Deckers Brands raises full-year guidance

The US shoe and apparel retailer Deckers Brands closed the third quarter of 2022/23 with strong growth in sales and earnings and then set itself higher targets for the financial year as a whole.

On Thursday night, the parent company of brands including Ugg and Hoka said it had sales of $1.35 billion for the October-December period. Revenues thus exceeded the level of the prior-year quarter by 13.3 percent (currency-adjusted +17.5 percent).

The Hoka label developed particularly dynamically with a sales increase of 90.8 percent to 352.1 million US dollars. Teva was able to increase by 48.3 percent to 30.5 million US dollars. Ugg, on the other hand, fell 1.6 percent to $930.4 million, while Sanuk’s sales shrank 7.4 percent to $5.6 million. The other group brands together generated sales of 26.9 million US dollars, falling 12.1 percent short of the corresponding prior-year level.

Operating income grew 23.6 percent to $362.7 million thanks to significant revenue growth and a higher gross margin. Net income for the quarter was $278.7 million, up 19.6 percent from the same period last year.

In view of the pleasing development, the group raised its forecast for the entire financial year. For 2022/23, management now expects sales growth of eleven to twelve percent to USD 3.50 to 3.53 billion. The new target range for diluted earnings per share is between $18.00 and $18.50.