Newswire • Fashion Mannuscript

Deckers Brands Reports Fourth Quarter and Full Fiscal Year 2024 Financial Results

May 28, 2024
Photo courtesy of Deckers Brands

Deckers Brands, a global leader in designing, marketing and distributing innovative footwear, apparel and accessories, announced financial results for the fourth fiscal quarter and full fiscal year, which ended on March 31, 2024. Deckers Brands also provided its financial outlook for the full fiscal year ending on March 31, 2025.

“Deckers achieved record results during fiscal year 2024, as we delivered revenue growth of 18% and increased earnings per share by 51%, reflecting a continued dedication to maintain exceptional levels of profitability as our brands scale,” said Dave Powers, president and chief executive officer. “Hoka and Ugg remain two of the most admired and well-positioned brands in the marketplace, each with a robust innovation product pipeline designed to win with global consumers. Looking forward, our talented teams are highly motivated to continue driving towards the long-term opportunities of these iconic brands.”

Fourth Quarter Fiscal 2024 Financial Review (Compared to the Same Period Last Year)

  • Net sales increased 21.2% to $959.8 million compared to $791.6 million. On a constant currency basis, net sales increased 21.1%.
    • Channel
      • Direct-to-Consumer (DTC) net sales increased 21.0% to $415.2 million compared to $343.1 million. DTC comparable net sales increased 20.5%.
      • Wholesale net sales increased 21.4% to $544.6 million compared to $448.4 million.
    • Geography
      • Domestic net sales increased 19.4% to $647.7 million compared to $542.4 million.
      • International net sales increased 25.2% to $312.0 million compared to $249.1 million.
  • Gross margin was 56.2% compared to 50.0%.
  • Selling, general, and administrative (SG&A) expenses were $395.2 million compared to $290.2 million.
  • Operating income was $144.3 million compared to $105.9 million.
  • Diluted earnings per share was $4.95 compared to $3.46.

Fourth Quarter Fiscal 2024 Brand Summary (Compared to the Same Period Last Year)

  • HOKA® brand net sales increased 34.0% to $533.0 million compared to $397.7 million.
  • UGG® brand net sales increased 14.9% to $361.3 million compared to $314.3 million.
  • Teva® brand net sales decreased 15.6% to $53.0 million compared to $62.8 million.
  • Sanuk® brand net sales decreased 39.1% to $6.5 million compared to $10.7 million.
  • Other brands, primarily composed of Koolaburra®, net sales were approximately flat at $6.0 million.

Full Fiscal Year 2024 Financial Review (Compared to the Same Period Last Year)

  • Net sales increased 18.2% to $4.288 billion compared to $3.627 billion. On a constant currency basis, net sales increased 17.9%.
    • Channel
      • DTC net sales increased 26.5% to $1.855 billion compared to $1.467 billion. DTC comparable net sales increased 25.4% over the same period last year.
      • Wholesale net sales increased 12.6% to $2.432 billion compared to $2.161 billion.
    • Geography
      • Domestic net sales increased 16.8% to $2.864 billion compared to $2.451 billion.
      • International net sales increased 21.1% to $1.424 billion compared to $1.176 billion.
  • Gross margin was 55.6% compared to 50.3%.
  • SG&A expenses were $1.458 billion compared to $1.173 billion.
  • Operating income was $927.5 million compared to $652.8 million.
  • Diluted earnings per share was $29.16 compared to $19.37.

Full Fiscal Year 2024 Brand Summary (Compared to the Same Period Last Year)

  • HOKA® brand net sales increased 27.9% to $1.807 billion compared to $1.413 billion.
  • UGG® brand net sales increased 16.1% to $2.239 billion compared to $1.929 billion.
  • Teva® brand net sales decreased 18.9% to $148.5 million compared to $183.1 million.
  • Sanuk® brand net sales decreased 33.0% to $25.4 million compared to $38.0 million.
  • Other brands, primarily composed of Koolaburra®, net sales increased 5.9% to $67.9 million compared to $64.1 million.

Balance Sheet (March 31, 2024 as compared to March 31, 2023)

  • Cash and cash equivalents were $1.502 billion compared to $981.8 million.
  • Inventories were $474.3 million compared to $532.9 million.
  • The Company had no outstanding borrowings.

Stock Repurchase Program

  • During the fourth fiscal quarter, the Company repurchased approximately 119 thousand shares of its common stock for a total of $104.3 million at a weighted average price paid per share of $875.01.
  • During the full fiscal year 2024, the Company repurchased approximately 715 thousand shares of its common stock for a total of $414.9 million at a weighted average price paid per share of $580.44.
  • As of March 31, 2024, the Company had approximately $941.7 million remaining under its stock repurchase authorization.