Summary by Moomoo AI
Crocs reported strong Q2 2024 results with revenues increasing 3.6% to $1.11 billion, driven by 9.7% growth in the Crocs Brand segment. Gross margin expanded 350 basis points to 61.4%, benefiting from lower product and freight costs. Net income rose 7.8% to $228.9 million, with diluted EPS of $3.77.The Crocs Brand segment delivered robust performance with revenues of $914 million, while HEYDUDE Brand revenues declined 17.5% to $197.5 million. Direct-to-consumer comparable sales grew 11.7% for Crocs Brand but decreased 17.5% for HEYDUDE Brand. Operating income increased 2.3% to $325.7 million despite higher SG&A expenses of $356.2 million.The company maintained strong liquidity with $167.7 million in cash and $573.7 million in available borrowings. During Q2, Crocs resumed its share repurchase program, buying back $175 million of common stock. Management remains focused on strategic initiatives including global marketing, China expansion, and digital business growth while maintaining tight inventory control.
