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Jun 30, 2021
Crocs Q2 2021 Earnings Report
Reported record second quarter revenue and committed to net zero emissions by 2030.
Key Takeaways
Crocs, Inc. reported a record second quarter with revenues growing 93% to $641 million. Operating income increased significantly to $195 million. The company raised its full-year revenue growth and operating margin guidance and committed to net zero emissions by 2030.
Record revenues of $640.8 million, an increase of 93.3% compared to 2020.
Digital sales grew 25.4% and represented 36.4% of revenue.
Direct-to-consumer sales grew 78.6% compared to 2020.
Operating income more than tripled to $195.3 million compared to 2020, with operating margins expanding to 30.5%.
Crocs
Crocs
Crocs Revenue by Geographic Location
Revenue by Geographic Location
North America Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
Crocs expects revenue growth to be between 60% and 70% for Q3 2021 compared to Q3 2020. Non-GAAP operating margin is expected to be between 24% and 26%. Full year revenue growth is expected to be between 60% and 65% compared to 2020, with a non-GAAP operating margin of approximately 25%.
Positive Outlook
- Revenue growth to be between 60% and 70% compared to third quarter 2020 revenues of $361.7 million.
- Non-GAAP operating margin to be between 24% and 26%.
- Revenue growth to be between 60% and 65% compared to 2020 revenues of $1,386.0 million.
- Non-GAAP operating margin of approximately 25%.
- Capital expenditures of $80 to $100 million for supply chain investments to support growth.
Challenges Ahead
- Non-GAAP adjustments of approximately $3 million related to distribution center investments that will negatively impact gross margin in Q3 2021.
- Non-GAAP adjustments of approximately $8 to $10 million related to distribution center investments that will negatively impact gross margin for full year 2021.
- Non-GAAP effective tax rate of approximately 23%, excluding a GAAP tax credit of $175.7 million for full year 2021.
- Potential impacts to business related to commitment to achieve net zero emissions by 2030.
- The COVID-19 pandemic and related global financial conditions.
Revenue & Expenses
Visualization of income flow from segment revenue to net income