Watchmaker Movado Group has clocked up its profits after buying London brand Olivia Burton.
Net sales for the six months to 31 July increased 0.5 per cent to $128.8m (£99.7m) and adjusted operating income came in at $12.9m, up 27.7 per cent from $10.1m for the same period the year before.
Why it's interesting
Retail brands throughout the US have been struggling with the decline in popularity of department stores as shoppers turn to the internet; earlier this month, Macy's reported its 10th consecutive quarter of falling sales.
Against this backdrop, Movado Group has managed to pull off a rise in operating income, sending its share price up 15.7 per cent. The watchmaker also added Olivia Burton to the group in the quarter, a London brand known for its floral-patterned watches for women. The company said it hopes Olivia Burton watches will resonate with millennials, and that it intends to expand the watchmaker globally.
What Movado Group said
Efraim Grinberg, chairman and chief executive of Movado Group, said: "We are pleased to report second quarter results in line with our internal expectations, reflecting progress on our strategic growth and cost savings initiatives.
"Despite a challenging US retail environment, our global team's strong execution of our strategy and our increasing presence around the world led to growth in net sales with particular strength in Latin America, Europe and Asia."