Deckers posts record Q2 sales growth on ‘exceptional’ Hoka, Ugg performance
Deckers Brands announced on Thursday sales surged 24.7% to $1.092 billion for the second quarter, on the back of double-digit growth across all channels and markets, and ‘exceptional’ gains at its Hoka and Ugg brands.
The Goleta, California-based brand said direct-to-consumer net sales increased 38.8% to $331.7 for the three months ending September 30, with wholesale net sales increasing 19.4% to $760.2 million.
By region, the U.S. footwear giant’s domestic net sales increased 21.1% to $748 million, and international net sales surged 33.3% to $343.9 million.
By brand, Ugg sales increased 28.1% to $610.5 million, rivalled by Hoka brand sales of $424 million, up 27.3%. The duo’s incredible gains more than offset a 28.4% decline at Teva, and a 28.5% decreased at Sanuk
Other brands, primarily composed of Koolaburra sales, increased 7.2% to $30.6 million.
Net income grew to $178.5 million, compared to $101.5 million in the same period last year.
“The strength of demand for our Hoka and Ugg brands continued to drive exceptional performance, producing record revenue and earnings for Deckers in both the second quarter and first half of fiscal year 2024,” said Dave Powers, president and chief executive officer.
“Our team’s ability to deliver compelling products that create emotional connections with consumers through engaging marketing campaigns, differentiates our brands in a competitive marketplace. This, paired with our strategic approach to marketplace management, led by our DTC channel, remains paramount to the success of our brands and company. We are focused on maintaining the integrity of our healthy brands to deliver the results detailed in our increased outlook, while remaining aligned with long-term objectives.”
As a result of the strong performance, Deckers Brands said it now expects full-year sales to be approximately $4.025 billion, increasing it from its prior guidance of approximately $3.98 billion for the twelve months.
