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Mar 31, 2024
Crocs Q1 2024 Earnings Report
Crocs, Inc. reported record revenue and raised its full-year adjusted diluted earnings per share outlook, driven by the Crocs brand's growth and diversified business.
Key Takeaways
Crocs, Inc. announced strong first-quarter results, with revenue reaching a record $939 million, a 6% increase year-over-year. Diluted EPS rose by 5% to $2.50, and adjusted diluted EPS increased by 16% to $3.02. The company raised its full-year adjusted diluted earnings per share guidance, buoyed by the strength of the Crocs brand.
Revenue increased by 6% year-over-year to a record $939 million.
Diluted EPS increased 5% to $2.50, while adjusted diluted EPS increased 16% to $3.02.
The Crocs Brand saw a revenue increase of 14.6% to $744 million.
Direct-to-consumer (DTC) revenues grew by 11.8%.
Crocs
Crocs
Crocs Revenue by Geographic Location
Revenue by Geographic Location
North America Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
The company provided guidance for the second quarter of 2024, expecting revenue to be up 1% to 3% compared to the second quarter of 2023, with the Crocs Brand to grow 7% to 9% and the HEYDUDE Brand to contract (19%) to (17%). Adjusted operating margin is expected to be approximately 26.5%, and adjusted diluted earnings per share are projected to be $3.40 to $3.55.
Positive Outlook
- Revenue growth of 3% to 5% compared to 2023.
- Crocs Brand revenue growth of approximately 7% to 9%.
- Adjusted operating margin of approximately 25%.
- Adjusted diluted earnings per share of $12.25 to $12.73.
- The Company had $875 million remaining on its current share repurchase authorization as of March 31, 2024.
Challenges Ahead
- HEYDUDE Brand revenue to contract (10%) to (8%).
- Non-GAAP adjustments of approximately $28 million related to the implementation of a new enterprise resource planning (“ERP”) system for HEYDUDE.
- Costs to transition to our new HEYDUDE distribution center in Las Vegas, Nevada.
- Combined GAAP tax rate of approximately 21.5% and non-GAAP effective tax rate of approximately 18.0%.
- Capital expenditures of approximately $120 million to $130 million.
Revenue & Expenses
Visualization of income flow from segment revenue to net income