Deckers Outdoor Corp. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2013; Provides Earnings Guidance for the Full Calendar Year Ending December 31, 2014 and First Calendar Quarter of 2014 and First Half of 2014; Announces Change of Fiscal Year End to March 31 from December 31
February 27, 2014 at 04:05 pm EST
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Deckers Outdoor Corp. reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2013. For the quarter, the company reported net sales of USD 736.048 million compared to USD 617.264 million a year ago. Income from operations was USD 201.499 million compared to USD 144.114 million a year ago. Income before income taxes were USD 200.397 million compared to USD 141.311 million a year ago. Net income was USD 140.897 million compared to USD 98.057 million a year ago. Net income attributable to the company was USD 140.897 million compared to USD 98.057 million a year ago. Diluted net income per share attributable to the company was USD 4.04 compared to USD 2.77 a year ago.
For the year, the company reported net sales of USD 1,556.618 million compared to USD 1,414.398 million a year ago. Income from operations was USD 207.897 million compared to USD 186.948 million a year ago. Income before income taxes were USD 205.557 million compared to USD 184.118 million a year ago. Net income was USD 145.689 million compared to USD 129.014 million a year ago. Net income attributable to the company was USD 145.689 million compared to USD 128.866 million a year ago. Diluted net income per share attributable to the company was USD 4.18 compared to USD 3.45 a year ago.
The company provided earnings guidance for the full calendar year ending December 31, 2014. The company expects revenues to increase approximately 10% over 2013 levels. The company expects full calendar year diluted earnings per share to increase approximately 8% over 2013 levels. This guidance assumes a gross profit margin of approximately 49% and an operating margin of approximately 13%. Calendar year 2014 guidance also assumes that the company's effective tax rate will be approximately 29%.
The company currently expects first calendar quarter 2014 revenues to increase approximately 6% over first quarter 2013 levels, and expects to report a first calendar quarter 2014 diluted loss per share of approximately USD 0.16 compared to a diluted earnings per share of USD 0.03 reported in the first quarter of 2013.
The company expects earnings to decline in the first half of 2014 as compared to the first half of 2013, which are typically lowest volume sales quarters, and increase over 2013 in the back half of the calendar year.
The company's Board of Directors has authorized a change in its fiscal year end to March 31 from December 31. This change will be effective March 31, 2014. Based on the seasonality of the business and the timing of the fall pre-book process, the change in fiscal year gives the company greater visibility into projecting revenue growth, planning expenses, and incorporating the results from the holiday season into product, merchandising and marketing initiatives for the upcoming year. The company will report results for the three-month transition period of January 1, 2014 through March 31, 2014.
Deckers Outdoor Corporation designs, markets, and distributes footwear, apparel and accessories developed for both everyday casual lifestyle uses and high-performance activities. Its segments include UGG brand, HOKA brand, Teva brand, Sanuk brand, Other brands and Direct-to-Consumer (DTC). The UGG brand segment provides premium footwear, apparel and accessories with expanded product offerings. The HOKA brand segmentâs products include running, trail, hiking, fitness and lifestyle. Teva brand segment is engaged in a multi-category outdoor lifestyle brand offering a range of performance, casual and trail lifestyle products. Sanuk brand segment is engaged in lifestyle brand with a presence in the relaxed casual shoe and sandal categories. Other brands segment consist of the Koolaburra brand, which is a casual footwear fashion line that uses plush materials. The segment primarily sells in the United States and Canada. DTC segment is comprised of its e-commerce business and retail business.
Deckers Outdoor Corp. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2013; Provides Earnings Guidance for the Full Calendar Year Ending December 31, 2014 and First Calendar Quarter of 2014 and First Half of 2014; Announces Change of Fiscal Year End to March 31 from December 31