Shares of Deckers Outdoor (DECK +19.20%) jumped on Friday after the apparel maker announced strong quarterly financial results.
As of 2:27 p.m. EST, Deckers' stock price was up more than 17%.
Image source: Deckers Outdoor.
Balanced growth
The company, also known as Deckers Brands, saw its revenue grow by 7.1% year over year to $1.958 billion in its fiscal 2026 third quarter, which ended on Dec. 31.
The retailer enjoyed broad-based gains across its brands, sales channels, and geographic segments:
- Sales for its HOKA and UGG brands climbed 18.5% and 4.9%, respectively, to $628.9 million and $1.305 billion.
- Decker's wholesale sales rose 6% to $864.6 million, while its direct-to-consumer (DTC) sales grew 8.1% to $1.093 billion.
- The company's domestic sales improved by 2.7% to $1.201 billion, and its international sales leaped 15% to $756.7 million.
"Our strategic marketplace management fueled balanced growth in DTC and wholesale, inclusive of continued international momentum as well as healthy growth in the U.S. across both channels," CEO Stefano Caroti said in a press release.
NYSE: DECK
Key Data Points
Better still, Deckers did not have to rely on heavy discounting to drive those sales. "UGG and HOKA each delivered high levels of full-price selling, resulting in strong gross margins," Caroti said.
Deckers operating income, in turn, increased 8% to $614.4 million. The company's earnings per share, which were boosted by stock buybacks, jumped 11% to $3.33.
Raised guidance
These robust results prompted Deckers to lift its full-year growth forecast. The company now projects sales of $5.4 billion to $5.425 billion and earnings per share of $6.80 to $6.85.
"We are on track to deliver another incredible year, with profitable growth at two premium and differentiated brands that operate in expanding segments of the global marketplace," Caroti said.
