Crocs posted better-than-expected adjusted earnings for its fourth quarter.
Victor J. Blue/Bloomberg
Crocs
shares rose sharply early Thursday after the footwear company posted fourth-quarter earnings that beat expectations, driven by “exceptional” demand for its brands.
Crocs
(ticker: CROX) posted fourth-quarter adjusted earnings of $2.65 a share and revenue of about $945 million, beating consensus analysts’ expectations of $2.26 a share and revenue of about $939 million, according to FactSet.
The company, which owns the Crocs and HEYDUDE brands, also offered revenue guidance for 2023 of $3.9 billion to $4.0 billion, aligning with guidance offered in January. This marks an uptick from the record revenue of $3.6 billion recorded for 2022.
Crocs acquired HEYDUDE last February.
Management is upbeat about the company’s performance.
“Consumer demand for the Crocs and HEYDUDE brands has been exceptional, fueling record 2022 revenues for both brands at a combined $3.6 billion and top-tier adjusted operating margin of 28%,” said CEO Andrew Rees in the earnings release.
“We anticipate another record year in 2023 with growth expected to be led by [the] sandals and international [segments] for the Crocs Brand and increased U.S. market penetration for HEYDUDE,” he added.
Crocs shares were rising 8.6% to $136.60 early Thursday. Over the past 12 months, the stock has climbed about 53%.
Write to Emily Dattilo at emily.dattilo@dowjones.com
Credit: marketwatch.com