Skechers USA Inc.’s stock hit at an all time high Thursday following a Q1 performance that far surpassed Wall Street’s estimates despite currency headwinds, unseasonably cold weather and the West Coast ports slowdown.
In a release, the company said it attributes its strong Q1 finish to double-digit gains in its wholesale and retail businesses, single-digit gains in e-commerce and continued demand for its lifestyle, performance and kid’s footwear.
The company’s share price, Thursday, surged to a high of $87.09, up nearly 15 percent.
Net Income: Net earnings in the first quarter of 2015 totaled $56.1 million, compared with net earnings of $31 million for the year-ago quarter.
EPS: Earnings per diluted share were $1.10, based on 51.1 million weighted average shares outstanding, compared with diluted net earnings per share of 61 cents, based on 50.8 million weighted average shares outstanding, for the same period in the prior year.
Net Revenue: Net sales were $768 million, versus $547 million in the first quarter of 2014 — an increase of 40.5 percent.
Hit, Miss or Beat: The Manhattan Beach, Calif.-based company beat Wall Street’s estimates for EPS and revenue. Skechers said its revenue for Q1 totaled $768 million, while analysts polled by Yahoo Finance had predicted sales totaling $703 million. The company’s EPS tally, $1.10, was a solid beat of the Street’s average bet of $1.01.
Executive Insights: “Having just achieved a new annual sales record of $2.4 billion in 2014, we expected the momentum to continue into 2015. We attribute this success to our constant development of fresh and innovative products that are appealing to a widening audience around the world, the continued marketing support we provide for every key product category, the diverse global distribution strategy, and, finally, our tremendous logistical support and inventory management.” – Robert Greenberg, Skechers’ CEO.