US' Deckers Brands posts revenue growth of 13% in Q3 FY23

Wholesale net sales increased 8 per cent to $646.3 million in Q3 FY23, compared to $598.4 million in Q3 FY22. Direct-to-Consumer (DTC) net sales increased 18.7 per cent to $699.3 million, compared to $589.4 million, Deckers Brands said in a press release.

The company’s domestic net sales in Q3 FY23 increased 13.9 per cent to $906.8 million compared to $796.1 million in Q3 FY22. International net sales increased 12.1 per cent to $438.8 million, compared to $391.6 million in the previous fiscal.

In Q3 FY23, selling, general, and administrative expenses were $349.9 million, compared to $327.8 million in Q3 FY22. Furthermore, the operating income was $362.7 million, compared to $293.4 million, while the diluted earnings per share was $10.48, compared to $8.42.

Deckers Brands’ UGG net sales decreased 1.6 per cent to $930.4 million in Q3 FY23, compared to $945.9 million in the corresponding period of the previous fiscal. Hoka brand net sales increased 90.8 per cent to $352.1 million, compared to $184.6 million. Teva brand net sales increased 48.3 per cent to $30.5 million, compared to $20.6 million. Sanuk brand net sales decreased 7.4 per cent to $5.6 million, compared to $6.1 million.

Other brands’, primarily composed of Koolaburra, net sales decreased 12.1 per cent to $26.9 million in Q3 FY23, compared to $30.6 million in Q3 FY22.

For FY23, the company expects net sales to be in the range of $3.50 billion to $3.53 billion. Gross margin is expected to be approximately 50.5 per cent. Selling, general, and administrative expenses as a percentage of sales are projected to be approximately 33 per cent. Furthermore, the operating margin is still expected to be in the range of 17.5-18 per cent.

Fibre2Fashion News Desk (DP)