The 10-second takeaway
For the quarter ended June 30 (Q2), Deckers Outdoor beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP loss per share expanded.
Margins dropped across the board.
Deckers Outdoor notched revenue of $174.4 million. The 14 analysts polled by S&P Capital IQ hoped for a top line of $167.4 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $154.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.53. The 15 earnings estimates compiled by S&P Capital IQ anticipated -$0.60 per share. GAAP EPS were -$0.53 for Q2 against -$0.19 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 42.2%, 50 basis points worse than the prior-year quarter. Operating margin was -16.5%, 950 basis points worse than the prior-year quarter. Net margin was -11.5%, 670 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $449.9 million. On the bottom line, the average EPS estimate is $1.46.
Next year's average estimate for revenue is $1.55 billion. The average EPS estimate is $4.49.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 725 members out of 854 rating the stock outperform, and 129 members rating it underperform. Among 192 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 155 give Deckers Outdoor a green thumbs-up, and 37 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Deckers Outdoor is outperform, with an average price target of $73.13.
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