MW Deckers shares rally as some of the fog clears on the year ahead

By Bill Peters

Ugg and Hoka brands notch sales gains, but execs warn 'uncertainty remains elevated in the global trade environment'

Shares of Deckers Outdoor Corp. jumped 15% after hours on Thursday after the footwear maker reported fiscal first-quarter results that beat estimates, helped by big gains in its Hoka sneakers and Ugg shoes.

The company (DECK) reported those results - along with a solid second-quarter guidance - after it said in May that it wouldn't offer a forecast for its entire fiscal year, citing uncertainty caused by "evolving" tariff rates and trade negotiations between the U.S. and the rest of the world.

But on Thursday, Deckers said first-quarter revenue climbed 17% to $965 million, well above FactSet analyst forecasts for $900.4 million. The company earned 93 cents a share, above analyst estimates for 68 cents.

Sales for Hoka were up 19.8% during the quarter, while Ugg sales rose 18.9%. However, sales of the company's other brands - which include Teva and AHNU - fell.

For its second quarter, Deckers said it expects sales of $1.38 billion to $1.42 billion, above FactSet forecasts for $1.403 billion. Management projected earnings per share of $1.50 to $1.55, compared with estimates for $1.51.

"Though uncertainty remains elevated in the global trade environment, our confidence in our brands has not changed, and the long-term opportunities ahead are significant," Chief Executive Stefano Caroti said in a statement.

More nations could face larger tariffs if they can't negotiate trade deals with the U.S. by Aug. 1. However, that deadline is an extension from an earlier one by the Trump administration, and markets have calmed since the U.S. threatened in April to upend the global trade order with higher tariffs on countries across the world.

Deckers, in its most recent annual report, said that less than 5% of its finished footwear came from China, the main target of President Donald Trump's trade war. The rest came from Southeast Asia, mainly Vietnam.

Shares of Deckers were down 48.3% this year as of Thursday's close.

-Bill Peters

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July 24, 2025 16:54 ET (20:54 GMT)

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