Deckers Brands Q1 sales shine on Hoka performance, lifts fiscal guidance
U.S. footwear giant Deckers Brands announced on Thursday a 10% uptick in first-quarter sales to $675.8 million, on the back of a surge in direct-to-consumer sales and revenues at running brand Hoka.
The Goleta, California-based company said direct-to-consumer (DTC) net sales increased 35.3% to $250.4 million for the three months ending June 30, while wholesale sales fell slightly to $425.4 million.
By region, domestic net sales increased 9.1% to $419.5 million, and international net sales increased 11.4% to $256.3 million.
As for the company’s brands, star-performer running shoe Hoka surged 27.4% to $420.5 million, outpacing
Teva brand net sales which decreased 18.8% to $48.4 million, and Ugg sales which decreased 6% to $195.5 million.
Net income grew to $63.6 million, compared to $44.8 million last year.
As a result of the strong start to the fiscal year, Deckers said it is increasing its sales guidance for fiscal 2024. It now expects net sales to be approximately $3.98 billion for the twelve months, with diluted earnings per share to be in the range of $21.75 to $22.25.
”Deckers begins fiscal year 2024 in a position of strength, accelerating towards our outlook for the full year, which has been raised to reflect Hoka brand momentum,” said Dave Powers, president and chief executive officer.
“We remain dedicated to delivering results in alignment with our strategic focus to grow DTC and build our presence within international markets. Combined with our disciplined brand marketplace management and nimble operating model, this approach underscores our confidence to achieve our increased full-year outlook and drive long-term success for our brands.”
