Deckers Brands Reports Strong Q1 Earnings

Deckers Outdoor's shares surged by up to 17% following a strong earnings report that showed a 22.1% increase in net sales, reaching $825.3 million, fueled by robust demand for its HOKA and UGG brands. HOKA sales spiked by 29.7%, while UGG experienced a 14% boost, both contributing significantly to the company's profitability, which saw net income more than double to $115.63 million. The company raised its annual revenue forecast, now projecting between $29.75 billion and $30.65 billion, up from a prior estimate of $29.50 billion to $30 billion. Analysts praised Deckers for its ability to drive full-price demand while reducing discounting practices, particularly for UGG products. As CEO Dave Powers prepares to retire, the company anticipates continued growth under new leadership, with a stock split proposal set for shareholder vote in September. The overall positive market response reflected confidence in Deckers' future performance amid a competitive retail landscape.