On March 09, Fossil Group Inc. (FOSL) declared its financial results for the fourth quarter and fiscal 2021 after the market closed. Along with this, the company also provided an outlook for fiscal 2022 which disappointed the investors. Consequently, the stock plunged down in the after-hours on Wednesday.
During the regular trading session, the stock added 14.77% as 1.94 million shares exchanged hands. The volume of the shares traded remained above the average at 292%. At the close of the regular session, the stock had a price of $14.53 per share. Following the announcement of the results, the stock took a harsh hit in the after-hours as it plunged down by 16.04%. Hence, FOSL was trading at a value of $12.20 per share on Wednesday.
The consumer fashion accessories designer and distributor, Fossil Group Inc. was founded in 1984. Currently, its 52.15 million outstanding shares trade at a market capitalization of $660.17 million. So far 2022 has proved fruitful for FOSL stock as it has increased by 41.21% year to date. The stock suffered a decline of 19.55% in the past year.
FOSL’s Q4 2021 Highlights
In Q4 2021, the company had net sales of $604.2 million with a YOY growth of 14% on a reported basis.
Moreover, the adjusted net income in the quarter was $33.6 million with diluted EPS of $0.64. Comparatively, FOSL had $9.8 million or $0.19 per diluted share in the same period of 2020.
The adjusted EBITDA was $57.6 million in Q4 2021.
Fiscal 2021 Highlights
For fiscal 2021, the company reported net sales of $1.9 billion with YOY growth of 16% on a reported basis.
Furthermore, FOSL’s adjusted net income was $59.2 million with a diluted EPS of $1.12. This compares adjusted net loss f $40.3 million or $0.79 per diluted share in fiscal 2020.
The adjusted EBITDA was $159.6 million in fiscal 2021.
FOSL’s Future Outlook
For fiscal 2022, the company expects global net sales to report a YOY increase of 2-6% and an adjusted operating income margin of 6-7%.
Recent Developments
On December 08, 2021, the company announced the appointment of Melissa Lowenkron as Senior Vice President and General Manager, Fossil Brand. Under her role, Melissa is responsible for brand strategy along with product design and marketing.
On November 08, FOSL announced the closing of its underwritten public offering of $150 million aggregate principal amount of 7.00% Senior Notes due 2026. It also included the fully exercised option of the purchase of an additional $10 million of the Notes.
