Fossil Group, Inc. (FOSL) reported a second-quarter 2025 adjusted net loss of 10 cents per share, narrowing from a loss of 47 cents per share in the prior year. Net sales totaled $220.4 million, down 15.2% from $260 million year-over-year. The stock has surged 76.6% since the earnings release, significantly outpacing the S&P 500’s 0.1% gain.
Gross profit was $126.7 million, with a gross margin increase to 57.5%, up from 52.6% a year ago. Operating income reached $8.5 million, recovering from a $34 million loss in the second quarter of 2024. The company closed 47 stores in the past year, reducing its store base to 214, while liquidity stood at $110.6 million.
Fossil raised its full-year 2025 outlook, now expecting net sales to decline in the mid-teens, compared to previous guidance of a mid- to high-teens drop. The company also announced a refinancing plan, securing a new $150 million asset-based credit facility to enhance financial flexibility.
