Deckers Outdoor Crushed After Q1 Earnings Results

Deckers Outdoor

released its fiscal Q1 earnings results on Thursday after the closing bell. The company reported net income of $8.0 million or $0.20 per share, compared to $19.8 million or $0.49 per share, in the year ago period. This missed analysts' consensus EPS estimates of $0.25. Revenues for the quarter came in at $246.3 million, a 20.2% increase over the year earlier quarter when DECK reported revenue of $204.85 million. This also missed analysts' consensus estimates of $247.1 million. In Thursday's after hours trading session, DECK shares are getting crushed in light of the weak earnings results. At last check, the stock had lost 15.81% to $58.50. “Our first quarter performance was mixed versus our expectations,” stated Angel Martinez, President, Chief Executive Officer and Chair of the Board of Directors. “Sales growth was driven by the addition of the Sanuk brand combined with increased demand for the UGG brand spring line, partially offset by softness in boots due to the unusually warm weather. The difference in the channel mix versus projections, along with some higher closeouts for the Teva brand and non-Classic UGG brand styles, put some additional pressure on overall gross margins on top of the higher product costs we had forecasted.”