THE RETAIL BULLETIN - The home of retail news
Click here
Home Page
News Categories
Commentary
Department Stores
Electricals and Tech
Entertainment
Fashion
Food and Drink
General Merchandise
Grocery
Health and Beauty
Home and DIY
Interviews
People Matter
Retail Business Strategy
Property
Retail Solutions
Electricals & Technology
Sports and Leisure
Christmas Ads
Shopping Centres, High Streets & Retail Parks
Retail Events
People in Retail Awards 2024
Retail HR Summit
THE Retail Conference
Retail HR North 2025
Omnichannel Futures 2025
Retail HR Central 2025
Upcoming Retail Events
Past Retail Events
Retail Insights
Retail Solutions
Advertise
About
Contact
Subscribe for free
Terms and Policies
Privacy Policy
Crocs stock dips despite rising revenues

Shares for Crocs dipped 10.7% on Thursday as the footwear company, which completed its acquisition of Hey Dude earlier this year, cut its forecast despite beating… View Article

FASHION RETAIL NEWS UK

Crocs stock dips despite rising revenues

Shares for Crocs dipped 10.7% on Thursday as the footwear company, which completed its acquisition of Hey Dude earlier this year, cut its forecast despite beating earnings expectations.

In the second quarter, revenues for the Colorado-based company rose 50.5% compared to the same time last year to $964.6 million. By segment, Crocs saw record quarterly revenues of $732.2 million, an increase of 14.3% compared to the same period last year. Revenue for Hey Dude was $232.4 million for the second quarter of 2022, up approximately 96% compared to 2021.

Crocs CEO Andrew Rees said on Thursday during the company’s quarterly earnings call that uncertainty around the future macroeconomic environment and changing consumer behaviour led to the planning for a dip in growth at Crocs in the short-term.

Given these factors, Rees has adjusted the earnings for the third quarter for Crocs, which he said will allow the company to “prudently plan and manage” its inventory and investments.

Pressed further by investors on the call, Rees added that he is “very optimistic” for back-to-school but anticipates that impacts on consumers like high interest rates and inflation will cause business to soften as the year progresses.

Looking ahead, Crocs now anticipates consolidated revenues of $3.395 billion to $3.505 billion for the full year, whereas its prior outlook called for about $3.5 billion.

For the Crocs segment, the company expects about 14% to 17% revenue growth on a constant-currency basis, or 10% to 13% growth on a reported basis. The company was previously modeling upwards of 20% growth.

For Hey Dude, the company expects about $850 to $890 million on a reported basis.

Rees added: “We remain incredibly confident in our long term growth and our ability to generate best-in-class profitability,” he said.

Subscribe For Retail News