Some have called Crocs the ‘it’ shoe of the pandemic, as the bunch has become a staple for consumers who wanted comfort during their more comfortable pandemic lifestyle.
The popularity helped push Crocs to astonishing selling prices in its most recent quarter, but investors, who feared it was the best behind it, sold the stock on Tuesday. Shares closed 3.8% at $ 80.01 on Tuesday, but the stock has more than doubled in the past year.
“The pandemic has enabled us to reach new customers, but I think consumers are also focused on what we can offer in the future,” Andrew Rees, CEO of Crocs, told PowerBC.
Rees said he remains optimistic that the brand can grow using product innovations, such as introducing new sandals to its portfolio. He also noted that the shoe brand was still trending before the pandemic, and put it in a good position when Covid-19 struck.
“Sandals are a huge product category and the accessible market for us around sandals is about $ 30 billion worldwide,” Reese said.
The growth of their shoes, or Jibbitz, has also contributed to the brand’s successful year, doubling in recent years, while loyal Crocs fans personalize their shoes to make them unique.
The shoe also has a strong glamorous personality and counts Justin Bieber, Post Malone and Priyanka Chopra among his fans.
Earlier Tuesday, Crocs said fourth-quarter fiscal net income rose to $ 183.3 million, or $ 2.69 per share, from $ 19.9 million, or 29 cents a share, a year earlier. Excluded items earn Crocs $ 1.06 per share.
Revenue rose 56.5% to $ 411.5 million. Crocs said it expects revenue to rise by 40% to 50% in the first quarter, and between 20% and 25% for the full year.