Data News > Crocs Stock Faces Decline Despite Strong Q2 Earnings Report
- Crocs (NASDAQ: CROX) stock falls about 2% after reporting second-quarter earnings
- Revenue grows by 3.6% to $1.11 billion, surpassing analyst estimates
- Second-quarter earnings benefit from brand strength and higher revenues across regions
- Record revenue and earnings reported for Q2, but disappointing profit projection impacts stock
- Shares drop on guidance miss for third quarter, despite beating earnings and revenue estimates
Crocs stock took a hit recently, despite the company reporting strong second-quarter earnings. The footwear company's stock, listed as Crocs (NASDAQ: CROX), decreased by approximately 2% following the release of its financial results.
In the second quarter of 2024, Crocs saw a 3.6% increase in revenue, reaching $1.11 billion. The impressive revenue growth surpassed the expectations of analysts who had predicted it to be $1.1 billion. This growth was attributed to Crocs' brand strength and higher revenues across various regions.
Although Crocs achieved record revenue and earnings in the second quarter, the company's outlook for future profits was underwhelming. This projection cast a shadow over the footwear company's positive momentum, leading to a decline in its stock value.
The footwear maker's strong second-quarter earnings were overshadowed by a lighter-than-expected outlook for the third quarter. Despite delivering record revenue and earnings, investors are cautious due to the profit projection for the upcoming period.
Crocs Inc. posted an earnings beat for the second quarter, however, shares of the footwear brand plummeted over 7% on disappointing guidance for the next quarter. The company anticipates revenue to decline by 1.5% to increase by 0.5% compared to the same period last year. While the Crocs brand is projected to grow between 3% and 5%, HeyDude is expected to decrease by 14% to 16%.
Despite beating the Zacks Consensus Estimate by reporting earnings of $4.01 per share in the second quarter, Crocs stock faced a decline following a profit warning for the third quarter. The company's profit for the quarter ended June 30 increased to $228.9 million, or $3.77 per share, from $212.4 million, or $3.39 per share, in the previous year.
Crocs, Inc. reported record revenues for the second quarter of 2024 and raised its full-year earnings per share outlook. The company's second-quarter revenues increased by 4% compared to the previous year, amounting to $1,112 million. The diluted earnings per share rose by 11% to $3.77, with adjusted diluted earnings per share increasing by 12% to $4.01.
Overall, Crocs stock faced a decline despite strong second-quarter earnings, as the company's profit outlook for the third quarter fell short of expectations. The positive financial results were overshadowed by concerns over future profitability, leading to a decrease in stock value.
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Crocs Stock Faces Decline Despite Strong Q2 Earnings Report
By KlickAnalytics Data Insights | August 1, 2024 08:04PM ET
Key Points
- Crocs (NASDAQ: CROX) stock falls about 2% after reporting second-quarter earnings
- Revenue grows by 3.6% to $1.11 billion, surpassing analyst estimates
- Second-quarter earnings benefit from brand strength and higher revenues across regions
- Record revenue and earnings reported for Q2, but disappointing profit projection impacts stock
- Shares drop on guidance miss for third quarter, despite beating earnings and revenue estimates
Crocs stock took a hit recently, despite the company reporting strong second-quarter earnings. The footwear company's stock, listed as Crocs (NASDAQ: CROX), decreased by approximately 2% following the release of its financial results.
In the second quarter of 2024, Crocs saw a 3.6% increase in revenue, reaching $1.11 billion. The impressive revenue growth surpassed the expectations of analysts who had predicted it to be $1.1 billion. This growth was attributed to Crocs' brand strength and higher revenues across various regions.
Although Crocs achieved record revenue and earnings in the second quarter, the company's outlook for future profits was underwhelming. This projection cast a shadow over the footwear company's positive momentum, leading to a decline in its stock value.
The footwear maker's strong second-quarter earnings were overshadowed by a lighter-than-expected outlook for the third quarter. Despite delivering record revenue and earnings, investors are cautious due to the profit projection for the upcoming period.
Crocs Inc. posted an earnings beat for the second quarter, however, shares of the footwear brand plummeted over 7% on disappointing guidance for the next quarter. The company anticipates revenue to decline by 1.5% to increase by 0.5% compared to the same period last year. While the Crocs brand is projected to grow between 3% and 5%, HeyDude is expected to decrease by 14% to 16%.
Despite beating the Zacks Consensus Estimate by reporting earnings of $4.01 per share in the second quarter, Crocs stock faced a decline following a profit warning for the third quarter. The company's profit for the quarter ended June 30 increased to $228.9 million, or $3.77 per share, from $212.4 million, or $3.39 per share, in the previous year.
Crocs, Inc. reported record revenues for the second quarter of 2024 and raised its full-year earnings per share outlook. The company's second-quarter revenues increased by 4% compared to the previous year, amounting to $1,112 million. The diluted earnings per share rose by 11% to $3.77, with adjusted diluted earnings per share increasing by 12% to $4.01.
Overall, Crocs stock faced a decline despite strong second-quarter earnings, as the company's profit outlook for the third quarter fell short of expectations. The positive financial results were overshadowed by concerns over future profitability, leading to a decrease in stock value.
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