Deckers Outdoor net sales soar 10.1 percent in FY 2013

REPORT_ Deckers Outdoor Corporation in its financial results for the fourth quarter and fiscal year ended December 31, 2013 said that its net sales increased 10.1 percent to 1.557 billion dollars compared to 1.414 billion dollars last year. Net sales for the fourth quarter increased 19.2 percent to a record 

736 million dollars compared to 617.3 million dollars for the same period last year.

Gross margin in the fiscal 2013 improved 260 basis points to 47.3 percent compared to 44.7 percent last year. Diluted earnings per share increased 21.2 percent to 4.18 dollars compared to 3.45 dollars last year. Ugg brand sales increased 9.7 percent, Sanuk brand sales 8.2 percent and Teva brand sales 0.8 percent. Retail sales increased 32.8 percent; whereas same store sales increased 2.8 percent for the 52 weeks ending December 29, 2013 compared to the 52 weeks ending December 30, 2012. E-commerce sales increased 29.8 percent. Domestic sales increased 7.1 percent to 1.042 billion dollars compared to 973 million dollars last year and international sales increased 16.5 percent to 514.3 million dollars compared to 441.4 million dollars last year.

In

the fourth quarter, gross margin improved 480 basis points to 51.1 percent compared to 46.3 percent for the same period last year. Diluted earnings per share increased 45.8 percent to 4.04 dollars compared to 2.77 dollars for the same period last year. Ugg brand sales increased 18.1 percent, Sanuk brand sales increased 45.2 percent and Teva brand sales 13.6 percent. While retail sales rose 31.4 percent; same store sales increased 6.1 percent for the thirteen weeks ending December 29, 2013 compared to the thirteen weeks ending December 30, 2012. Domestic sales increased 14.3 percent and international sales 32.1 percent compared to same period last year.

“Our strong fourth quarter performance capped off a year of solid strategic progress,” commented Angel Martinez, President, Chief Executive Officer and chair of the board of directors, adding, “Looking ahead, we expect to be well positioned to execute our consumer centric growth strategy with compelling new product introductions, engaging store experiences and a dynamic online offering.”

Combined net sales of the company's other brands increased 110.1 percent to 7.4 million dollars for the fourth quarter compared to 3.5 million dollars for the same period last year. The increase was attributable to the addition of the Hoka One One brand and to a 100 percent increase in sales for the Ahnu brand compared to the same period last year. For the full year, combined net sales of the Goleta, the California-based company's other brands increased 85.8 percent.

For the full calendar year outlook for the 12-Month period ending December 31, 2014, company expects revenues to increase approximately 10 percent over 2013 levels and diluted earnings per share to increase approximately 8 percent over 2013 levels. This guidance assumes a gross profit margin of approximately 49 percent and an operating margin of approximately 13 percent. The company currently expects first calendar quarter 2014 revenues to increase approximately 6 percent over first quarter 2013 levels.