Financial Data and Key Metrics - SG&A expenses in Q1 were $337 million, up 22% YoY from $276 million, representing 40.9% of revenue compared to 40.8% last year [2] - Tax rate was 22.5%, up from 21.9% in the prior year, contributing to diluted EPS of $4.52, an 87% increase YoY from $2.41 [3] - Cash and equivalents stood at $1.44 billion as of June 30, 2024, with inventory up 2% YoY to $753 million [4] - The company repurchased $152 million worth of shares at an average price of $858.79, with $790 million remaining under the stock repurchase authorization [4] Business Line Performance - HOKA brand revenue increased 30% YoY to $545 million, driven by strong demand for key styles like Clifton and Bondi, as well as emerging franchises like Mach, Transport, and Kawana [88] - UGG brand revenue grew 14% YoY to $223 million, driven by strong full-price selling of iconic franchises and increased adoption of the Golden Collection [36] - HOKA's DTC revenue increased 33% YoY, while wholesale revenue grew 28% YoY, reflecting balanced growth across channels [35] Market Performance - HOKA experienced robust growth in international markets, particularly in China and EMEA, with DTC growth of 31% in the US and 21% internationally [62] - UGG saw strong DTC performance in both the US and international regions, with the Tasman franchise and Golden Collection driving year-round demand [37] Strategic Direction and Industry Competition - The company is focused on expanding HOKA's global awareness and market share, particularly in international markets, while enhancing DTC growth through consumer acquisition and retention [90] - UGG is leveraging collaborations and marketing activations to maintain consumer interest and drive year-round demand for its products [10][11] - The company is investing in innovation, with new HOKA styles like Skyward X and Cielo X1 performing well and driving incremental volume [88] Management Commentary on Operating Environment and Future Outlook - Management expects total company revenue to grow approximately 10% YoY to $4.7 billion in FY2025, with HOKA growing 20% and UGG growing in the mid-single-digit range [23] - Gross margin is expected to increase to 54%, up 50 basis points from prior guidance, driven by strong Q1 results [23] - The company anticipates a more normalized promotional environment in FY2025, with higher freight costs impacting margins in the remaining quarters [24] Other Important Information - The company divested the Sanuk brand, which has been removed from forward-looking guidance [41] - A 6-for-1 forward stock split has been approved, pending stockholder approval at the 2024 Annual Meeting [42] Q&A Session Summary Question: Capital Allocation Priorities - The company is focused on organic growth and maintaining a strong balance sheet, with share repurchases remaining a priority. Dividends and M&A are under discussion but no announcements have been made [33][56] Question: HOKA's Momentum and Distribution Strategy - HOKA's strong performance is attributed to its global multichannel strategy, with balanced growth across DTC and wholesale channels. The company is confident in achieving its 20% growth target for the year [38][50] Question: New Product Launches and Segmentation - HOKA's Mach 6 and Skyflow launches have been successful, with the Mach 6 becoming a top 5 revenue style. The company is focusing on segmentation to differentiate products across distribution points [19][52] Question: HOKA Apparel and Revenue Shape - HOKA's apparel launch, Airolite, is performing well in limited distribution. The company is investing in leadership and infrastructure to expand its apparel offerings [57][58] Question: Freight Costs and Margin Impact - Freight costs are expected to be a headwind for the remainder of FY2025, with a negative 80 basis points impact on margins [70] Question: Inventory and Order Book Trends - Inventory is up 2% YoY, with UGG in a strong position heading into the fall season. The company's order book reflects demand exceeding supply, indicating a healthy marketplace [130][133] Question: HOKA DTC Growth and International Expansion - HOKA's DTC growth is driven by strong performance in North America and international markets, with Asia showing promising growth potential [134][135] Question: Store Expansion Strategy - The company is taking a strategic approach to store expansion, focusing on flagship locations in key cities for UGG and a more aggressive retail build-out for HOKA in international markets [145]

It's tough to get a firm handle on this market. One day it looks like a trading rotation into undervalued equities from big run-ups elsewhere, the next day it's a major selloff across the board. This day, we were back to the "rotation" scenario: the Dow gained +81 points, +0.20%, and the small-cap Russell 2000 kept up its two-week dominance, +1.47%, while the S&P 500 sold off another -0.51% and the Nasdaq -0.93% following the singleworst trading day of 2024 (so far). Two major retailers reported this aftern ...

The reported revenue compares to the Zacks Consensus Estimate of $805.49 million, representing a surprise of +2.47%. The company delivered an EPS surprise of +25.91%, with the consensus EPS estimate being $3.59. Here is how Deckers performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: For the quarter ended June 2024, Deckers (DECK) reported revenue of $825.35 million, up 22.1% over the same period last year. EPS came in at $4.52, compared ...

Company Overview - Deckers is expected to report quarterly earnings of $0.88 per share, reflecting a year-over-year decline of 7.4% [3] - The company posted revenues of $825.35 million for the quarter ended June 2024, exceeding the Zacks Consensus Estimate by 2.47% and up from $675.79 million a year ago [4] - Deckers achieved quarterly earnings of $4.52 per share, surpassing the Zacks Consensus Estimate of $3.59 per share, compared to earnings of $2.41 per share a year prior [8] - The company has consistently outperformed consensus EPS estimates over the last four quarters [9] Stock Performance - Deckers shares have increased approximately 26.6% since the beginning of the year, outperforming the S&P 500's gain of 13.8% [5] - The current estimate revisions trend for Deckers is favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [10] Future Outlook - The consensus EPS estimate for the upcoming quarter is $7.01 on revenues of $1.19 billion, with an annual estimate of $30.81 on revenues of $4.77 billion [14] - The outlook for the Retail - Apparel and Shoes industry, where Deckers operates, is currently in the bottom 38% of Zacks industries, which may impact stock performance [11]

Financial Performance - First quarter fiscal 2025 revenue increased 22% to $825 million compared to $675.8 million, with a constant currency increase of 23%[6] - Diluted earnings per share (EPS) rose 87% to $4.52 from $2.41 in the same period last year[6] - The company raised its fiscal year 2025 diluted EPS guidance to a range of $29.75 to $30.65[6] - The company expects net sales to increase approximately 10% to $4.7 billion for the full fiscal year 2025[12] Sales Performance - Direct-to-Consumer (DTC) net sales increased 24% to $310.6 million, while wholesale net sales increased 21% to $514.8 million[7] - HOKA brand net sales surged 29.7% to $545.2 million, while UGG brand net sales increased 14% to $223 million[7] Profitability - Gross margin improved to 56.9% from 51.3% year-over-year[7] Shareholder Actions - The company repurchased approximately 177,000 shares for a total of $152 million at an average price of $858.79 per share[8] Cash Position - Cash and cash equivalents were $1.438 billion, up from $1.047 billion year-over-year[11] Strategic Decisions - The company plans to divest the Sanuk brand, with the transaction expected to close in August 2024[8]

Consumer strength has led to robust quarterly results from the pair, with each exceeding Zacks Consensus EPS estimates throughout 2024. In addition, both sport favorable Zacks Ranks, reflecting upward trending estimate revisions among analysts. Analysts downwardly revised their earnings expectations accordingly following the lowered outlook, landing the stock into an unfavorable Zacks Rank #5 (Strong Sell). The company remains focused on rebalancing its product portfolio accordingly, hoping to re-capture co ...

Deckers (DECK) has been beaten down lately with too much selling pressure. While the stock has lost 9.5% over the past four weeks, there is light at the end of the tunnel as it is now in oversold territory and Wall Street analysts expect the company to report better earnings than they predicted earlier. Technically, every stock oscillates between being overbought and oversold irrespective of the quality of their fimdamentals. And the beauty of RSI is that it helps you quickly and easily check if a stock's p ...

As Deckers Outdoor Corporation (DECK) prepares to announce its first-quarter fiscal 2025 earnings results on Jul 25 after market close, investors are keen to assess the company's performance amid ongoing market challenges and opportunities. Deckers, known for its portfolio, including UGG and HOKA brands, has been navigating a dynamic landscape with strategic initiatives aimed at sustaining growth. The Zacks Consensus Estimate for revenues is pegged at $805.5 million, which indicates an improvement of 19.2% ...

Deckers (DECK) ended the recent trading session at $871.24, demonstrating a -1.76% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.71% for the day. Meanwhile, the Dow experienced a drop of 0.93%, and the technology-dominated Nasdaq saw a decrease of 0.81%. Prior to today's trading, shares of the maker of Ugg footwear had lost 10.37% over the past month. This has lagged the Retail-Wholesale sector's loss of 0.03% and the S&P 500's gain of 1.08% ...

Deckers Outdoor Corporation (DECK) has experienced a remarkable jump in its stock price over the past three months. The stock has rallied 12.2%, comfortably outpacing the Zacks Retail-Apparel and Shoes industry's modest rise of 7.7%. The company's commitment to customizing its product development, marketing efforts and omni-channel distribution to align with consumer preferences has also helped it outperform the broader Retail-Wholesale sector and the S&P 500 index's respective growth of 8.1% and 11.9% in t ...