Shares of fine-watch retailer Movado Group (NYSE:MOV) took a hit on Tuesday. The stock slid as much as 24.6%, but was down 22% as of 12:41 p.m. EST.
The decline followed the release of Movado's fiscal 2020 third-quarter results. Bearishness from investors was likely prompted primarily by the company's worse-than-expected revenue and non-GAAP (adjusted) earnings per share during the period.
Movado announced revenue of $205.6 million, down 1.6% year over year.
A combination of increased marketing investments and sales that fell short of expectations meant that Movado's bottom line came in significantly lower than expected. Non-GAAP earnings per share for the consumer goods company also came in lower, at $0.82 -- down from $1.18 in the year-ago quarter. Analysts, on average, were expecting revenue of $220 million and adjusted EPS of $1.03.
In light of its "results to-date and the challenging watch category and retail environment, and currency headwinds," management said in its third-quarter earnings release that it's lowering its full-year revenue outlook.
The company now expects fiscal 2020 revenue to be between $690 million and $700 million. Previously, Movado was expecting revenue during the period to be between $725 million and $740 million.