Crocs Q3 sales up 6% on Asia Pacific surge

Crocs Inc. on Thursday reported third-quarter revenues of $1.05 billion, up 6.2%, on the back of surging growth in Asia Pacific and double-digit growth in the footwear firm’s Crocs brand.

The Broomfield, Colorado-based company said Crocs brand revenues increased 11.6% to $798.8 million. DTC comparable sales increased 15.3%, while wholesale revenues increased 4.5%.

By region, North America revenues increased 8% to $480.7 million increased, outdone by a 26.5% increase in Asia Pacific revenues to $175.2 million, while Europe, Middle East, Africa, and Latin America revenues rose 8.3% to 142.8 million.

Elsewhere, HeyDude brand revenues during the third quarter decreased 8.3% to $246.9 million, with DTC revenues up14.6% to $100.4 million, offset by a 19.4% decline in wholesale revenues to $146.5 million

​”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,” said Andrew Rees, chief executive officer.

“Both our brands gained share during the back-to-school season. During the quarter, we took decisive action around HeyDude to accelerate our marketplace management strategy to ensure long-term brand health. As such, we are adjusting our full-year outlook to reflect this shift.”

Looking ahead, Crocs said full-year 2023 consolidated revenue is expected to grow approximately 10% to 11% compared to 2022, resulting in revenues of approximately $3.905 billion to $3.94 billion at currency rates as of the end of the last reported period.