Business
Crocs, Inc. Reports Record Quarterly Revenues of Over $1 Billion, Up 11%
Second Quarter Operating Margin of 30% Raises Full Year Outlook for Revenues, Operating Margin, and Earnings Per Share BROOMFIELD, Colo., July 27, 2023
About this update from Crocs, Inc.
[{"type":"text","content":"Second Quarter Operating Margin of 30%\nRaises Full Year Outlook for Revenues, Operating Margin, and Earnings Per Share\nBROOMFIELD, Colo., July 27, 2023 /PRNewswire/ -- Crocs, Inc. (NASDAQ: CROX), a world leader in innovative casual footwear for women, men, and children, today announced its second quarter 2023 financial results.\n\n \n \n \n \n \n \n\n \n\"We achieved record quarterly revenues of over $1 billion, representing growth of 12% on a constant currency basis to prior year. Both the Crocs and HEYDUDE brands continue to gain share and bring in new consumers with our comfortable offerings, as evidenced by DTC growth of 26% in the second quarter,\" said Andrew Rees, Chief Executive Officer. \"We continue to invest behind our strategic priorities that are driving profitable growth.\"\nAmounts referred to as \"Adjusted\" or \"Non-GAAP\" are Non-GAAP measures and include adjustments that are described under the heading \"Reconciliation of GAAP Measures to Non-GAAP Measures.\" A reconciliation of these amounts to their GAAP counterparts are contained in the schedules below.\nSecond Quarter 2023 Highlights\nConsolidated revenues of $1,072.4 million increased 11.2%, or 12.0% on a constant currency basis, as compared to 2022.Crocs Brand revenues of $833.0 million increased 13.8%, or 14.9% on a constant currency basis, as compared to 2022.Crocs Brand growth was fueled by Asia revenue growth of 33.2%, or 39.0% on a constant currency basis, and North America direct-to-consumer (\"DTC\") comparable sales growth of 12.9%, as compared to 2022.HEYDUDE Brand DTC revenues grew 29.7% and digital revenues increased 36.7% as compared to 2022.Operating margin was 29.7% and adjusted operating margin was 30.3%.Diluted earnings per share increased 31.4% to $3.39 as compared to the same period last year. Adjusted diluted earnings per share rose 10.8% to $3.59.We paid down $299.1 million of debt in the first half of 2023 and reduced gross leverage to 1.8x.Second Quarter 2023 Operating Results\nRevenues were $1,072.4 million, an increase of 11.2% from the same period last year, or 12.0% on a constant currency basis. DTC revenues, which includes retail and e-commerce, grew 26.0%, or 27.2% on a constant currency basis. Wholesale revenues grew 0.2% compared to 2022, or 0.8% on a constant currency basis.Gross margin was 57.9% compared to 51.6% in the ...