Overview
- Adjusted EPS came in at $2.92 on revenue of $996.3 million, beating profit expectations even as sales fell 6.2 percent year over year.
- Channel trends diverged, with direct-to-consumer revenue up 1.6 percent and wholesale down 14.7 percent; Crocs brand sales slipped 2.5 percent to $836 million and Hey Dude fell 21.6 percent to $160 million.
- For the holiday quarter, the company forecasts revenue down about 8 percent year over year and guides adjusted EPS to $1.82 to $1.92, with Hey Dude expected to decline in the mid-20 percent range.
- Crocs is pulling back promotions in North America digital channels, reducing wholesale receipts, and supporting retailer returns and markdowns to rebalance supply and shift to a demand-led model.
- The company repurchased 2.4 million shares and paid down $63 million of debt, reported cash of $154 million and inventories of $397 million, and identified $50 million in 2025 cost savings plus an additional $100 million opportunity to drive 2026 leverage.