Deckers Sees Q2 EPS of $0.87 While Hoka Sales Jump 15%
Deckers forecasted Q2 EPS up to $0.87, slightly below the $0.88 consensus estimate, as management maintains a conservative outlook and shares recovered early losses. In its latest quarter, Hoka net sales climbed 15% and Ugg net sales rose over 9%, although rising freight and input costs pose margin risks.
1. Second Quarter Earnings Outlook
Deckers projected Q2 EPS up to $0.87, slightly below the average estimate of $0.88, reflecting management's historically conservative guidance that helped shares recover from early declines.
2. Brand Net Sales Growth
In the prior quarter, Hoka net sales jumped 15% year-over-year while Ugg net sales increased more than 9%, driven by strong consumer demand for both performance and lifestyle footwear.
3. Freight and Input Cost Pressures
Elevated freight and raw material costs are creating margin headwinds, and sustained increases could weigh on profitability if not offset by pricing or operational efficiencies.
4. Analyst Commentary and Momentum
Analyst Ashley Owens retains a sector weight rating, noting that Deckers is exiting fiscal 2026 with solid momentum, signaling confidence in the company's growth trajectory despite near-term pressures.