Skechers USA reports sales decline to $730 mn in Q2 FY20

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).

 

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).#

“The impact of Covid-19 to Skechers’ business was significant in the second quarter as we saw much of the world outside Asia shutter nearly all businesses,” David Weinberg, chief operating officer of Skechers, said in a press release. 

 

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).#

“However, we remain optimistic about the early signs of recovery we witnessed during the quarter, including a return to growth in China, consistent improvement each month in some markets outside of China, and record shattering growth of over 400 percent in our company-owned e-commerce business. While every country’s recovery has been unique, we began to see a similar recovery trend, first reflected in China and now extending into other markets globally including Australia, Germany, South Korea and Taiwan,” Weinberg said.

 

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).#

Company reported that their performance during the quarter was affected by 37.8 per cent decrease in its international business and a 47.3 per cent decrease in domestic business, reflecting the impact of the global pandemic. 

 

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).#

Skechers’ international sales were partially offset 11.5 per cent with increase in China sales. The international wholesale business fell 29.9 per cent to $385.1 million and domestic wholesale business slipped 57.2 per cent to $130.7 million. 

 

Skechers USA, a global footwear leader, posted 42 per cent sales decline to $729.5 million in its second quarter (Q2) FY20 ended on June 30, 2020 compared to sales of $1,258.6 million in same period last year. Company incurred a net loss of $68.1 million compared to net income of $75.2 million in Q2 FY19. Gross profit were $368.6 million ($609.8 million).#

With nearly all its Skechers stores closed at some point in the quarter, direct-to-consumer business decreased 47.1 per cent, which includes a 428.2 per cent increase in its e-commerce business.