Crocs Inc. has announced a 3.6 per cent increase in sales, reaching US $ 1.1 billion for the second quarter, fueled by a significant rise in direct-to-consumer (DTC) sales, particularly internationally.
The Colorado-based company reported an 8.9 per cent growth in DTC revenues, while wholesale revenues declined by 1.3 per cent for the three months ending June 30.
Revenue from the Crocs brand rose 9.7 per cent to US $ 914 million, driven by increases in both DTC and wholesale channels. Regionally, North American revenues grew 3 per cent to US $ 489 million, while international revenues soared 18.7 per cent to US $ 425 million. Conversely, HeyDude revenues fell by 17.5 per cent to US $ 198 million. Net income for the quarter was US $ 229 million, down from US $ 277 million in the same period last year.
CEO Andrew Rees remarked, “We achieved record results for the second quarter, surpassing our guidance across all enterprise metrics.”
He noted that the strong performance was driven by exceptional international growth for the Crocs brand. Regarding HeyDude, Rees mentioned efforts to enhance long-term brand health and plans to boost brand visibility through increased marketing in the latter half of the year.
Additionally, Crocs recently partnered with Apparel Group India to expand its retail presence in North and East India, with Apparel Group becoming Crocs’ exclusive retail licensee for the region.
