MOV — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-08-26

• In fiscal year 2026, the United States imposed additional “reciprocal” and other tariffs under the International Emergency Economic Powers Act (“IEEPA”). These tariffs were invalidated by the Supreme Court in February 2026. The Company paid approximately $10.0 million in IEEPA tariffs between Februa…

• Following the Supreme Court's February 2026 decision invalidating the use of IEEPA by the Trump Administration, the Administration imposed a temporary 10% ad valorem import surcharge under Section 122 of the Trade Act of 1974, subject to certain exemptions, which remained in effect through July 24, …

• Upon expiration of the Section 122 surcharge in July 2026, the Administration imposed new tariffs under Section 301 of the Trade Act of 1974 following investigations concerning the failure of certain U.S. trading partners to impose and effectively enforce prohibitions on imports produced with forced…

• The Administration has also initiated or continued other trade investigations that could result in additional tariffs or other changes to the duties applicable to the Company's U.S. imports. The ultimate scope, duration and impact of these and any future tariff measures remain uncertain.

• Net sales for the three months ended July 31, 2026 in the International locations of the Watch and Accessory Brands segment were $95.4 million, above the prior year by $4.5 million, or 5.0%, which included fluctuations in foreign currency exchange rates that positively impacted net sales by $0.7 mil…

Text removed vs the prior filing · source: 10-Q · 2026-05-27

• In fiscal year 2026, the United States imposed additional “reciprocal” and other tariffs under the International Emergency Economic Powers Act (“IEEPA”). The Company paid approximately $10.0 million in IEEPA tariffs between February 2025 and February 2026. The Company is evaluating potential recover…

• Following the Supreme Court’s decision, the Trump Administration replaced the IEEPA-based tariffs with tariffs imposed under Section 122 of the Trade Act of 1974. As of the date of this Quarterly Report, Section 122 tariffs impose an incremental 10% ad valorem duty on covered imports. Section 122 ta…

• Net sales for the three months ended April 30, 2026 in the International locations of the Watch and Accessory Brands segment were $82.0 million, above the prior year by $5.7 million, or 7.5%, which included fluctuations in foreign currency exchange rates that positively impacted net sales by $4.7 mi…

• Net sales for the three months ended April 30, 2026 in the Company Stores segment were $18.7 million, $1.7 million or 10.2% above the prior year period. The net sales increase was primarily due to favorable sales mix, an increase in sales from the Company's online outlet store at www.movadocompanyst…

• Gross profit for the three months ended April 30, 2026 was $81.6 million or 57.3% of net sales as compared to $71.4 million or 54.1% of net sales in the prior year period. The increase in gross profit of $10.2 million was due to higher net sales combined with a higher

Text added vs the prior filing · source: 10-Q · 2026-08-26

• As of July 31, 2026, the Company’s entire net forward contracts hedging portfolio consisted of 12.0 million Swiss Francs equivalent, 30.1 million U.S. dollars equivalent, 25.3 million Euros equivalent (including 3.0 million designated as cash flow hedges) and 4.6 million British Pounds equivalent wi…

• The Company considers its exposure to fluctuations in commodity prices to be primarily related to gold used in the manufacturing of the Company’s watches. Under its hedging program, the Company can purchase various commodity derivative instruments, primarily futures contracts. When held, these deriv…

• Floating rate debt at July 31, 2026 and 2025 was zero for both periods. During the six months ended July 31, 2026, the Company had no weighted average borrowings. The Company does not hedge these interest rate risks.

Text removed vs the prior filing · source: 10-Q · 2026-05-27

• As of April 30, 2026, the Company’s entire net forward contracts hedging portfolio consisted of 12.0 million Swiss Francs equivalent, 27.6 million U.S. dollars equivalent, 19.9 million Euros equivalent (including 6.0 million Euros designated as cash flow hedges) and 1.9 million British Pounds equiva…

• the Company were to settle its Euro forward contracts at April 30, 2026, the result would be an immaterial gain. As of April 30, 2026, the Company’s British Pound, Chinese Yuan and US Dollar forward contracts had no gain or loss.

• The Company considers its exposure to fluctuations in commodity prices to be primarily related to gold used in the manufacturing of the Company’s watches. Under its hedging program, the Company can purchase various commodity derivative instruments, primarily futures contracts. When held, these deriv…

• Floating rate debt at April 30, 2026 and 2025 was zero for both periods. During the three months ended April 30, 2026, the Company had no weighted average borrowings. The Company does not hedge these interest rate risks.

Text added vs the prior filing · source: 10-Q · 2026-08-26

• In addition to the above matter, the Company is involved in other legal proceedings and contingencies, the resolution of which is not expected to materially affect its financial condition, future results of operations, or cash flows.

Text removed vs the prior filing · source: 10-Q · 2026-05-27

• In December 2016, U.S. Customs and Border Protection (“CBP”) issued an audit report regarding the Company's methodology for allocating the cost of certain watch styles imported into the United States among their component parts for tariff purposes. The report challenged the reasonableness of the Com…

• In addition to the above matters, the Company is involved in other legal proceedings and contingencies, the resolution of which is not expected to materially affect its financial condition, future results of operations, or cash flows.