Deckers Q1 net sales increase 20.2%

Deckers Outdoor Corporation based in California announced

financial results for the first quarter ended March 31, 2012. Net sales increased 20.2% to $246.3 million (Rs1,308 crores) compared to $204.9 million (Rs 1,088 crores) for the same period last year. While gross margin was 46% compared to 50% for the same period last year. Diluted earnings per share (EPS) were $0.20 (Rs 10) compared to $0.49 (Rs 26) for the same period last year.

Deckers’s domestic sales increased 15.1% to $170.6 million; international sales increased 33.5% to $75.7 million (Rs 402 crores) compared to $56.8 million (Rs 301 crores ) for the same period last year. Retail sales increased 30.6% to $46.2 million (Rs 245 crores) compared to $35.4 million (Rs 188 crores) for the same period last year. Same store sales were flat for the thirteen weeks ending April 1, 2012, compared to the thirteen weeks ending April 3, 2011. Sales for the retail store business, which are included in the brand sales numbers above, increased 30.6% to $46.2 million for the first quarter compared to $35.4 million for the same period last year. Its UGG brand sales increased 6.5% to $158.1 million and Teva brand sales decreased 1.1% to $49.8 million (Rs 264 crores) compared to $50.4 million (Rs 267 croes) for the same period last year. Sales for Sanuk brand that was acquired on July 1, 2011, were $32.4 million (Rs 172 cores) for the first quarter of 2012.This retail sales figure was driven by 19 new stores opened after the first quarter of 2011.

Compared to retail sales Deckers’ e-commerce sales decreased 7.5% to $21.7 million (Rs 115 crores) compared to $23.5 million (R 124 crores) for the same period last year. The decrease in sales was driven primarily by decreased sales of the UGG brand boot collections due to the unusually warm weather, partially offset by higher sales of UGG brand spring styles and double digit growth in Teva brand sales.

Combined net sales of the company's other brands were $6 million (Rs 31 crores) for the first quarter of 2012 and the same period last year. First quarter 2011 results included the Simple brand, which Deckers ceased distributing at the end of 2011. The company currently expects second quarter 2012 revenue to increase approximately 8% over 2011.