Crocs released its figures today. Even found good signs regarding HeyDude; in the last quarter, HD revenue no longer declined, and DTC sales grew by 7.2%. The outlook, however, projects HD revenue to continue to decline.
The share repurchase program has an authorization of $1.3 billion, while the company’s market value is approximately $6 billion.
Crocs’ revenue grew slightly, with particularly strong development in direct sales, while wholesale sales remained almost unchanged. Operating profit improved, and the company continued share buybacks and debt reduction.
Sales of the Crocs brand itself grew more than expected, especially in North America and China, while the aforementioned HEYDUDE remained at the previous year’s level.
This year, i.e., 2025, Crocs expects growth to continue and is investing in the revitalization of the aforementioned HEYDUDE brand. The company aims for strong profitability and long-term value creation.
https://x.com/Investing_Table/status/1890009632589971784
I was sure for a long time, year after year, that Crocs would be forgotten, etc.
But what happened then? 
Tämän vuoden ohjeistus vedettiin takaisin koska liiketoimintaympäristö on oranssin kauhun vallassa ja täysi kysymysmerkki.
The company’s revenue remained almost unchanged, and growth in direct sales compensated for the decline in wholesale.
The result was better than expected, even though operating margin and operating profit slightly decreased. The Crocs and HEYDUDE brands reportedly supported a strong result.
The message above also stated how the company announced it would abandon its guidance due to the uncertain global operating environment.
https://x.com/BossTradingGrp/status/1920438241565815281
Well, the transcript of the earnings call has been available for some time already, but hasn’t found its way to Yahoo news… to read.
Crocs, Inc. (CROX) Q1 2025 Earnings Call Transcript | Seeking Alpha
EDIT:
“During the quarter, Crocs brand remained the number one footwear brand on TikTok shop.”
Let that sink in
EDIT2:
Oh, that turned out to be paid, I didn’t quite make it to the end. Impressive stuff from the management. Top notch 
Crocs’ flagship shoe seems to be dominating on Amazon.com and has been the #1 Best Seller in the “Clothing, Shoes & Jewelry” category since the beginning of May. All-time volume trends also look good. It’s unclear how well Amazon indicates the performance of other channels, but I took a position anyway.
“Crocs, a world leader in innovative casual footwear for all, is bringing monsoon flair to the forefront with its most regionally immersive campaign yet, spanning seven key Southeast Asian markets including India, China, Japan, Korea, Thailand, Indonesia and the Philippines.”
CROX panostaa Aasiassa kuin Marimekko konsanaan 
Looking at the key figures and cash flow, it looks really good, especially if the Asian campaign reported today starts to bite harder.
Revenue 4.1bn, EBIT 1bn, market value 5.5bn… I just wonder, is anything else weighing down the market value right now besides growth prospects and 1.8bn in loans?
Of course, tariff threats have turned the curve many times this year.
By growth prospects, I mainly mean, is the company perhaps a bit too much of a “one-trick pony”, how far can they go with these resources?
US bulls on Reddit and some other forums are hyping it up a lot, and it’s undeniably tempting at the current valuation.
Crocs reported moderate growth this quarter, and the company’s gross margin was reportedly record high. Sales grew in both direct-to-consumer and wholesale channels, but HEYDUDE brand revenue slightly decreased. EPS losses were due to one-time write-downs, but adjusted earnings increased.
According to CEO Andrew Rees, the operating environment is uncertain, so the company is focusing on cost savings, inventory management, and more restrained campaigning. The company itself expects these measures to support long-term profitability and cash flow, even if they may temporarily weigh on revenue.
https://x.com/earnings_guy/status/1953411894917660673
It’s good to come back to this: Turning HeyDude into a success story turned out to be significantly more difficult than management implied, and this is exactly what has happened. Now, in the Q2/25 report, it was practically admitted between the lines: “The impairment was justified by a longer-than-expected time line to stabilize the HEYDUDE Brand”.
But now that the impairment has finally been cleared away, the situation looks clearer. Crocs’ management is cautious in North America, but more confident, especially regarding Asia, and there could be a future growth story there. I myself am starting to be interested in the stock if I could buy it around 70 USD.
Re: Shameless ad
This is what you’ve always wanted 
Still coming for iPhone, already available for order for Samsung 
Even though Q3 was supposed to be mainly about improving margins, some campaign is still being done..
Crocs posted a pretty decent result today and pretty decent guidance. Not a blockbuster, but quite okay considering the stock price. My wife and I were buying around the $78-75 range. The market has been expecting absolute misery, at least looking at how Crocs’ stock has performed. Just “decent” might be enough, though, as it’s up about 15% in pre-market right now. Honestly, no matter how you spin it, anything under $100 looks pretty ridiculous to me.
They reported an adjusted EPS of $12.51 for 2025 (down 5% from the previous year). The stock is around $82, which gives a P/E of 6.6 using the adjusted figure. Next year, they expect to be in the $12.88 - $13.35 range. If we roughly calculate with $13, the current price gives a P/E of 6.3. Quite cheap, even though at the same time Hey Dude was a total mistake of a purchase and it keeps shrinking smaller and smaller. It doesn’t matter much for the investment case anymore.
Fourth Quarter 2025 Operating Results (Compared to the Same Period Last Year)
Consolidated revenues were $958 million, a decrease of 3.2%, or 4.2% on a constant currency basis. Direct-to-consumer (“DTC”) revenues grew 4.7%, or 3.6% on a constant currency basis. Wholesale revenues decreased 14.5%, or 15.5% on a constant currency basis.
Gross margin was 54.7% compared to 57.9%. Adjusted gross margin decreased 320 basis points to 54.7% compared to 57.9%.
Selling, general, and administrative expenses (“SG&A”) of $377 million increased 1.1% from $373 million, and represented 39.4% of revenues compared to 37.7%. Adjusted SG&A of $363 million decreased 2.7% from $373 million, and represented 37.9% of revenues compared to 37.7%.
Income from operations of $146 million decreased 26.8% from $200 million, resulting in operating margin of 15.3% compared to 20.2%. Adjusted income from operations of $161 million decreased 19.7% from $200 million, resulting in adjusted operating margin of 16.8% compared to 20.2%.
Diluted earnings per share of $2.03 decreased 68.1% from diluted earnings per share of $6.36. Adjusted diluted earnings per share of $2.29 decreased 9.1% from $2.52.
During the quarter, we repurchased approximately 2.2 million shares for $180 million at an average share price of $83.63. We repaid $90 million of debt.
2025 Operating Results (Compared to Last Year)
Consolidated revenues were $4,041 million, a decrease of 1.5%, or 1.7% on a constant currency basis. DTC revenues grew 3.3%, or 2.9% on a constant currency basis. Wholesale revenues decreased 6.2%, or 6.2% on a constant currency basis.
Gross margin was 58.3% compared to 58.8%. Adjusted gross margin decreased 50 basis points to 58.3% compared to 58.8%.
SG&A of $2,208 million increased 59.0% from $1,388 million, and represented 54.6% of revenues compared to 33.8%. The increase in SG&A is largely driven by non-cash impairment charges related to the indefinite-lived HEYDUDE trademark and HEYDUDE Brand reporting unit goodwill of $430 million and $307 million, respectively, during the three months ended June 30, 2025. Adjusted SG&A of $1,456 million increased 6.8% from $1,363 million, and represented 36.0% of revenues compared to 33.2%.
Income from operations of $150 million decreased 85.4% from $1,022 million, resulting in operating margin of 3.7% compared to 24.9%. The decline is driven by asset impairments, as described above. Adjusted income from operations of $901 million decreased 14.2% from $1,050 million, resulting in adjusted operating margin of 22.3% compared to 25.6%.
Diluted loss per share of $1.50 decreased 109.4% from diluted earnings per share of $15.88. The loss per share is driven by asset impairments, as described above. Adjusted diluted earnings per share of $12.51 decreased 5.0% from $13.17, which excludes non-GAAP adjustments.
During the year, we repaid $128 million of debt. We repurchased approximately 6.5 million shares for $577 million at an average share price of $88.68, and at year-end, $747 million of share repurchase authorization remained available for future repurchases.
Fourth Quarter 2025 Brand Summary (Compared to the Same Period Last Year)
Crocs Brand: Revenues increased 0.8% to $768 million, or decreased 0.4% on a constant currency basis.
Channel
DTC revenues increased 6.1% to $475 million, or 4.8% on a constant currency basis.
Wholesale revenues decreased 6.7% to $294 million, or 7.7% on a constant currency basis.
Geography
North America revenues decreased 7.4% to $436 million.
International revenues increased 14.1% to $332 million, or 11.0% on a constant currency basis.
HEYDUDE Brand: Revenues decreased 16.9% to $189 million, or 17.5% on a constant currency basis.
Channel
DTC revenues were flat at $133 million.
Wholesale revenues decreased 40.5% to $56 million, or 41.7% on a constant currency basis.
2025 Brand Summary (Compared to the Last Year)
Crocs Brand: Revenues increased 1.5% to $3,326 million, or 1.3% on a constant currency basis.
Channel
DTC revenues increased 3.4% to $1,726 million, or 2.9% on a constant currency basis.
Wholesale revenues decreased 0.5% to $1,599 million, or 0.5% on a constant currency basis.
Geography
North America revenues decreased 6.8% to $1,710 million, or 6.7% on a constant currency basis.
International revenues increased 11.9% to $1,616 million, or 11.2% on a constant currency basis.
HEYDUDE Brand: Revenues decreased 13.3% to $715 million, or 13.5% on a constant currency basis.
Channel
DTC revenues increased 2.9% to $379 million, or 2.8% on a constant currency basis.
Wholesale revenues decreased 26.3% to $336 million, or 26.5% on a constant currency basis.
Balance Sheet and Cash Flow (December 31, 2025 as compared to December 31, 2024)
Cash and cash equivalents were $130 million compared to $180 million.
Inventories were $369 million compared to $356 million.
Total borrowings were $1,231 million compared to $1,349 million.
Capital expenditures were $51 million compared to $69 million.
Financial Outlook
First Quarter 2026
For the first quarter of 2026, we expect:
Revenues to be down approximately 5.5% to 3.5% to the first quarter of 2025, at currency rates as of February 9, 2026.
Crocs Brand to be down approximately low-single-digits to the first quarter of 2025.
HEYDUDE Brand to be down approximately 18% to 15% to the first quarter of 2025.
Adjusted operating margin to be approximately 21.5%.
Adjusted diluted earnings per share to be in the range of $2.67 to $2.77.
Full-Year 2026
For 2026, we expect:
Revenues to be down approximately 1% to up slightly compared to full-year 2025, at currency rates as of February 9, 2026.
Crocs Brand to be approximately flat to up 2% compared to full-year 2025.
HEYDUDE Brand to be down approximately 9% to 7% compared to full-year 2025.
Non-GAAP adjustments to be approximately $25 million primarily associated with supply chain optimization and other cost savings efficiencies.
Adjusted operating margin to expand modestly from 22.3%.
GAAP effective tax rate to be approximately 23% and adjusted effective tax rate to be approximately 18% Biosci.
Adjusted diluted earnings per share to be in the range of $12.88 to $13.35. Adjusted diluted earnings per share guidance does not assume any impact from potential future share repurchases.
Capital expenditures of $70 million to $80 million.
Jani Järvinen from Sijoituskästi/STNX has made a three-minute video about Crocs
https://x.com/STNXfi/status/2054846005430849827
