Slide 1: Fossil Group, Inc. Reports First Quarter 2026 Financial Results
FOSSIL GROUP, INC. REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS First quarter worldwide net sales totaled $225 million Gross margin of 59.9% First quarter operating income of $12 million and operating margin of 5.4%; constant currency adjusted operating income of $10 million and constant currency ad
Slide 2: First Quarter 2026 Operating Results (continued)
recorded during the current year, which contributed positively to the margin by $4.0 million, including $2.8 million related to tariffs incurred in fiscal year 2025. • Operating expenses totaled $122.7 million, down 18.1% compared to the prior year period. As a percentage of net sales, operating exp
Slide 3: Financial Outlook
Financial Outlook The Company reiterated the following financial guidance for full year 2026: • Worldwide net sales to decline 4% to 6%, with a return to growth in the fourth quarter • Adjusted operating margin(1) in the range of 3% to 5% • Free cash flow break-even(2) Worldwide net sales and adjust
Slide 4: Safe Harbor
Safe Harbor This press release and related statements by our management contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). These statements include, without limitation, statements regarding our current assumptions, projections and ex
Slide 5: Consolidated Income Statement Data
For the 13 For the 14 Consolidated Income Statement Data Weeks Ended Weeks Ended ($ in millions, except per share data): April 4, 2026 April 5, 2025 Net sales $ 224.8 $ 233.3 Cost of sales 90.1 90.3 Gross profit 134.7 143.0 Gross margin (% of net sales) 59.9 % 61.3 % Operating expenses: Selling, gen
Slide 6: Consolidated Balance Sheet Data
Consolidated Balance Sheet Data ($ in millions): April 4, 2026 April 5, 2025 Assets: Cash and cash equivalents $ 81.4 $ 78.3 Accounts receivable - net 116.8 124.6 Inventories 156.1 182.1 Other current assets 81.6 97.5 Total current assets 435.9 482.5 Property, plant and equipment - net 32.5 40.2 Ope
Slide 7: Segment: Americas
Net Sales For the 14 weeks ended For the 13 weeks ended April 4, 2026 April 5, 2025 Impact of Foreign Currency Exchange Constant ($ in millions) As Reported Rates Currency As Reported Segment: Americas $ 96.8 $ (1.8) $ 95.0 $ 97.7 Europe 71.5 (5.4) 66.1 77.3 Asia 56.0 0.6 56.6 57.4 Corporate 0.5 (0.
Slide 8: Adjusted EBITDA, Adjusted operating income and Adjusted net income definitions
Adjusted EBITDA, Adjusted operating income (loss), Constant Currency Adjusted Operating Income (Loss), Adjusted net income (loss) and Adjusted earnings (loss) per share Adjusted EBITDA, adjusted operating income (loss), constant currency adjusted operating income (loss), adjusted net income (loss) a
Slide 9: Income (loss) before income taxes
Fiscal Fiscal 2025 2026 ($ in millions): Q2 Q3 Q4 Q1 Total Income (loss) before income taxes $ 4.1 $ (32.1) $ (7.3) $ 4.8 $ (30.5) Plus: Interest expense 4.3 4.2 7.3 8.5 24.3 Amortization and depreciation 3.0 3.3 3.3 1.8 11.4 Other long-lived asset impairments — 0.5 1.0 0.1 1.6 Other non-cash charge
Slide 10: Adjusted operating income reconciliation
The following tables reconcile both Adjusted operating income (loss) and Constant currency adjusted operating income (loss), Adjusted net income (loss) and Adjusted earnings (loss) per share to the most directly comparable GAAP financial measures, which are operating income (loss), net income (loss)
Slide 11: Store Count Information
Store Count Information April 5, 2025 Opened Closed April 4, 2026 Americas 102 0 10 92 Europe 55 0 8 47 Asia 63 1 10 54 Total stores 220 1 28 193 END OF RELEASE