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Deckers Outdoors Corporation reported strong revenue growth in the first quarter of fiscal year 2025, but scrapped its annual forecast due to the unpredictability of global trade policies.
The California-based apparel and footwear company’s revenue rose 6.5 percent year on year to $1.02 billion, beating analyst expectations by 2.4 percent. Hoka’s revenue jumped 10 percent to $586.1 million, while Ugg’s net sales rose 3.6 percent to $374.3 million and other brands’ revenue fell 6.3 percent to $61.3 million. Earnings per share of $0.65 missed analyst expectations by 18.2 percent.
First-quarter wholesale revenue lifted 12.3 percent to $611.6 million, while direct-to-consumer revenue fell 1.2 percent to $410.2 million. Domestic net sales remained flat at $647.7 million while international net sales jumped 19.9 percent to $374.1 million.
The company scrapped its annual guidance for the fiscal year 2026, citing tariff-related uncertainties, though Deckers still expects net sales of $890 million to $910 million in the second quarter. Stock plummeted over 15 percent in after-hours trading.
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Deckers chief financial officer Steve Fasching said in the earnings statement, “We will remain nimble and disciplined as we navigate near-term uncertainty, while actively investing in our strategic long-term growth opportunities.” Deckers president and CEO Stefano Caroti maintained the company is well-positioned “to manage through the near-term with a focus on the long-term.”
Hoka opened its first flagship store in New York last June, while Uggs has enjoyed a resurgence in popularity off a wave of Y2K nostalgia.
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