Business
Crocs, Inc. Reports Record Revenues for Fourth Quarter and Full Year 2019; Full Year Operating Income Increased 104.4%; Operating Margin Improved to 10.5%; Full Year EPS Increased to $1.66
NIWOT, Colo.--(BUSINESS WIRE)-- Crocs, Inc. (NASDAQ: CROX), a world leader in innovative casual footwear for men, women, and children, today announced its
About this update from Crocs, Inc.
[{"type":"text","content":"\n \n\n NIWOT, Colo.--(BUSINESS WIRE)--\nCrocs, Inc. (NASDAQ: CROX), a world leader in innovative casual footwear for men, women, and children, today announced its fourth quarter and full year 2019 financial results.\n\n\nAndrew Rees, President and Chief Executive Officer, said, “Our record fourth quarter and full year top-line combined with our double-digit operating margin underscores the progress we have made executing our key strategic initiatives. Focusing on our core clog and sandal categories and further igniting brand heat through impactful marketing campaigns and collaborations are fueling strong revenue growth. Equally important, the work we’ve done reducing our expense structure is allowing us to translate our top-line success into even stronger earnings growth as we continue to make important investments in the business.”\n\n\n“Although we begin the new year with great momentum and exciting plans in place to build on our recent growth, our immediate focus is with everyone affected by the coronavirus and ensuring that our employees in China, along with our partners, safely navigate the risks associated with this global health epidemic. Despite this difficult situation, we continue to be very optimistic about our long-term growth prospects in China and our Asia region.”\n\n\nFourth Quarter 2019 Operating Results:\n\n\n\nRevenues were $263.0 million, growing 21.8% over the fourth quarter of 2018, or 22.7% on a constant currency basis. Currencies negatively impacted our revenues by approximately $2.0 million, while store closures reduced our revenues by $2.0 million. Wholesale revenues grew 22.4%, e-commerce revenues grew 34.3%, and retail comparable store sales on a constant currency basis grew 16.0%.\n\n\n\n\nGross margin was 48.0%, compared to 46.2% in last year’s fourth quarter. Adjusted gross margin, which excludes 130 basis points of expenses primarily related to the relocation of our distribution centers in the U.S. and the Netherlands, was 49.3%. Adjusted gross margin rose 310 basis points, driven by favorable product mix, price increases on certain products, lower levels of promotions and discounts, and greater volume helping to leverage our fixed costs. For a reconciliation of gross margin to adjusted gross margin, see the ‘Non-GAAP cost of sales and gross margin reconciliation’ schedule below.\n\n\n\n\nSelling...