Crocs Inc. has unveiled impressive third-quarter results, reporting a substantial 6.2% growth with revenues reaching $1.05 billion. The standout performer in this surge was the remarkable growth in Asia Pacific, coupled with a double-digit expansion in the iconic Crocs brand.
Crocs brand revenues surged by 11.6%, hitting $798.8 million. Direct-to-Consumer (DTC) comparable sales saw a notable uptick of 15.3%, complemented by a 4.5% increase in wholesale revenues.
Breaking down regional performance, North America experienced an 8% revenue boost, totaling $480.7 million. Meanwhile, Asia Pacific stole the spotlight with an impressive 26.5% surge, reaching $175.2 million. Europe, Middle East, Africa, and Latin America collectively contributed to an 8.3% rise, amounting to $142.8 million.
On a different note, HeyDude brand revenues saw a modest 8.3% dip, totaling $246.9 million. Notably, DTC revenues for HeyDude recorded a robust 14.6% growth, reaching $100.4 million, offset by a 19.4% decline in wholesale revenues, settling at $146.5 million.
CEO Andrew Rees expressed satisfaction, stating, «We delivered a strong third quarter, exceeding the high-end of our guidance, led by double-digit revenue growth in our Crocs brand supported by healthy full-price selling and industry-leading operating margins.»
Rees highlighted the brand’s resilience during the back-to-school season, with both Crocs and HeyDude gaining market share. In response to market dynamics, the company has taken strategic actions to fortify HeyDude’s long-term brand health.
Looking forward, Crocs adjusted its full-year 2023 outlook, anticipating consolidated revenue growth of approximately 10% to 11%, compared to 2022. This projection places revenues at approximately $3.905 billion to $3.94 billion at the current currency rates.