Crocs Reports Q1 Earnings; Operating Income Drops

This afternoon, April 30, 2014, Crocs, Inc. CROX reported its first quarter 2014 financial results. Shares of the company are neutral in after-hours trading. The company had its GAAP revenue increase by 0.2 percent in the first quarter of 2014 to $312.4 million. According to previously provided guidance $305 to $315 million was expected. Crocs President and Chief Executive Officer John McCarvel said, "Revenues for our business globally in the quarter were in line with our expectations. From a segment perspective, our Asia segment continued to deliver solid quarterly revenue growth across all channels and our Europe segment remained on the positive trajectory, which started late last year. We saw continued momentum in our non-clog portfolio during the quarter, as new collections like our Stretch Sole, with its patent-pending Fit2U TechnologyTM, and our Busy Day collection helped us further expand our brand into a casual footwear leader." In the first quarter of 2014, the shoemaker reported GAAP operating income of 16.8 million versus 37.7 million in the same period a year ago. "With the closing of the Blackstone investment in the quarter," Lasher added, "this is a time of transition for Crocs as we focus our strategy on enhancing returns for shareholders. We see opportunities to make significant improvements in our business model going forward in order to deliver on that goal."