Deckers Q2 2024 Earnings Report
Key Takeaways
Deckers Brands reported a 25% increase in revenue to a record $1.092 billion for the second quarter of fiscal year 2024. Diluted earnings per share increased by 79% to $6.82. The company has raised its full fiscal year 2024 revenue guidance to $4.025 billion and diluted earnings per share guidance to a range of $22.90 to $23.25.
Revenue increased by 25% to a record $1.092 billion.
Diluted earnings per share increased by 79% to $6.82.
Direct-to-Consumer (DTC) net sales increased 38.8% to $331.7 million.
UGG and HOKA brands drove exceptional performance.
Deckers
Deckers
Deckers Revenue by Segment
Forward Guidance
The Company's full fiscal year 2024 outlook is forward-looking in nature and is subject to significant risks and uncertainties. Net sales are now expected to be approximately $4.025 billion and diluted earnings per share is now expected to be in the range of $22.90 to $23.25.
Positive Outlook
- Net sales are now expected to be approximately $4.025 billion.
- Gross margin is now expected to be in the range of 52.5% to 53.0%.
- Operating margin is now expected to be approximately 18.5%.
- Effective tax rate is still expected to be in the range of 22% to 23%.
- Diluted earnings per share is now expected to be in the range of $22.90 to $23.25.
Challenges Ahead
- Changes in economic conditions, including consumer confidence and discretionary spending.
- Inflationary pressures.
- Foreign currency fluctuation.
- Geopolitical tensions.
- Supply chain disruptions, constraints and related expenses.
Revenue & Expenses
Visualization of income flow from segment revenue to net income