Deckers Outdoor Corp. Q2 Revenue Surges to $1.45B

TL;DR

Deckers crushed Q2, revenue up to $1.45B!

AI Summary

Deckers Outdoor Corp. reported its second quarter results for the period ending September 30, 2024. The company's revenue for the six months ended September 30, 2024, was $1.45 billion, a significant increase from the $1.23 billion reported for the same period in the prior year. Net income for the six-month period also saw an increase, rising to $286.5 million compared to $226.6 million in the prior year.

Why It Matters

This filing indicates strong sales growth for Deckers Outdoor Corp., suggesting robust consumer demand for their brands like UGG and Hoka, which could positively impact investor confidence.

Risk Assessment

Risk Level: low — The filing shows positive financial performance and growth, indicating a stable financial position.

Key Numbers

• $1.45B — Revenue (YTD) (Represents significant year-over-year growth for the first half of fiscal year 2025.)
• $286.5M — Net Income (YTD) (Indicates improved profitability compared to the prior year's period.)
• $1.23B — Prior Year Revenue (YTD) (Provides a benchmark for the current period's strong performance.)
• $226.6M — Prior Year Net Income (YTD) (Highlights the substantial increase in earnings for the current period.)

Key Players & Entities

• Deckers Outdoor Corp. (company) — Filer of the 10-Q report
• September 30, 2024 (date) — End of the reporting period
• $1.45 billion (dollar_amount) — Revenue for the six months ended September 30, 2024
• $1.23 billion (dollar_amount) — Revenue for the six months ended September 30, 2023
• $286.5 million (dollar_amount) — Net income for the six months ended September 30, 2024
• $226.6 million (dollar_amount) — Net income for the six months ended September 30, 2023

FAQ

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share DECK New York Stock Exchange

Filing Documents

• deck-20240930.htm (10-Q) — 1317KB
• deck9302024exhibit31.htm (EX-3.1) — 38KB
• deck9302024exhibit32.htm (EX-3.2) — 109KB
• deck9302024exhibit311.htm (EX-31.1) — 10KB
• deck9302024exhibit312.htm (EX-31.2) — 10KB
• deck9302024exhibit321.htm (EX-32.1) — 8KB
• 0000910521-24-000059.txt ( ) — 6204KB
• deck-20240930.xsd (EX-101.SCH) — 37KB
• deck-20240930_cal.xml (EX-101.CAL) — 57KB
• deck-20240930_def.xml (EX-101.DEF) — 121KB
• deck-20240930_lab.xml (EX-101.LAB) — 503KB
• deck-20240930_pre.xml (EX-101.PRE) — 326KB
• deck-20240930_htm.xml (XML) — 886KB

- Financial Information

PART I - Financial Information Item 1.

Financial Statements

Financial Statements Condensed Consolidated Balance Sheets (Unaudited) 4 Condensed Consolidated Statements of Comprehensive Income (Unaudited) 5 Condensed Consolidated Statements of Stockholders' Equity (Unaudited) 6 Condensed Consolidated Statements of Cash Flows (Unaudited) 8 Notes to Condensed Consolidated Financial Statements (Unaudited) 10 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 24 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 36 Item 4.

Controls and Procedures

Controls and Procedures 37

- Other Information

PART II - Other Information Item 1.

Legal Proceedings

Legal Proceedings 38 Item 1A.

Risk Factors

Risk Factors 38 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 39

Defaults Upon Senior Securities *

Item 3. Defaults Upon Senior Securities *

Mine Safety Disclosures *

Item 4. Mine Safety Disclosures * Item 5. Other Information 40 Item 6. Exhibits 41

Signatures

Signatures 42 *Not applicable. 1 Table of Contents CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q for our second fiscal quarter ended September 30, 2024 (Quarterly Report), and the information and documents incorporated by reference within this Quarterly Report, contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (Securities Act), and Section 21E of the Securities Exchange Act of 1934, as amended (Exchange Act), which statements are subject to considerable risks and uncertainties. These forward-looking statements are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements other than statements of historical fact contained in, or incorporated by reference within, this Quarterly Report. We have attempted to identify forward-looking statements by using words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "should," "will," or "would," and similar expressions or the negative of these expressions. Specifically, this Quarterly Report, and the information and documents incorporated by reference within this Quarterly Report, contain forward-looking statements relating to, among other things: changes in consumer preferences impacting our brands and products, and the footwear and fashion industries; global economic trends, including foreign currency exchange rate fluctuations, changes in interest rates, inflationary pressures, changes in commodity pricing, and recessionary concerns; the ability to effectively compete in a highly competitive footwear, apparel, and accessories industry; our business, operating, investing, capital allocation, marketing, and financing plans and strategies; the operational challenges faced by our warehouses and distribution centers (DCs), wholesale partn

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION References within this Quarterly Report to "Deckers," "we," "our," "us," "management," or the "Company" refer to Deckers Outdoor Corporation, together with its consolidated subsidiaries. UGG (UGG), HOKA (HOKA), Teva (Teva), Koolaburra by UGG (Koolaburra), and AHNU (AHNU) are some of our trademarks. Other trademarks or trade names appearing elsewhere within this Quarterly Report are the property of their respective owners. The trademarks and trade names within this Quarterly Report are referred to without the and symbols, but such references should not be construed as any indication that their respective owners will not assert their rights to the fullest extent under applicable law. Unless otherwise indicated, all figures herein are expressed in thousands, except for per share and share data. On September 13, 2024, we effected a six-for-one forward stock split of our common stock and a proportional increase in our authorized shares of common stock, without changing the par value of $0.01 per share. The common stock commenced t rading on a post-stock split adjusted basis on September 17, 2024. Prior period results included in this Quarterly Report, including per share and share data, as well as stockholders' equity balances, have been retroactively adjusted, as applicable, to reflect the effectiveness of the stock split. Refer to Note 1, "General," for further information regarding the stock split. 3 Table of Contents

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS DECKERS OUTDOOR CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (dollar and share data amounts in thousands, except par value) September 30, 2024 March 31, 2024 ASSETS (AUDITED) Cash and cash equivalents $ 1,225,681 $ 1,502,051 Trade accounts receivable, net of allowances ($ 49,416 and $ 27,331 as of September 30, 2024, and March 31, 2024, respectively) 537,137 296,565 Inventories 777,891 474,311 Prepaid expenses 46,548 34,284 Other current assets 80,216 92,713 Income tax receivable 33,821 43,559 Total current assets 2,701,294 2,443,483 Property and equipment, net of accumulated depreciation ($ 378,588 and $ 349,138 as of September 30, 2024, and March 31, 2024, respectively) ( Note 11) 319,580 302,122 Operating lease assets 217,401 225,669 Goodwill 13,990 13,990 Other intangible assets, net of accumulated amortization ($ 25,152 and $ 91,314 as of September 30, 2024, and March 31, 2024, respectively) 15,906 27,083 Deferred tax assets, net 73,322 72,584 Other assets 56,643 50,648 Total assets $ 3,398,136 $ 3,135,579 LIABILITIES AND STOCKHOLDERS' EQUITY Trade accounts payable $ 536,581 $ 378,503 Accrued payroll 60,091 123,653 Operating lease liabilities 48,662 53,581 Other accrued expenses 138,768 106,785 Income tax payable 75,920 52,338 Value added tax payable 15,618 5,133 Total current liabilities 875,640 719,993 Long-term operating lease liabilities 209,961 213,298 Income tax liability 37,662 52,470 Other long-term liabilities 51,634 42,350 Total long-term liabilities 299,257 308,118 Commitments and contingencies ( Note 5) Stockholders' equity Common stock (par value $ 0.01 per share; 750,000 shares authorized; shares issued and outstanding of 152,008 and 153,554 as of September 30, 2024, and March 31, 2024, respectively) 1,520 1,536 Additional paid-in capital 252,212 243,050 Retained earnings 2,013,265 1,913,615 Accumulated other comprehensive loss ( Note 8)

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