Skechers(SKX) ZACKS·2025-02-07 17:45Core Insights - Skechers U.S.A., Inc. reported fourth-quarter 2024 results with sales exceeding estimates but earnings per share (EPS) falling short, although both metrics showed year-over-year growth [1][4]. Financial Performance - The company achieved sales of 2.211 billion, reflecting a 12.8% year-over-year increase driven by 18% growth in domestic sales and 9.8% in international sales [5][6]. - EPS was reported at 65 cents, missing the Zacks Consensus Estimate of 74 cents, but representing a 16.1% increase from the previous year [4]. - On a constant currency basis, EPS was 86 cents, marking a 53.6% increase year-over-year [4]. Sales Breakdown - Wholesale sales increased 17.5% year-over-year to 1.08 billion [6]. - Region-wise, sales grew 14.2% in the Americas to 478.6 million, and 3.3% in APAC to 1.18 billion, with a gross margin of 53.3%, up 20 basis points [9]. - Total operating expenses rose 11.2% to 1.12 billion, with long-term borrowings at 4.28 billion [11][12]. - The company plans capital expenditures of 700 million for 2025, primarily for expanding distribution centers [12]. Share Repurchase and Store Update - In Q4 2024, Skechers repurchased 1.9 million shares for 789.9 million remaining under the share repurchase program [13]. - As of December 31, 2024, Skechers operated 5,296 stores globally, with a net increase of 62 domestic and 206 international stores during the quarter [14]. Future Outlook - For 2025, management targets sales between 9.80 billion, with EPS expected between 4.50 [15]. - For Q1 2025, sales are projected to be between 2.43 billion, with EPS between 1.15 [15].