Deckers Stock Surges After Hoka and Ugg Fuel Q1 Beat
The Goleta, Calif.-based company reported a net sales increase of 16.9 percent in Q1 to $964.5 million compared to $825.3 million the same time last year. Net income for the first quarter was $139.2 million or 93 cents per diluted share, up from $115.6 million, or 75 cents per diluted share, the prior year.
More from WWD
Hoka Launches Global Running Campaign 'Together, We Fly Higher' With Paralympic Gold Medalist Grace Norman
Brunello Cucinelli Expects Modest Profit Growth in 2025, Sees Sales Up 10 Percent in 2026 After Positive H1
Dr. Martens Says Its Fall Order Books Are 'Healthy' as New Fiscal Year Starts In-Line With Expectations
These results beat consensus estimates which called for revenues of $900.3 million, and earnings per share of 68 cents, according to Yahoo Finance.
By brand, Hoka led the way with net sales of $653.1 million, a 19.8 percent increase compared to $545.2 million the same time last year. At Ugg, net sales increased 18.9 percent to $265.1 million compared to $223.0 million last Q1. Deckers' 'Other' brands division – which includes the Teva and Ahnu brands – saw net sales decrease 19 percent to $46.3 million compared to $57.2 million.
As for wholesale, Deckers said that net sales in the channel increased 26.7 percent to $652.4 million compared to $514.8 million, while the direct-to-consumer channel saw net tick up 0.5 percent to $312.2 million compared to $310.6 million the same time last year.
By region, the company noted that net sales domestically declined 2.8 percent to $501.3 million compared to $515.9 million in Q1 2025. However, international net sales in the period increased 49.7 percent to $463.3 million compared to $309.5 million.
Stefano Caroti, president and chief executive officer of Deckers Brands, said in a statement on Thursday that Hoka and Ugg 'outperformed' the company's first quarter expectations, with 'robust growth delivering solid results to begin fiscal year 2026.'
'Though uncertainty remains elevated in the global trade environment, our confidence in our brands has not changed, and the long-term opportunities ahead are significant,' Caroti said. 'We will lean on the fundamental strengths of our powerful operating model as we continue executing our strategy.'
Looking ahead, Deckers Brands said that given the continued uncertainty from evolving global trade policy and related macroeconomic pressures, the company will only be providing second quarter guidance.
In Q2 2026, Deckers expects net sales to be in the range of $1.38 billion to $1.42 billion, with diluted earnings per share expected to be in the range of $1.50 to $1.55.
These results also come as the company confirms that former CEO Dave Powers will not stand for reelection to the board at its next annual meeting, retiring after more than nine years of service as a director.
Best of WWD
All the Retailers That Nike Left and Then Went Back
Mikey Madison's Elegant Red Carpet Shoe Style [PHOTOS]
Julia Fox's Sleekest and Boldest Shoe Looks Over the Years [Photos]
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
a day ago
- Yahoo
Deckers Outdoor (DECK) Soars 11% on Impressive Earnings
We recently published . Deckers Outdoor Corporation (NYSE:DECK) is one of the best-performing stocks on Friday. Deckers Outdoor jumped by 11.35 percent on Friday to end at $116.85 apiece following the release of an impressive earnings performance in the first quarter of fiscal year 2026. During the period ending June 30, Deckers Outdoor Corporation (NYSE:DECK) said net income increased by 20.2 percent to $139 million from $115.6 million in the same period last year, while net sales jumped by 16.8 percent to $964 million from $825 million. In terms of brands, Deckers Outdoor Corporation (NYSE:DECK) said HOKA contributed $653.1 million of the total net sales, followed by UGG with $265.1 million, and the balance from other brands. For the second quarter ending September 2025, Deckers Outdoor Corporation (NYSE:DECK) said it targets net sales between $1.38 billion and $1.42 billion, with diluted earnings per share of $1.50 to $1.55, excluding the impact from additional share repurchases. While we acknowledge the potential of DECK as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Yahoo
Why Deckers Outdoor Stock Jumped Today
Key Points Despite concerns about tariff-related headwinds, Deckers reported strong growth on the top and bottom lines in the first quarter. The company expects a $185 million increase in cost of goods sold this year from tariffs. Second-quarter guidance called for its growth to slow. 10 stocks we like better than Deckers Outdoor › Shares of Deckers Outdoor (NYSE: DECK), the global footwear company with brands like Hoka and UGG, were climbing today after the company delivered better-than-expected results in its first-quarter report. Coming after the stock plunged earlier in the year on fears of tariff-related headwinds and weakening consumer sentiment, the results helped reassure investors that its growth story was still intact. As of 12:21 p.m. ET on Friday, the stock was up 11.7% on the news. Deckers is still growing Revenue growth accelerated from the previous quarter, growing 17% to $964.5 million, largely due to the international market. That result was well ahead of the consensus analyst estimate of $900.4 million. Growth at both of its marquee brands was strong, with Hoka revenue rising 19.8% to $653.1 million, and UGG sales up 18.9% to $265.1 million during a seasonally slow quarter for the sheepskin boot brand. Sales at its other brands, which make up a small percentage of the business, fell 19% to $46.3 million. With the direct-to-consumer and its domestic segments weak, the company picked up the slack in wholesale and international sales. Wholesale revenue jumped 26.7% to $652.4 million, which is key because the wholesale channel tends to drive more full-price sales. International sales increased 49.7% to $463.3 million, nearly making up half of its total, driven in part by strength in China. Gross margin fell from 56.9% to 55.8%, but operating income jumped from $132.8 million to $165.3 million, and earnings per share (EPS) rose from $0.75 to $0.93, well ahead of estimates at $0.68. In a quarter when analysts were expecting a decline in EPS, it instead rose by 24%. What's next for Deckers Given the monster beat, the stock could have jumped more, but Deckers still sees headwinds related to tariffs, saying it expects costs of goods sold to increase $185 million because of new tariffs, representing nearly 4% of revenue. For the second quarter, the company expects revenue of $1.38 billion to $1.42 billion, up 7% at the midpoint, and EPS of $1.50 to $1.55, which compares to $1.59 a year ago. While the guidance indicates management still expects a slowdown from the current quarter, the stock looks like a good buy at a price-to-earnings ratio of just 18. Should you buy stock in Deckers Outdoor right now? Before you buy stock in Deckers Outdoor, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Deckers Outdoor wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,774!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,064,942!* Now, it's worth noting Stock Advisor's total average return is 1,040% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Deckers Outdoor. The Motley Fool has a disclosure policy. Why Deckers Outdoor Stock Jumped Today was originally published by The Motley Fool Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Los Angeles Times
2 days ago
- Los Angeles Times
Wall Street's winning week ends with more records for stocks
NEW YORK — Stocks capped another strong week with more records on Friday. The S&P 500 rose 0.4% to set an all-time high, the fifth time it did so this week. The Dow Jones Industrial Average climbed 208 points, or 0.5%, and the Nasdaq composite added 0.2% to its own record set the day before. Deckers, the company behind Ugg boots and Hoka shoes, jumped 11.3% after reporting stronger profit and revenue for the spring than analysts expected. Its growth was particularly strong outside the United States, where revenue soared nearly 50%. Edwards Lifesciences rose 5.5% after likewise topping Wall Street's expectations for profit in the latest quarter. It said it saw strength across all its product groups, and it expects profit for the full year to come in at the high end of the forecasted range it had given earlier. They helped offset a drop of 8.5% for Intel, which fell after reporting a loss for the latest quarter, when analysts were looking for a profit. The struggling chipmaker also said it would cut thousands of jobs and eliminate other expenses as it tries to turn around its fortunes. Intel, which helped launch Silicon Valley as the U.S. technology hub, has fallen behind rivals like Nvidia and Advanced Micro Devices while demand for artificial intelligence chips soars. All told, the S&P 500 rose 25.29 points to 6,388.64. The Dow Jones Industrial Average climbed 208.01 to 44,901.92, and the Nasdaq composite added 50.36 to 21,108.32. The pressure is on companies to deliver solid growth in profits in order to justify big gains for their stock prices, which have rallied to record after record in recent weeks. Wall Street has zoomed higher on hopes that President Donald Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation. Trump has recently announced deals with Japan and the Philippines, and the next big deadline is looming on Friday, Aug. 1. Besides potential trade talks, next week will also feature a meeting by the Federal Reserve on interest rates. Trump again on Thursday lobbied the Fed to cut rates, which he has implied could save the U.S. government money on its debt repayments. Fed Chair Jerome Powell, though, has continued to insist he wants to wait for more data about how Trump's tariffs affect the economy and inflation before the Fed makes its next move. Lower interest rates can help goose the economy, but they can also give inflation more fuel. Lower rates also may not lower the U.S. government's costs to borrow money, if the bond market feels they could send inflation higher in the future. In that case, lower short-term rates brought by the Fed could actually have the opposite effect and make it more expensive for Washington to borrow money over the long term. The widespread expectation on Wall Street is that the Fed will wait until September to resume cutting interest rates. In the bond market, Treasury yields held relatively steady following Trump's latest attempt to push Powell to cut interest rates. Trump also seemed to back off on threats to fire the Fed's chair. 'To do that is a big move, and I don't think that's necessary,' Trump said. 'I just want to see one thing happen, very simple: Interest rates come down.' If Trump fired Powell, he'd risk a freak-out in financial markets by raising the possibility of a less independent Fed, one unable to make unpopular choices necessary to keep the economy healthy. The yield on the 10-year Treasury eased to 4.38% from 4.43% late Thursday. The two-year Treasury yield, which more closely tracks expectations for what the Fed will do, held steady at 3.91%, where it was late Thursday. In stock markets abroad, indexes slipped across much of Europe and Asia. Stocks fell 1.1% in Hong Kong and 0.3% in Shanghai. U.S. Treasury Secretary Scott Bessent has said he will meet with Chinese officials in Sweden next week to work toward a trade deal with Beijing ahead of an Aug. 12 deadline. Trump has said a China trip 'is not too distant' as trade tensions ease. Choe writes for the Associated Press.
