Home / Knowledge / News / Apparel/Garments / Skechers' sales gain 11.4% in Q4FY18

Skechers' sales gain 11.4% in Q4FY18

12
Feb '19
Courtesy: Skechers USA
Courtesy: Skechers USA
At Skechers, fourth quarter sales for 2018 increased 11.4 per cent due to 18.4 per cent lift in the company’s international wholesale business, 7.5 per cent rise in its company-owned global retail business and 4.8 per cent growth in its domestic wholesale business. The international business improved 17.9 per cent and its domestic business up 4.1 per cent.

For the fourth quarter of fiscal 2018, company’s international business climbed 17.9 per cent and its domestic business gained 4.1 per cent. Fourth quarter comparable same store sales in company-owned retail stores, including e-commerce inched up 1.1 per cent, which included increase of 3.0 per cent in its international stores and 0.4 per cent in the United States.

"In 2018, our mindset was to seek new growth opportunities by comprehensively evaluating our domestic and international businesses while drilling down to specific regions and channels of distribution," said Robert Greenberg, chief executive officer of Skechers.

Gross margins increased 90 basis points to 47.7 per cent as higher domestic margins from improved retail pricing and product mix was partially offset by the negative impact of foreign currency exchange rates.

"These opportunities were across our product lines with proven styles, new designs and collaborations, and in select regions where we saw great potential. Product highlights included the resurgence of our heritage Skechers D’Lites collection, which continues to gain momentum around the world, our iconic Skechers GOwalk line, and our comfortable and easy-to-wear men’s slip-ons, among others. With the strength of our products, we remain the number one lifestyle casual, dress casual, walking and work brand in the United States. We also focused on growing our online business around the world—improving the functionality of our ecommerce sites in the United States and China, and launching an ecommerce platform in India, while also increasing our global retail footprint, ending 2018 with 2,998 Skechers company-owned and third party-owned stores. Additionally, we began delivering Spring 2019 product with the relevant marketing support, and we also started our Fall/Winter 2019 meetings with key accounts. We are looking forward to what we believe will be a new first quarter sales record," explained Greenberg.

For the first quarter of 2019, the company believes it will achieve sales in the range of $1.275 billion to $1.300 billion, and diluted earnings per share of $0.70 to $0.75. These amounts include the impact of existing foreign exchange rates and a shift in some sales between the first quarter and second quarter due to the timing of Easter in late April 2019. The company expects that its annual effective tax rate in 2019 will be in the range of 14 per cent to 18 per cent.

"2018 was a year of record sales—our first fourth quarter of over a billion dollars and, combined with three previous record quarters, a new annual sales record of $4.64 billion," stated David Weinberg, chief operating officer of Skechers. "For the quarter, this growth was fueled by double-digit sales increases in each of our international businesses—company-owned retail, distributor, subsidiary and joint venture, and by single digit sales increases in both our domestic wholesale and retail businesses. For the year, we achieved double-digit sales increases across our international portfolio and single-digit sales increases in our total domestic business. In 2018, we also shipped a record number of pairs from our distribution centers across South America, North America, Japan and Europe, which is a testament to the strength of our global operations and the breadth of our international sales, which represented 54.0 per cent of our total business for the year." (RR)

Fibre2Fashion News Desk – India


Must ReadView All

AfCFTA expected to come into force by mid-2019

Textiles | On 18th Feb 2019

AfCFTA expected to come into force by mid-2019

The African Continental Free Trade Area Agreement could be in force...

Cambodia terms EU's EBA withdrawal decision 'regressive'

Apparel/Garments | On 18th Feb 2019

Cambodia terms EU's EBA withdrawal decision 'regressive'

Rejecting accusations of a worsening human rights and democracy...

USAID helps E African firms participate in Las Vegas shows

Textiles | On 18th Feb 2019

USAID helps E African firms participate in Las Vegas shows

The East Africa Hub of the US Agency for International Development...

Interviews View All

Nitin Bhatia, Trend Arrest

Nitin Bhatia
Trend Arrest

Setting up a brand for online selling is easy, but running the brand is not

Mohammad Mamun Ar Rashid, UL VS Bangladesh Ltd

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Smith Vaghasia, Sanado India

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Farheen B Rahman & Priti Jain,

Farheen B Rahman & Priti Jain

Founded by business-designer duo <b>Priti Jain and Farheen Rahman</b>,...

Yash Jain & Sanjeev Jain,

Yash Jain & Sanjeev Jain

Divyam Export, launched about 30 years ago, exports to 15 countries,...

Sandip Bhojani, Manthan Patel,

Sandip Bhojani, Manthan Patel

Krypthm Tradelink LLP is a Surat-based manufacturer of westernwear....

Giulio Cesareo, Directa Plus SpA

Giulio Cesareo
Directa Plus SpA

Established in 2005, Direct Plus SpA, is one of the largest producers and...

Kai Poehler, Voith Paper GmbH & Co. KG

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Matthew Kolmes, Supreme Corporation

Matthew Kolmes
Supreme Corporation

Supreme Corporation manufactures innovative specialty yarns and safety...

Tony Ward, Tony Ward

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Cigdem Akin, Cigdem Akin

Cigdem Akin
Cigdem Akin

She has carved a niche for herself as the national brand of Turkey. Her...

Ritu Kumar, Label Ritu Kumar

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


February 2019

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search