The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Crocs met expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share grew significantly.
Gross margins improved, operating margins dropped, net margins grew.
Crocs booked revenue of $203.7 million. The four analysts polled by S&P Capital IQ expected to see sales of $205.3 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $179.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.06. The five earnings estimates compiled by S&P Capital IQ forecast $0.04 per share on the same basis. GAAP EPS of $0.07 for Q4 were 75% higher than the prior-year quarter's $0.04 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 49.0%, 90 basis points better than the prior-year quarter. Operating margin was 2.4%, 50 basis points worse than the prior-year quarter. Net margin was 2.7%, 10 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $268.3 million. On the bottom line, the average EPS estimate is $0.29.
Next year's average estimate for revenue is $1.18 billion. The average EPS estimate is $1.44.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 1,626 members out of 2,295 rating the stock outperform, and 669 members rating it underperform. Among 489 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 340 give Crocs a green thumbs-up, and 149 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Crocs is outperform, with an average price target of $25.50.
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