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Crocs Beats on Both Top and Bottom Lines

By Seth Jayson - Updated Apr 10, 2017 at 1:42PM

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Just the facts, Fool.

Crocs (Nasdaq: CROX) reported earnings on April 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Crocs beat expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share increased. GAAP earnings per share grew.

Margins contracted across the board.

Revenue details
Crocs logged revenue of $311.7 million. The 10 analysts polled by S&P Capital IQ expected a top line of $305.5 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $271.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.35. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.34 per share. Non-GAAP EPS of $0.35 for Q1 were 9.4% higher than the prior-year quarter's $0.32 per share. GAAP EPS of $0.33 for Q1 were 6.5% higher than the prior-year quarter's $0.31 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 53.2%, 10 basis points worse than the prior-year quarter. Operating margin was 12.1%, 290 basis points worse than the prior-year quarter. Net margin was 9.3%, 110 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $375.5 million. On the bottom line, the average EPS estimate is $0.71.

Next year's average estimate for revenue is $1.25 billion. The average EPS estimate is $1.48.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 1,683 members out of 2,349 rating the stock outperform, and 666 members rating it underperform. Among 454 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 308 give Crocs a green thumbs-up, and 146 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 $18.25.

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Stocks Mentioned

Crocs, Inc. Stock Quote
Crocs, Inc.
CROX
$162.38 (-2.27%) $-3.77

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