurt Geiger.

Under the terms of the agreement, Steve Madden will pay a base purchase price of £202 million, subject to adjustments based on a "locked box" mechanism. The final price will be adjusted daily at a rate of £42,200 from February 3, 2024, until closing. Additionally, the company will repay certain third-party debts and redeem outstanding loan notes of Kurt Geiger's subsidiaries.

The acquisition is subject to regulatory approvals, including antitrust clearance under the Hart-Scott-Rodino Act, and other customary closing conditions. The deal is expected to close by December 5, 2025, if all conditions are met.

To finance the transaction, Steve Madden has secured a $550 million debt commitment from Citizens Bank, JPMorgan Chase, and Citibank, consisting of a $300 million term loan and a $250 million revolving credit facility.

Steve Madden sees the acquisition as a strategic expansion into the high-end fashion market, leveraging Kurt Geiger’s brand strength in luxury footwear and accessories.