On Feb. 22, footwear designer and retailer Skechers USA (NYSE:SKX) released fourth-quarter and year-end results for the period ended Dec. 31. Here are the quick-and-dirty details for the quarter.

  • Total sales grew an impressive 36%, ahead of analyst expectations. Skechers' brands are running right at the forefront of fashion.
  • Diluted earnings also beat analyst projections, growing 136%, thanks partly to higher gross margins and lower interest expense.
  • Inventory grew faster than sales, advancing nearly 48%.
  • Management is projecting first-quarter 2007 diluted earnings of $0.50-$0.55 per share, and net sales of $325 million-$335 million.
  • Stay tuned for the full analysis on Skechers. The stock currently merits a four-star rating from the Motley Fool CAPS community. To see what all the fuss is about, join the service for free today.

(Figures in thousands, except per-share data)

Income Statement Highlights

Q4 2006

Q4 2005

Change

Sales

$304,494

$223,494

36.2%

Net Profit

$14,582

$5,901

147.1%

EPS

$0.33

$0.14

135.7%

Diluted Shares

46,564

41,229

12.9%

*Three months ended Dec. 31, 2006 and 2005.

Get back to basics with a look at the income statement.

Margin Checkup

Q4 2006

Q4 2005

Change*

Gross Margin

42.01%

41.63%

0.38

Operating Margin

7.68%

4.73%

2.95

Net Margin

4.79%

2.64%

2.15

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q4 2006

Q4 2005

Change

Cash + ST Invest.

$220,485

$197,007

11.9%

Accounts Rec.

$177,740

$134,600

32.1%

Inventory

$200,877

$136,171

47.5%



Liabilities

Q4 2006

Q4 2005

Change

Accounts Payable

$161,150

$108,395

48.7%

Long-Term Debt

$106,805

$107,288

(0.5%)



Learn the ways of the balance sheet.

Cash Flow Highlights

Fools will have to wait until Skechers files its 10-K with the SEC for juicy cash flow details.

Find out why Fools always follow the money.

Comparable companies:

  • Nike (NYSE:NKE)
  • Timberland (NYSE:TBL)
  • Crocs (NASDAQ:CROX)
  • Deckers Outdoor (NASDAQ:DECK)

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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.

Fool contributor Ryan Fuhrmann is long shares of Nike but has no financial interest in any other company mentioned. Feel free to email him with feedback or to discuss any companies mentioned further. The Fool has an ironclad disclosure policy.