Crocs clocks record revenue growth in 2023

Crocs Inc. announced on Thursday record-breaking sales of nearly $4 billion, up 11.5%, on the back on another strong quarter for the period ending December 31.

The Broomfield, Colorado-based footwear firm said fourth-quarter revenues were $960 million, an increase of 1.6% from the same period last year with direct-to-consumer revenues up 6.8%, partially offset by a 4.6% contraction in wholesale revenues.

By brand, Crocs revenues were $732 million, up 10%, while HeyDude revenues were $228 million, a decrease of 18.5% from the same period last year.

During the three months, net income grew to $253.9 million, up from $137.7 million, in the prior-year period.

“We delivered a record year for Crocs Inc. capped off by a strong fourth quarter that exceeded expectations across all metrics. Revenues of nearly $4 billion grew over 11% underpinned by industry-leading operating margins and double-digit earnings per share growth. Crocs Brand grew across all regions and channels, highlighting the power of our strategy and disciplined execution. We made good progress in the fourth quarter towards returning our HeyDude Brand to a pull-market position resulting in improved gross margins and healthy inventory levels exiting the year,” said Andrew Rees, chief executive officer.

“We are starting off 2024 from a position of strength and taking the opportunity to reinvest into several key strategic areas as we continue to lay the foundation for durable market share gains.”

Looking ahead, Crocs said it expects first-quarter 2024 revenues to be down 1.5% to up 0.5%, compared to first quarter 2023.