Slide 1: Investor Presentation 2025
Investor Presentation 2025
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation includes estimates, projections, and statements relating to our business plans, commitments, objectives, and expected operating results that are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Sectio
Slide 3: Investment Thesis
Investment Thesis 3
Slide 4: Investment Thesis
Investment Thesis 1 2 3 4 5 Global leader in Diversified sources Strong value Durable, profitable Best-in-class casual footwear of growth across proposition with growth with top-tier management with two iconic brands, categories, assortments <$100 margins and cash team with track brands and a channe
Slide 5: Crocs, Inc. At The Nexus Of Consumer Mega Trends
1 Crocs, Inc. At The Nexus Of Consumer Mega Trends Casualization Comfort Driven Personalization Accessible Price Point 5
Slide 6: We Play In Large and Growing Addressable Markets
1 We Play In Large and Growing Addressable Markets(1) Our brands play in a Total Footwear Market $160B+ TAM of Casual $385B+ Footwear, Sandals, and Clogs Other (Performance, Dress, Fashion, Etc) $225B+ Casual, Sandals, Clogs $160B+ Casual TAM: $110B Sandals TAM: $35B Crocs, Inc. Clogs TAM: $15B FY24
Slide 7: Crocs Inc. Growth Priorities
1 Crocs Inc. Growth Priorities Ignite Our Icons Tier 1 Market Share Gains Attract New Consumers through driving awareness through strategic through methodically and global relevance for new investment behind talent, diversifying our product range and existing customers marketing, digital and retail
Slide 8: Diversified Growth
2 Diversified Growth(1) SHARE OF Brand Channel ENTERPRISE SHARE OF Geography CROCS BRAND 1. Metrics represent full year 2024 actuals 8
Slide 9: Diversified Growth: Crocs Brand Strategy
2 Diversified Growth: Crocs Brand Strategy Drive Brand Relevance through Icon Iterations Gain Market Share Outside of Clogs through New Wearing Occasions Fuel Disruptive and Authentic Social and Digital Marketing Gain Share in Markets around the World 9
Slide 10: Diversified Growth: HEYDUDE Brand Strategy
2 Diversified Growth: HEYDUDE Brand Strategy Create a HEYDUDE Brand Community through Connecting with Youth Female Culture, While Maintaining a Strong Connection to the Male Fan Base Build the Core, Our Wendy and Wally, and Add More Stabilize, then Accelerate, North America While Laying Ground Work
Slide 11: Diversified Growth: Geography
2 Diversified Growth: Geography(1) Japan Tier 1 Markets: Large addressable footwear markets where we disproportionately invest SG&A for durable, future growth 1. Crocs Brand only Tier 1 markets 11
Slide 12: Diversified Growth: International Opportunity
2 Diversified Growth: International Opportunity(1) <1% Market Share 1% - 2% Market Share >2% Market Share S. % Market Share Penetration Korea US UK India GER JP FR China Not to scale Growing Emerging Established Product Lead with Icons and Personalization, Drive Relevance Ignite Icons & Personalizat
Slide 13: Diversified Growth: Crocs Product Pillars
2 Diversified Growth: Crocs Product Pillars The Getaway The Miami The Brooklyn Clogs Proposed for Sandals Jibbitz 75% of business(1) External #2 13% of business(1) 8% of business(1) Confidential 1. Crocs brand FY2024 percent of business 13
Slide 14: Diversified Growth: HEYDUDE Product Pillars
2 Diversified Growth: HEYDUDE Product Pillars Core and...More! Vast majority of sales come from our Consists of other key silhouettes in core Wendy and Wally silhouettes focus for 2025 and beyond Funk Mono Stretch Sox Stretch Canvas Paul / Bradley Austin Lift / Camden Confidential 14
Slide 15: Strong Value Proposition with Accessible Price Points
3 Strong Value Proposition with Accessible Price Points Our icons are accessibly priced and our core franchises are available under $100 15
Slide 16: A History of Durable, Profitable Growth: Sales
4 A History of Durable, Profitable Growth 2018-24 Sales CAGR: +25% $ in Billions Note: We acquired HEYDUDE on February 17, 2022 and, as a result, added the HEYDUDE Brand as a new reportable operating segment. Therefore, the amounts shown above for the year ended December 31, 2022 represent results d
Slide 17: A History of Durable, Profitable Growth: Adj. EPS
4 A History of Durable, Profitable Growth 2018-24 Adj. Diluted EPS CAGR: +58%(1) Note: We acquired HEYDUDE on February 17, 2022 and, as a result, added the HEYDUDE Brand as a new reportable operating segment. Therefore, the amounts shown above for the year ended December 31, 2022 represent results d
Slide 18: Top-Tier Margins and Cash Flow Generation
4 Top-Tier Margins and Cash Flow Generation >$920M 58.8% 25.6% FY24 Enterprise Adj. Gross FY24 Enterprise Adj. FY24 Free Cash Flow(1) Margin(1) Operating Margin(1) 1. See reconciliation to GAAP equivalents in Appendix. 18
Slide 19: We Delivered >$4B in Revenue In 2024
4 We Delivered >$4B in Revenue In 2024... FY2024 Revenue(1) 1. Crocs Inc., Deckers, Skechers, and VF Corporation FY2024 revenue reflects reported revenue, based on annual reports on Form 10-K filed with the SEC; FactSet consensus estimates for remaining peers upcoming fiscal year end, as of 2/12/202
Slide 20: With Leading Operating Margins
4 …With Leading Operating Margins FY2024 Adj. Operating Margin %(1) 1. Crocs Inc., Deckers, Skechers, and VF Corporation FY2024E reflects reported operating margin based on annual reports on Form 10-K filed with the SEC; FactSet consensus estimates for remaining peers upcoming fiscal year end, as of
Slide 21: Best-in-Class and Seasoned Management
5 Best-in-Class and Seasoned Management Andrew Rees Anne Mehlman Terence Reilly Susan Healy Director and EVP and Brand EVP and Brand EVP and Chief Chief Executive President for President for Financial Officer Officer Crocs HEYDUDE Sara Hoverstock Tom Britt Adam Michaels Shannon Sisler Frank Smigelsk
Slide 22: Track Record of Value Creation
5 Track Record of Value Creation $5.5B +767% Total Shareholder Return Since 2017(1) Shareholder Value Creation Since 2017(1) 1. From December 31, 2017 to December 31, 2024. Shareholder value creation defined as increase in market capitalization, Total Shareholder Return defined as share price return
Slide 23: Financial Outlook
Financial Outlook 23
Slide 24: Guidance: Q1 and Full Year 2025
Guidance: Q1 and Full Year 2025 Q1 2025(1) Q1 2025 CCY(2) Full Year 2025(1) Full Year 2025 CCY(2) Total Revenue Growth (3.5)% (1.5)% +2.0% to +2.5% ‘+3.5% to +4.0% Revenue Growth (1)% to Flat ‘+1.5% to +2.5% +4.5% ‘+6.0% Revenue Growth (14)% to (16)% ‘— (7)% to (9)% ‘— Adjusted Operating Margin(3) A
Slide 25: Capital Allocation Priorities
Capital Allocation Priorities Invest in Our Brands Debt Paydown Repurchase Shares committed to redeploying 1.0x to 1.5x net leverage opportunistically repurchase best-in-class gross margins to target range shares under our upsized $1.3B accretive investments buyback authorization(1) 1. In February 2
Slide 26: Financial Results
Financial Results 26
Slide 27: Full Year 2024 Financial Results
Full Year 2024 Financial Results(1) Crocs, Inc. Crocs Brand HEYDUDE Brand $4.1B $3.3B $824M Revenues +4% vs. LY +10% vs. LY (13%) vs. LY 58.8% 61.6% 48.1% Adjusted Gross Margin(2) +230bps vs. LY +140bps vs. LY +190bps vs.LY 33.2% Adjusted SG&A as % of Revenue(2) +450bps vs. LY $1.1B Adjusted Operati
Slide 28: Crocs Brand Highlights: Full Year 2024
Crocs Brand Highlights: Full Year 2024(1) Promoted Anne Mehlman to Brand President of Crocs brand from Chief Financial Officer North America posted 7th consecutive year of positive growth, up 3% year-over-year China grew 64% year-over-year, now representing the second largest Crocs brand market, aft
Slide 29: HEYDUDE Brand Highlights: Full Year 2024
HEYDUDE Brand Highlights: Full Year 2024 Hired Terence Reilly as Brand President of HEYDUDE from Stanley Brand Refreshed the HEYDUDE brand strategy under new leadership to follow three strategic pillars Introduced first-ever global brand Ambassadors with Style Icon and Actress Sydney Sweeney and Cou
Slide 30: Appendix
Appendix 30
Slide 31: Non-GAAP Reconciliation
APPENDIX Non-GAAP Reconciliation In addition to financial measures presented on the basis of accounting principles generally accepted in the United States of America (“GAAP”), we present "Non-GAAP gross profit," “Non-GAAP gross margin,” “Non-GAAP gross margin by brand,” "Non-GAAP selling, general, a
Slide 32: Non-GAAP Reconciliation
APPENDIX Non-GAAP Reconciliation Non-GAAP Gross Profit and Gross Margin Reconciliation: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands) GAAP revenues $ 989,773 $ 960,097 $ 4,102,108 $ 3,962,347 GAAP gross profit $ 572,926 $ 530,697 $ 2,410,258 $ 2,210,010 D
Slide 33: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Non-GAAP Gross Margin Reconciliation by Brand: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 GAAP Crocs Brand gross margin 60.9 % 59.4 % 61.6% 60.0 % Non-GAAP adjustments: Distribution centers (1) — % 0.1 % — % 0.2 % Non-GAAP Cr
Slide 34: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Non-GAAP selling, general and administrative reconciliation: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands) GAAP revenues $ 989,773 $ 960,097 $ 4,102,108 $ 3,962,347 GAAP selling, general and administrative expense
Slide 35: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Non-GAAP Income from Operations and Operating Margin Reconciliation: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands) GAAP revenues $ 989,773 $ 960,097 $ 4,102,108 $ 3,962,347 GAAP income from operations $ 199,915 $
Slide 36: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Non-GAAP Income Tax Expense (Benefit) and Effective Tax Rate Reconciliation: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands) GAAP income from operations $ 199,915 $ 209,514 $ 1,021,911 $ 1,036,783 GAAP income before
Slide 37: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Non-GAAP Earnings Per Share Reconciliation: Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands, except per share data) Numerator: GAAP net income $ 368,909 $ 253,586 $ 950,071 $ 792,566 Non-GAAP gross profit adjustments
Slide 38: Non-GAAP Reconciliation (Cont'd)
APPENDIX Non-GAAP Reconciliation (Cont'd) Free Cash Flow Reconciliation Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 (in thousands) Cash provided by operating activities $ 321,937 $ 349,718 $ 992,486 $ 930,444 Purchases of property, equipment, and software (18,490) (29
Slide 39: CROCS inc
CROCS inc: