The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Crocs beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share dropped. GAAP earnings per share dropped to a loss.
Margins shrank across the board.
Crocs reported revenue of $225.0 million. The 11 analysts polled by S&P Capital IQ expected a top line of $220.3 million on the same basis. GAAP reported sales were 10% higher than the prior-year quarter's $203.7 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 $0.04. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.00 per share. Non-GAAP EPS of $0.04 for Q4 were 33% lower than the prior-year quarter's $0.06 per share. GAAP EPS were -$0.04 for Q4 versus $0.06 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 47.3%, 170 basis points worse than the prior-year quarter. Operating margin was -1.9%, 430 basis points worse than the prior-year quarter. Net margin was -1.6%, 430 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $310.0 million. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $1.26 billion. The average EPS estimate is $1.52.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 1,688 members out of 2,358 rating the stock outperform, and 670 members rating it underperform. Among 482 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 326 give Crocs a green thumbs-up, and 156 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 $19.00.
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