Crocs Q2 2020 Earnings Report
Key Takeaways
Crocs, Inc. announced its second quarter 2020 financial results, reporting global revenues of $331.5 million, a decline of 7.6% from the second quarter of 2019. Diluted earnings per share grew 50.9% to $0.83, and operating income increased 18.3% to $56.6 million.
Global revenues were $331.5 million, declining 7.6% from the second quarter of 2019.
Global e-commerce revenue increased by 67.7% with strong growth in all regions.
Operating margin rose approximately 380 basis points to 17.1%.
Diluted earnings per share grew 50.9% to $0.83.
Crocs
Crocs
Crocs Revenue by Segment
Crocs Revenue by Geographic Location
Forward Guidance
Excluding the impact of any future shutdowns in major markets for full year 2020, we expect revenue for the remainder of 2020 to be approximately flat compared to the back-half of 2019. A tax rate of 11% for 2020. Inventory to be constrained throughout the remainder of 2020 reflecting our decision to significantly reduce inventory purchases as a result of the pandemic. Approximately $50 million in capital expenditures.
Positive Outlook
- Revenue for the remainder of 2020 to be approximately flat compared to the back-half of 2019
- A tax rate of 11% for 2020
- Investments to support future growth that we had previously deferred
Challenges Ahead
- Continued disruption and global uncertainty related to COVID-19
- Inventory to be constrained throughout the remainder of 2020 reflecting our decision to significantly reduce inventory purchases as a result of the pandemic
Revenue & Expenses
Visualization of income flow from segment revenue to net income