Skechers hits $1 billion quarter

Casual footwear maker Skechers has announced its first billion-dollar quarter in the first three months of 2017. Sales grew by 9.6 per cent compared to Q1 of 2016, to hit $1.07 billion. Although the Manhattan Beach, California-based company’s earnings dipped by 3.7 per cent year-on-year during the period, the company still beat analysts’ forecasts and achieved net earnings of $94 million.

“In 2005, we surpassed $1 billion in annual sales and now, less than 12 years later, we had our first $1 billion-plus in quarterly sales,” said Skechers’ chief executive, Robert Greenberg. “The key to our success then and now is the drive, dedication and talent of the many people behind this great brand.”

According to David Weinberg – the company’s chief operating officer and chief financial officer – much of Skechers’ success in the quarter was due to its international business. “Skechers’ international business, including retail, grew to 51.3 per cent of our total sales in the first quarter due to the strength of our brand in numerous markets,” remarked Mr Weinburg. “While we see opportunities in the United States to increase our business, we believe international markets continue to present the strongest opportunity for growth. To meet this growth in our international business, we continue to invest in our infrastructure and marketing to support the current and planned global expansion.”

The company reports that net sales in the second quarter of the year are expected to be between $950 million and $975 million.

Publishing Data

This article was originally published on page 3 of the June 2017 issue of SATRA Bulletin.

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