- Prachi Singh |
Crocs said, second quarter revenues reached 313.2 million dollars. On a constant currency basis, revenues decreased 2.7 percent, compared to the second quarter of 2016. Net income attributable to common stockholders was 18.1 million dollars or 0.20 dollar per diluted share. Excluding 1.8 million dollars related to SG&A reduction initiatives, the company reported non-GAAP net income of 19.9 million dollars compared 11.7 million dollars or 0.13 dollar per diluted share and non-GAAP adjusted net income of 12 million dollars.
“During the second quarter, we continued to revitalize the Crocs brand and drive improvement in the quality of our revenues. We are optimistic about the early response to our fall/holiday 2017 collection, and anticipate that the positive sentiment seen to date will continue throughout the second half of the year, despite the challenging retail environment," said Andrew Rees, Crocs President and Chief Executive Officer in a press release.
Second quarter highlights and outlook
Second quarter gross margin rose 180 basis points to 54.2 percent compared to last year’s second quarter. The company said, improved product and better management of inventory enabled it to generate higher quality revenues and that it also benefited from the continued shift toward more molded product.
For the third quarter, the company expects revenues to be between 230 and 240 million dollars and gross margin to be essentially flat to the third quarter of 2016 since gross margin in the third quarter of 2016 included a benefit of more than 200 basis points due to a favorable inventory adjustment.
The company continues to expect 2017 revenues to be down low single digits compared to 2016 gross margin to be approximately 50 percent.