Deckers reports ‘record’ results for FY24, Hoka and Ugg drive sales

Footwear and apparel group Deckers reported strong results for the fiscal year 2024, with net sales rising 18.2 percent to 4.288 billion dollars.

Sales were largely driven by two of its portfolio brands, Hoka and Ugg, which saw net sales increase 27.9 percent and 16.1 percent, respectively. Elsewhere, net sales took notable hits. Teva, for example, saw its sales drop 18.9 percent, while Sanuk’s fell 33 percent.

Other brands, meanwhile, a segment primarily composed of Koolaburra, reported an additional increase of 5.9 percent to 67.9 million dollars.

Deckers as a whole welcomed positive results in both its direct-to-consumer and wholesale channels, where sales rose 26.5 percent and 12.6 percent, respectively. Domestically, the group also saw an increase of 16.8 percent, while international net sales were up 21.1 percent.

Gross margin for the period was 55.6 percent compared to its prior 50.3 percent, while operating income rose from 652.8 million dollars to 927.5 million dollars. Diluted earnings per share came to 29.16 dollars dollars, up from the previous 19.37 dollars.

Group revenue sees 18 percent increase

Revenue growth saw an increase of 18 percent, while earnings per share rose by 51 percent, as noted by president and CEO Dave Powers. In a press release, Powers noted the results reflected “a continued dedication to maintain exceptional levels of profitability as [the] brands scale”, with Hoka and Ugg remaining “well-positioned” in the marketplace.

The positivity continued into the fourth quarter of fiscal 2024, where net sales were also up 21.2 percent, driven by a 34 percent increase in Hoka sales and 14.9 percent rise at Ugg.

The gross margin for the period came to 56.2 percent, while operating income rose from 105.9 million dollars to 144.3 million dollars.

Outlook for the full fiscal year 2025 envisions a continuation in the group’s strong results, with net sales expected to see a further increase of around 10 percent to 4.7 billion dollars. While gross margin is forecast to hit 53.5 percent, the operating margin is anticipated to reach 19.5 percent.