Fossil Group Q2 Profit Beats Estimates; Updates Full Year Guidance - Quick Facts

(RTTNews) - Fossil Group, Inc. (FOSL) reported second-quarter net income to company of $54.6 million compared to $52.5 million, prior year. Earnings per share were $1.12, compared to $0.98. In constant currency, earnings per share were $1.42, including a restructuring charge of $0.10 per share.

The company said favorable earnings per share impact of the comparable 2% sales growth, non-operating gains and a lower share base combined to drive the increase in earnings per share. During the second quarter of fiscal 2015, the translation impact of a stronger U.S. dollar decreased reported net sales by $50.9 million, and earnings per share by $0.30.

On average, 12 analysts polled by Thomson Reuters expected the company to report profit per share of $0.82 for the quarter. Analysts' estimates typically exclude special items.

Net sales were $740.0 million compared to $773.8 million last year. Analysts expected revenue of $750.35 million for the quarter. On a constant currency basis, second quarter net sales increased 2%.

For fiscal 2015, the company continues to expect that its results will be significantly negatively impacted by foreign currency changes as well as restructuring charges, which were largely recorded in the first half of the fiscal year.

For fiscal 2015, the company now expects: net sales to decrease in the range of 8.0% to 4.0%; and earnings per share in a range of $4.80 to $5.60. For fiscal 2015, adjusted guidance is: net sales to be in the range of a 1.0% decrease to a 3.0% increase; and earnings per share in a range of $6.20 to $7.00. Analysts expect the company to report earnings per share of $5.57.

For the third quarter of fiscal 2015, the company expects: net sales to decrease in the range of 15.0% to 10.0%; and earnings per share in a range of $1.03 to $1.28. For the third quarter of fiscal 2015, adjusted guidance is: net sales to decrease in the range of 8.0% to 3.0%; and earnings per share in a range of $1.45 to $1.70. Analysts expect the company to report earnings per share of $1.45.