Deckers Brands, the renowned footwear company that owns popular brands like Ugg and Hoka One One, has announced a significant increase in sales for the fourth quarter. The California-based company reported sales of $561.2 million for Q4, marking a remarkable 49.7% surge compared to the previous year. In constant currencies, the growth amounted to 47.9%.

Leading the surge in sales was the Hoka One One running shoe brand, which generated revenues of $177.5 million, reflecting a remarkable 74.2% increase compared to the same period last year. The Ugg brand also experienced strong year-over-year growth, with sales totaling $300.5 million, a 53.1% increase. Teva saw a modest 1.0% year-over-year increase in sales, reaching $60.2 million. However, the Sanuk brand witnessed an 8.8% dip in revenue, totaling $12.1 million.

The “other brands” division of Deckers, primarily consisting of the Koolaburra brand, saw a significant rise in sales of 178.5%, amounting to $10.9 million. Wholesale revenues also recorded growth, increasing by 41.4% to $326.1 million, while direct-to-consumer (DTC) sales rose by 63.0% to $235.1 million. Comparable DTC sales grew by an impressive 76.3%.

Despite the challenges posed by the pandemic, approximately 77% of Deckers’ global stores remained open throughout the fourth quarter, albeit with limited capacity. The company achieved solid growth both in domestic and international markets, with a 64.3% increase in domestic sales, totaling $379.2 million, and a 26.2% rise in international sales, reaching $181.9 million.

Deckers’ quarterly net income stood at $33.5 million, or $1.18 per diluted share, compared to $16.1 million, or $0.57 per diluted share, in the same period last year. For the full fiscal year, the company reported net sales of $2.55 billion, reflecting a 19.4% increase from the previous year. Ugg and Hoka One One were the main drivers of this growth, with Ugg sales increasing by 12.9% to $1.72 billion and Hoka One One experiencing a remarkable 62.0% rise in revenues to $571.2 million.

Dave Powers, the President and CEO of Deckers, expressed his satisfaction with the company’s performance. He attributed the success to the global popularity of the Hoka brand and the strong demand for Ugg products. Powers also highlighted the company’s omni-channel organization and digitally-focused strategies as contributing factors to its growth. Looking ahead, Deckers anticipates achieving net sales between $2.95 billion and $3.00 billion in the fiscal year ending on March 31, 2022. Diluted earnings per share are estimated to be between $14.05 and $14.65.

Source:
Business Wire