HOKA and UGG brand parent company Deckers Outdoor Corp (NYSE:DECK) reported financial results for its fiscal second quarter after the market close on Thursday. Here are the key details from the report.
Q2 Earnings: Deckers reported second-quarter revenue of $1.31 billion, beating analyst estimates of $1.2 billion. The casual footwear and apparel company reported second-quarter earnings of $1.59, beating analyst estimates of $1.23 per share, according to Benzinga Pro.
Total revenue increased 20.1% year-over-year. Direct-to-consumer sales were up 19.9% to $397.7 million and wholesale net sales climbed 20.2% to $913.7 million. Domestic sales increased 14.2% year-over-year, while international sales jumped 33%.
HOKA brand sales increased 34.7%, UGG brand sales were up 13% and Teva brand sales increased 2.3%, while Sanuk brand sales fell 47.6% on a year-over-year basis.
Inventories totaled $777.9 million at the end of the second quarter. Deckers said it ended the quarter with $1.226 billion in cash and cash equivalents.
"HOKA and UGG produced outstanding second quarter results driven by strong consumer demand for our innovative and unique products," said Stefano Caroti, president and CEO of Deckers Outdoor, who started those positions in August.
"As I step into the CEO role, I'm committed to building on our proven foundation to support growth, guided by our consumer-first mindset, brand-led philosophy, innovation-forward products, and globally driven focus."
Looking Ahead: Deckers said it now expects net sales to increase approximately 12% year-over-year to $4.8 billion in fiscal year 2025. The company expects full-year earnings to be in the range of $5.15 to $5.25 per share. Gross margin is expected to be between 55% and 55.5%.
Management will discuss the quarter on a conference call set to kick off at 4:30 p.m. ET.
DECK Price Action: Deckers shares were up 11.39% after hours at $169.36 at the time of publication Thursday, according to Benzinga Pro.
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