Soaring Sales of Hoka and Ugg Shoes Send Deckers Stock to a Record High
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Key Takeaways
Deckers Outdoor reported fiscal 2024 fourth-quarter sales and profit that surpassed analysts’ estimates.
Soaring demand for Hoka and Ugg brand shoes helped fuel Deckers’ earnings beat.
Deckers shares surged to an all-time high following the news.
Deckers Outdoor (
DECK
) shares skyrocketed over 13% to an all-time high in early trading Friday as the maker of fashion footwear blew away quarterly profit estimates on soaring demand for its Hoka and Ugg brand shoes.
The company posted fiscal 2024 fourth-quarter
earnings per share (EPS)
of $4.95, more than $2 above analysts’ estimates compiled by Visible Alpha. Revenue increased 21% from a year ago to $959.8 million, also above forecasts.
Hoka and Ugg Demand Fuels Sales Beat
By brand, Hoka sales jumped 34% to $533 million, and Ugg sales climbed 15% to $361.3 million. They declined 16% for Teva and 39% for Sanuk, while sales of other brands, primarily composed of Koolaburra, were flat.
Sales were up 19% to $647.7 million domestically and 25% to $312 million internationally. Direct-To-Consumer (DTC) sales gained 21% to $415.2 million, with wholesale sales climbing 21% to $544.6 million.
CEO Dave Powers said Hoka and Ugg “remain two of the most admired and well-positioned brands in the marketplace.”
Deckers said it anticipates full-year EPS for fiscal 2025 of $29.50 to $30, up from $29.16 in fiscal 2024. The company projected revenue growth of approximately 10% to $4.7 billion, in line with expectations.
Shares of Deckers were 13.3% higher at $1,025 as of 11 a.m. ET Friday and have gained over 52% since the start of the year.
