Movado Group, Inc. (NYSE:MOV) Q4 2018 Earnings Conference Call - Final Transcript
Mar 29, 2018 • 09:00 am ET
decreased by $1.5 million as compared to the same period of last year.
Year-to-date, we repurchased approximately $3.6 million of stock under our share repurchase program, primarily to offset the dilution from stock awards. Capital expenditures for the year were $5.8 million, and depreciation and amortization expense was $13.5 million. This included $1.7 million related to the amortization of acquired intangible assets of Olivia Burton.
I will now discuss our outlook for fiscal 2019. Our outlook assumes currency rates consistent with recent levels. Our results maybe materially affected by many factors such as changes in global economic risks and customers' spending, fluctuations in foreign currency exchange rates and various other causes referenced in our 10-K filling. As Efraim mentioned, we have a solid foundation on which we plan to drive growth in revenue and profit for the year ahead.
In light of the foregoing for fiscal 2019, we anticipate our sales will be in a range of approximately $605 million to $615 million. We expect our gross margin percent to be flat to slightly improve from fiscal 2018. Our outlook estimate gross margin to be approximately 53% for the full fiscal year.
We have a track record of disciplined control of our operating expenses. We are reinvesting resources into the Movado Group Summit, and the establishment of the digital center of excellence, as well as making investments in our international teams to support our growth. And with that, operating income is projected to be in a range of approximately $68 million to $71 million.
Based on the lower US corporate tax rate, coupled with our jurisdictional earnings, the Company anticipates a 25% effective tax rate. And net income is expected to be in a range of approximately $50.5 million to $52.8 million. We expect diluted earnings per share in fiscal 2019 to be in a range of approximately $2.15 to $2.25.
Capital expenditures for fiscal 2019 are estimated to be approximately $12 million.
The outlook we have provided assumes no unusual items for fiscal 2019 and excludes the non-cash amortization of acquired intangible assets related to the Olivia Burton brand.
I'd now like to open the call up for questions.