Footwear brand Skechers has reported total sales amounting to $8.97bn for the fiscal year 2024 (FY24), a 12.1% rise from the previous year’s $8bn.
The company’s financial disclosures revealed parallel growth in both international and domestic markets, each contributing to the overall sales uptick.
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Wholesale transactions played a pivotal role, surging $595.7m or 13.2%, with regional increases spanning the Americas (AMER) at 14.5%, Europe, Middle East and Africa (EMEA) at 16.7%, and Asia Pacific (APAC) at 5.7%. Despite a 13.7% surge in wholesale volume, the average selling price saw a marginal decline of 0.4%.
The company’s direct-to-consumer (DTC) channels also experienced substantial growth, with revenues climbing $373.4m or 10.7%.
The rise was propelled by a 38.3% increase in EMEA, complemented by gains in AMER and APAC at 6.6% and 8% respectively.
DTC volume rose by 11.2%, though the average selling price dipped slightly by 0.5%.
Net earnings attributable to Skechers reached $639.5m in FY24, with diluted earnings per share (EPS) escalating to $4.16, a 19.2% increment on the previous year’s figures.
The company’s operational earnings saw an upsurge of $119.5m to reach $904.3m, resulting in an operating margin of 10.1%.
In the fourth quarter (Q4) of the fiscal year, Skechers witnessed a sales hike of 12.8%, driven by an 18.0% domestic increase and a 9.8% international rise.
Wholesale transactions during this period grew by $168.1m or 17.5% in Q4 FY24, with volume up 18.1% despite a slight average selling price reduction of 0.6%.
DTC sales for the quarter expanded by $83.4m or 8.4%, with volume up by 9.7% and average selling price down by 1.2%.
Net earnings for Skechers amounted to $99.3m in Q4 FY24, with diluted EPS at $0.65, compared to the previous year’s net earnings of $87.2m and diluted EPS of $0.56.
Skechers chief financial officer John Vandemore stated: “Skechers delivered exceptional results in 2024 and exceeded our expectations on a constant currency basis with full-year sales of $9.04 billion and earnings per share of $4.40.
“Rooted in our innovative comfort technology products and compelling value proposition, our financial performance illustrates the strength of our global diversification and compelling product offering.”
For the fiscal year 2025, Skechers anticipates sales between $9.70 and $9.80bn.
The company expects diluted EPS to range from $4.30 to $4.50 for the full year and sales to be between $2.40bn and $2.43bn. Diluted EPS is anticipated to be between $1.10 and $1.15 for the first quarter of 2025.
In January 2025, Skechers unveiled its inaugural performance store in Canada. The brand seeks to transform retail with immersive experiences and interactive product trials.
