Deckers posts record Q4 revenue, beats Wall Street expectations
Goleta-based footwear and apparel company Deckers managed to smash Wall Street expectations in its fiscal 2015 fourth quarter earnings.
The company recorded a $1.4 million profit for the quarter after posting a loss in the same period last year. Deckers also had record revenue of $340.6 million for the quarter, an increase of 15.6 percent from the same period last year and also beating analyst estimates by more than $20 million.
The Ugg footwear maker said profits were $161.8 million for the year, with revenue reported as $1.8 billion — up 14.5 percent from a year earlier.
Earnings per share were $0.04. The average estimate of 11 analysts surveyed by Zacks Investment Research was break even on a per-share basis.
“We ended fiscal 2015 with solid momentum highlighted by approximately 16 percent revenue growth in the fourth quarter despite unfavorable foreign exchange rate headwinds,” Angel Martinez, CEO and chairman of the board of directors, said in a press release. “The work we’ve done to continue to excite our consumers with compelling new products and to continue to connect with them on a more frequent and personalized basis through our advanced Omni-Channel capabilities is fueling increased demand across our brand portfolio.”
The company’s recent actions are diversifying the business and creating new opportunities for growth, he said.
As the company moves toward fall with its new Ugg brand order book, sales in more non-core collection lines such as specialty classics, weather boots and casual boots will hit a stride with current trends in the run up to holiday season.
“Furthermore, we are committed to leveraging the investments we’ve made over the past several years, which along with our current share repurchase authorization, will help to partially offset the impact of the stronger U.S. dollar in fiscal 2016 and drive increased earnings power and greater shareholder value over the long-term,” Martinez said.
During the fourth quarter of fiscal 2015, the company repurchased about 1.3 million shares of its common stock at an average purchase price of $73.45, for a total of $93.9 million.
Deckers expects full-year earnings to be $5.60 per share, with revenue expected to be $2.01 billion.
Deckers shares have fallen 22 percent since the beginning of the year.
