The Ugg brand continued to drive Deckers Outdoor Corp.’s growth during the fourth quarter.
For the quarter ended Dec. 31, the company reported earnings of $68 million, or $5.22 per diluted share, compared to $40 million, or 3.07 a share, for the year-ago quarter.
Sales during the quarter grew by 14.7 percent to $348 million, versus $303.5 million for the same quarter of 2008.
Ugg sales made up the lion’s share of the company’s business, growing nearly 16 percent during the quarter to $333.3 million, compared to $288 million for the same quarter of last year. International sales, too, grew during the quarter by 96 percent to $39.3 million, up against $20.1 million for the same quarter in 2008, largely due to the company’s decision to sell directly to retailers in the U.K., Benelux and France.
“The international markets represent a significant growth opportunity, and we are excited about the incremental sales and earnings potential by selling directly to our wholesale customers,” Chairman, CEO and President Angel Martinez said in a statement. “Starting in 2011, we believe that the incremental sales and gross margin benefits from selling directly to our wholesale customers will more than offset the infrastructure investments in 2010 and drive higher earnings in the future.”
The company now expects 2010 diluted earnings per share to increase 5 percent over 2009 to $9.39, with an 11 percent growth in sales to $902.7 million.