Steven Madden’s sales increased to $86.2 million in the 2nd quarter, compared with $85.7 million in the year-ago period, but while retail sales rose by 17.9 percent in absolute terms and by 15.2 percent on a same-store basis, wholesale revenues were down to $59.8 million from $63.3 million. The gross margin improved from 37.7 to 37.9 percent, but the operating margin declined from 11.2 to 7.6 percent. The management sees these trends continuing into the 2nd half of the year.