Crocs posts 64% rise in sales on solid DTC growth
Crocs, Inc., the Broomfield, Colorado-based footwear company known for its instantly recognizable plastic clogs, announced first-quarter revenues of $460.1 million on Tuesday, up 63.6% from $281.2 million in the same period in the previous year, with growth led by the direct-to-consumer channel. In constant currencies, the brand’s year-over-year revenue growth was 60.5%.
In the first quarter ended March 31, 2020, Crocs’ direct-to-consumer revenues rose 93.3% to $170.1 million, compared to $88.0 million in the prior-year period, while wholesale revenues grew 50.1% to $290.0 million.
The company’s digital sales increased 75.3% year over year and represented 32.3% of total quarterly revenue, compared to 30.1% in the previous year’s first quarter.
Broken down by geography, Crocs’ revenues totaled $276.4 million in the Americas, up 87.5% in constant currencies compared to the prior-year period, and $101.1 million in Europe, the Middle East and Africa (EMEA), representing a 41.0% year-over-year rise.
In the Asia Pacific region, revenues increased 20.1% in constant currencies to $82.6 million.
Crocs also highlighted the progress made by its sandals segment, where revenues rose 17.1% year over year to represent 17.3% of the company’s total footwear sales.
Net income for the quarter came to $98.4 million, up from $11.1 million in the previous year’s first quarter. Diluted earnings per share were a quarterly record of $1.47, increasing 818.8% compared to $0.16 at the same time last year.
“Demand for the Crocs brand is stronger than ever with expected 2021 revenue growth of 40% to 50%. In the first quarter we achieved record revenues and profitability, with growth in all regions and all channels,” said Crocs CEO Andrew Rees in a release. “We have raised full year guidance as we continue to see consumer demand for our product accelerate globally.”
Looking forward, Crocs expects to report revenue growth of between 60% and 70% in the second quarter, compared to $331.5 million last year. For the full fiscal year, the company forecasts revenue growth of between 40% and 50%, compared to last year’s annual total of $1.4 billion.
Having closed two stores in Q1, Crocs currently operates 349 locations worldwide, including 165 in the Americas, 135 in Asia Pacific and 49 in EMEA.
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