Sector: Consumer Discretionary|Industry: Footwear & Accessories|Market Cap: $30.61B|Employees: 4.8K
Deckers Outdoor Corporation is a global leader in designing, marketing, and distributing innovative footwear, apparel, and accessories for both everyday casual lifestyle and high-performance activities. The company's core business model revolves around its six proprietary brands, including UGG, HOKA, and Teva, which compete across various markets. Deckers sells its products through quality domestic and international retailers, international distributors, and directly to consumers through its DTC business, with a strong geographic presence in the US, Canada, Europe, Asia-Pacific, and Latin America.
The company reported a net sales increase of 20.9% to $2,136.667 million for the six months ended September 30, 2024, compared to $1,767.698 million in the prior period. This growth was fueled by a 20.5% increase in wholesale channel net sales and a 21.7% increase in DTC channel net sales.
Gross margin increased to 56.3% from 52.6% in the prior period. This improvement was primarily attributed to a favorable brand and product mix for the HOKA brand, along with higher margin product driving a higher proportion of growth for both the HOKA and UGG brands.
Net income for the six months ended September 30, 2024, increased by 47.9% to $357.946 million, compared to $242.099 million in the prior period. This increase was driven by higher net sales and operating margins, as well as higher interest income.