Movado Watching China for Sales Growth: CEO
Luxury watches have stood the test of time in China, one of Movado's strongest markets, the company's chief executive told CNBC Friday.
Sales in China of Movado's signature luxury watch line as well as those licensed from such designers as Tommy Hilfiger and Hugo Boss make up 5 percent of the company's business, said CEO Efraim Grinberg.
He sees that Chinese business growing 50 percent a year compared with the rest of its international and domestic business, which he said is up 23 percent through the first nine months.
"At the height of the recession we implemented a strategic plan focused around the customer," Grinberg said. "We really upped the ante in terms of new product innovation and giving the consumer a reason to want to buy."
He wouldn't detail how the company might spend its cash hoard beyond "working with the leading brands" and looking for potential acquisitions.
"We did reimplement a dividend," he added. "Having cash is not a bad problem to have right now."