Deckers Brands reports strong Q1 2026 driven by Hoka and UGG

Deckers Brands, a footwear, apparel, and accessories company, announced its financial results for the first fiscal quarter ended June 30, 2025, highlighting robust growth from its Hoka and UGG brands. The company also provided its financial outlook for the second fiscal quarter.

For the first fiscal quarter of 2026, Deckers Brands reported a 16.9 percent increase in net sales, reaching 964.5 million dollars compared to the same period last year. On a constant currency basis, net sales grew by 16.3 percent. Brand-wise, Hoka net sales surged by 19.8 percent to 653.1 million dollars, and UGG net sales increased by 18.9 percent to 265.1 million dollars.

Stefano Caroti, president and chief executive officer, stated that both Hoka and UGG exceeded first-quarter expectations, delivering solid results to commence fiscal year 2026. “Though uncertainty remains elevated in the global trade environment, our confidence in our brands has not changed, and the long-term opportunities ahead are significant. We will lean on the fundamental strengths of our powerful operating model as we continue executing our strategy,” he added.

In corporate governance news, Deckers also announced the nomination of Patrick J. Grismer for election to its board of directors at the upcoming annual meeting of stockholders on September 8, 2025.

Review of Deckers Brands Q1 performance

The company's other brands experienced a 19 percent decrease in net sales, totalling 46.3 million dollars. Channel performance showed wholesale net sales up by 26.7 percent to 652.4 million dollars, while direct-to-consumer (DTC) net sales saw a marginal 0.5 percent increase to 312.2 million dollars, with DTC comparable net sales declining by 2.2 percent. Geographically, domestic net sales decreased by 2.8 percent to 501.3 million dollars, but international net sales significantly increased by 49.7 percent to 463.3 million dollars.

The gross margin for the quarter was 55.8 percent, down from 56.9 percent, while operating income rose to 165.3 million dollars. Diluted earnings per share reached 93 cents, up from 75 cents.

For the second fiscal quarter ending September 30, 2025, Deckers Brands expects net sales to be in the range of $1.38 billion to $1.42 billion, with diluted earnings per share projected between $1.50 and $1.55. This guidance excludes any impact from additional share repurchases, reflecting continued uncertainty from evolving global trade policy.

Deckers Brands nominates Patrick Grismer to its board of directors

The company said in a statement that the nomination of Grismer comes as Dave Powers will retire from the board after more than nine years of service. Grismer brings over 35 years of financial leadership experience from major global consumer companies, including prior CFO roles at Starbucks Coffee Company, Hyatt Hotels Corporation, and Yum! Brands, as well as executive positions at The Walt Disney Company.

Cindy Davis, chair of the board, expressed enthusiasm for Grismer's nomination, citing his financial expertise, strategic vision, and proven leadership as immediately additive to the board's oversight of Deckers’ long-term strategy.

Commenting on his nomination to the company's board, Grismer said, “Deckers has created leading footwear brands that consumers are passionate about and truly connect with. I have been impressed by the Company’s ability to continually extend its reach and deepen its relevance across categories and geographies, always meeting the moment. I am excited to join the Board and help advance the Company’s strategy to deliver value.”