Deckers Q3 sales up 13%, Hoka, Teva soar
Deckers Brands announced on Thursday a 13% revenue jump for the third quarter ended December 31, lead by heavy gains at Hoka and Teva.
The Goleta, California-based company said quarterly net sales increased 13.3% to $1.346 billion compared to $1.188 billion.
By channel, wholesale net sales increased 8% to $646.3 million compared to $598.4 million, while Direct-to-Consumer (DTC) net sales increased 18.7% to $699.3 million compared to $589.4 million. Likewise, domestic net sales increased 13.9% to $906.8 million and international net sales increased 12.1% to $438.8 million.
By brand, Hoka brand net sales soared 90.8% to $352.1 million, as did Teva brand net sales, increasing 48.3% to $30.5 million. Meanwhile, Ugg and Sanuk net sales decreased 1.6% to $930.4 million and 7.4% to $5.6 million, respectively. Other brands, primarily composed of Koolaburra, net sales decreased 12.1% to $26.9 million.
"Our brands delivered another stellar quarter, led by record results for both Hoka as well as our consolidated direct-to-consumer business," said Dave Powers, president and chief executive officer.
"The consistent strength of Deckers results thus far in fiscal year 2023, despite macroeconomic and currency headwinds, are the result of our brand marketplace management actions and dedication to long-term strategic priorities. We believe Ugg and Hoka are two of the healthiest, well positioned brands in their respective markets, and with the strength of our operating model, Deckers is poised for continued success going forward.”
Looking ahead, for the twelve month period ending March 31, 2023, net sales are now expected to be in the range of $3.50 billion to $3.53 billion. Diluted earnings per share are expected to be in the range of $18.00 to $18.50.
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