Crocs posts strong Q1 2025 results, withdraws full-year outlook
The Broomfield, Colorado-based footwear firm said revenues for the first quarter ended March 31, reached $937 million. Direct-to-consumer revenues grew 2.3%, while wholesale revenues contracted 1.6%.
By brand, Crocs revenues increased 2.4% to $762 million, with both DTC and wholesale revenues up 1.1% to $285 million and 3.2% to $477 million, respectively.
Revenue was partially offset by Heydude brand sales, the casual footwear brand acquired by Crocs in 2022, where revenues decreased 9.8% to $176 million. DTC revenues increased 8.3% to $65 million, while wholesale revenues decreased 17.9% to $111 million.
"We are incredibly proud of our better-than-expected first quarter performance despite what has been an increasingly volatile macroeconomic backdrop since the onset of the year. Both our Crocs and Heydude brands contributed to the outperformance with gross margins, operating margins, adjusted earnings per share, and cash flow coming in above plan," said Andrew Rees, chief executive officer, Crocs.
The company withdrew its previous guidance issued in February, due to macroeconomic uncertainties stemming from global trade policies. No revised full-year outlook has been provided.
"While we are pleased by the performance of our overall business in April, the new global trade environment as well as business and consumer uncertainty, has made it challenging to predict how consumers may respond in the future. Amid this heightened operating backdrop, we are withdrawing our guidance for 2025,' added Rees.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Fashion Network
23 minutes ago
- Fashion Network
Gildan to buy underwear maker Hanesbrands for 2.2 billion dollars
Inc. agreed to buy US underwear maker Hanesbrands Inc. for about 2.2 billion dollars in cash and stock, in its largest ever acquisition. Canada-based Gildan is offering Hanesbrands holders roughly 6 dollars a share, based on the companies' closing prices on Aug. 11, according to a statement Wednesday. Including debt, the deal values Hanesbrands at about 4.4 billion dollars. The transaction targets synergies at least 200 million dollars within three years, according to the statement, and be at least 20% accretive to Gildan's earnings per share. Shares in Hanesbrands slid 7.4% in premarket trading, after gaining 28% on Tuesday following reports on the deal.
Fashion Network
2 hours ago
- Fashion Network
Gildan to buy underwear maker Hanesbrands for 2.2 billion dollars
Inc. agreed to buy US underwear maker Hanesbrands Inc. for about 2.2 billion dollars in cash and stock, in its largest ever acquisition. Canada-based Gildan is offering Hanesbrands holders roughly 6 dollars a share, based on the companies' closing prices on Aug. 11, according to a statement Wednesday. Including debt, the deal values Hanesbrands at about 4.4 billion dollars. The transaction targets synergies at least 200 million dollars within three years, according to the statement, and be at least 20% accretive to Gildan's earnings per share. Shares in Hanesbrands slid 7.4% in premarket trading, after gaining 28% on Tuesday following reports on the deal.
Fashion Network
a day ago
- Fashion Network
Swiss sneaker brand On lifts targets as Europe, Asia fuel demand
Home › News › Business Published August 12, 2025 Download Print Published August 12, 2025 On Holding AG lifted its sales and earnings forecasts for the year after an unexpectedly strong second quarter that saw buyers in Europe and Asia snap up the Swiss sneaker maker's high-priced footwear. Tennis player Roger Federer backs On - On The Roger Federer-backed company now sees revenue growing at least 31% on a constant currency basis this financial year, above analyst estimates and three percentage points higher than the previous target. It translates to net sales of 2.91 billion Swiss francs ($3.6 billion) at current spot rates, On said Tuesday. Zurich-based On has become one of the top performers in the sneaker world, expanding from its core running shoes to other areas like tennis, training and apparel. The brand has grown rapidly since its 2010 founding, eating into market share of bigger players including Nike Inc. and Puma SE. On's shares are up nearly 17% so far this year in New York, outperforming rivals including Adidas company expects its gross profit margin to reach a range of 60.5% to 61% for the year, slightly up from its previous target despite US trade tariffs weighing on the sneaker sector. On cited better-than-expected growth at its expanding network of company-owned stores and its e-commerce channels.'The energy everywhere is so high,' Chief Executive Officer Martin Hoffmann said in an interview. 'We are in a really strong position and the whole ecosystem is supporting our aspirations.' On expects to open another five to 10 stores later this year, including one in its home of Zurich, another in Palo Alto, California, and a couple of locations in South Korea, Hoffmann said. Second-quarter sales rose more than analysts expected to 749 million Swiss francs, up 38% from a year ago in constant currency terms. The gross profit margin reached 61.5%, also better than analysts' estimates. On has the most expensive running shoes in the industry on average and began edging prices higher in the US last month, especially on lifestyle products. That approach hasn't scared off consumers so far, with strong early demand for On's new highly cushioned Cloudsurfer Max model which came to market in July, according to Hoffmann. Revenue in the second quarter jumped 43% in Europe, the Middle East and Africa and 101% in the Asia-Pacific region, significantly outperforming estimates. Growth of about 17% in the Americas was just shy of new store in Singapore generated some of the best opening-weekend business that the company has seen anywhere in the world, Hoffmann said. 'The demand there is so strong,' he said of the Asia-Pacific region. 'Much stronger than what we are willing to supply to the market.' Copyright Bloomberg Tags : Fashion Footwear Sports Business
