Skechers’ Post

Skechers Announces Record Annual Sales of $8.00 Billion for 2023! “Skechers’ new annual sales record of $8.00 billion was the result of the broad acceptance for our products worldwide, our loyal and growing consumer base, the cultivated relationships with our partner network, and our determined and dedicated team,” began Robert Greenberg, Chief Executive Officer of Skechers. 2023 Highlights: Record annual sales of $8.00 billion, a year-over-year increase of 7.5% Direct-to-Consumer sales grew 24.3% Diluted earnings per share of $3.49, a year-over-year increase of 46.6% Inventory decrease of $292.6 million or 16.1% from December 31, 2022 Fourth Quarter Highlights: Record fourth quarter sales of $1.96 billion, a year-over-year increase of 4.4% Direct-to-Consumer sales grew 20.3% Diluted earnings per share of $0.56, a year-over-year increase of 16.7% Repurchased $60 million of Class A common stock

Steve Madden on Wednesday reported sales and earnings for 2023 that beat expectations. The wholesale channel, which has been particularly challenged throughout 2023, showed signs of improvement in Q4, with revenues in that channel up 4.9 percent in Q4 to $354.8 million. Wholesale footwear revenue was down 0.4 percent, offset by wholesale accessories and apparel revenues, which was up 56.5 percent. Direct-to-consumer revenue was up 1.9 percent to $162.3 million in Q4, driven by brick-and-mortar sales.

While Skechers set multiple sales records during 2023, wholesale pressure continued throughout the fiscal year. In Q3, Skechers “eked out a marginal gain” for its wholesale business with a 0.3% increase, said Tom Nikic, CFA of Wedbush Securities, but he called the footwear giant’s Q4 decline a “surprising reversal” from the previous quarter’s results. Domestic wholesale decreased 10.4% for the quarter, and international wholesale declined 7.1%, COO David Weinberg said on an earnings call with investors. The international decline was primarily due to the EMEA region, and it was partially offset by improvements in the APAC region, “including double-digit improvements in China which had a healthy return to growth over the key fourth quarter holidays,” per Weinberg. Weinberg attributed wholesale decreases to “some retailers conservatively managing inventory levels and taking goods closer to season.” On the call, CFO John Vandemore said the company was optimistic about what it was seeing in the wholesale space so far in 2024, in terms of shipments through the first month of the quarter and bookings in the first half. Paul Young CPA CGA is a former IBM Customer Success Manager that has deployed over 300 data and AI solutions across geographies and industries for the past 8 years. [email protected]   Blog - 40 Percent of CFOs distrustful of their organisation’s financial data - https://lnkd.in/gjNvqdcR   Driving better results by the Senior Management and Board of Directors - https://lnkd.in/gnhH3wAs   Ethical and Business Processes PT1 - https://lnkd.in/gsFVVy6c   Corporate and Data Management Ethical Practices - https://lnkd.in/gPw_KUWf   Close, Consolidate and Reporting – https://lnkd.in/gQ5ENXrK   Emergency, Crisis, and Risk Management - https://lnkd.in/ggeeGUtF   Public Sector Governance - https://lnkd.in/g_-685du   IOT - https://lnkd.in/gVMyjPne   Audit Analytics - https://lnkd.in/gjKBFCBB   Data Management - https://lnkd.in/gHBCBShk   ESG - https://lnkd.in/gTvb5_tx   CFO and Cyber security - https://lnkd.in/gmKwR_bK   Generative AI and the Office of Finance - https://lnkd.in/gnViezNd   Microsoft Excel and the Data Journey - https://lnkd.in/geQx52Ce   Customer Success Management - https://lnkd.in/gEtSMeep   Biodiversity - https://lnkd.in/gyQX5Ups

Second quarter sales at Skechers increased 7.2 percent to 2.16 billion dollars as a result of a 6.9 percent increase internationally and a 7.7 percent increase domestically. On a constant currency basis, sales increased 8.7 percent. For the third quarter of 2024, the company expects to achieve sales between 2.30 and 2.35 billion dollars and diluted earnings per share between 1.10 dollars and 1.15 dollars. For the fiscal year 2024, it expects to achieve sales between 8.875 and 8.975 billion dollars and diluted earnings per share of between 4.08 dollars and 4.18 dollars. “Skechers achieved a new second quarter sales record of 2.16 billion dollars driven by the strong demand for our diverse portfolio of comfortable and innovative footwear,” said David Weinberg, chief operating officer of Skechers.

'Store closures a factor in Allbirds Q2 sales nosedive 📉😞 Executives said new designs are performing well, but the DTC footwear brand's sales fell 27% in the period. 🏢👟 #Allbirds #Q2Sales #retailindustry Get more insights at databoutique.com, your largest source for public data. 🌐🔍 #DataDrivenDecisions by Retail Dive about Allbirds

“Department store chain Kohl's (KSS.N) cut its annual sales and profit forecast after posting a surprise quarterly loss on weaker consumer demand for its apparel and footwear, dragging its shares down 24% in early trading on Thursday.” “American shoppers are still prioritizing essential purchases over discretionary products like apparel, electronics and home goods, as they face dwindling pandemic-era savings and higher interest rates.” “The department store chain's dismal quarterly report comes in contrast to some of the other retailers including Abercrombie (ANF.N), which reported strong first-quarter sales owing to its merchandise being more on-trend.” “Kohl's also said that lower clearance sales compared to last year resulted in a more than 600-basis-point drag on comparable sales that decreased 4.4% in the first quarter.” “The company forecast fiscal 2024 net sales to fall between 2% and 4%, compared with its previous expectation of between a 1% drop and a 1% rise.” “"Kohl's has been too reliant on other brands such as Sephora, Amazon, and now Babies R Us to drive traffic rather than distinguishing its core brand identity," Emarketer senior analyst Zak Stambor said.” - Aatrayee Chatterjee

"Victoria's Secret (VSCO) shares slumped 26% in extended-hours trading Wednesday evening after the lingerie retailer issued a cautious sales outlook amid soft apparel demand in the North American market. The company said it sees fiscal year 2024 net sales of about $6 billion, falling short of the $6.19 billion figure expected by Wall Street. For the first quarter, Victoria’s Secret projects sales to decrease by mid-single digits from last year’s Q1 sales of $1.407 billion. By comparison, analysts expect the lingerie retailer to post sales in the period of $1.39 billion."

What is the perfect sales channel mix? After years of touting DTC as their main focus, many fashion brands are now reversing course, with NIKE just being the latest example. I guess the easy answer is: it depends on each brand’s vision and strategy and how they wish to design their customer journey. One thing is clear; wholesale is making a comeback and I believe that advancements in technology will close the gap between wholesale models and DTC models eventually! In the end the customer will decide - but they will not care (or even be aware) which sales channel they are using.

Another stone in the shoe for Dr. Martens plc. Blaming lackluster demand from US wholesalers, Dr. Martens plc released a trading update anticipating double digit decline in its US wholesale revenue. “If wholesale customers become more optimistic, we could see in-season re-orders, however these are hard to predict”. Hard not to agree on consumer sentiment and channel volatility, but truth be told, the clunky Docs might have more of an outsized-merchandising-and-overstretched-distribution problem. As the saying goes: ‘Less is more’ in merchandising. After the pandemic era – when we’d shop endless aisles of product online – and getting back to stores, consumers are looking for more concise, clear messaging, especially from directional brands like DM.  Not to consider that Doctor Martens’ customer is a very conscious consumer in the first place and, as such, they're questioning whether a purchase is even necessary to start with, let alone being met with '592 styles for women's footwear, 382 styles for men's footwear.' Dr Martens should rethink its approach to merchandising and distribution alike. By selecting wholesale partners that align with the brand’s uniqueness, DM can help build trust with their target audience, enhance their brand image, and create a more consistent and recognizable brand experience. The 1460 is a great boot, with lots of room in it. Not for yet another stone though, I’m afraid. #sales #retail #wholesale #merchandising #footwear #omnichannel #dtc #salesstrategy #merchandisingstrategy #linkedinpostsbymariopace https://lnkd.in/estZg8-s