Crocs’s sales rise as a result of Covid

Crocs boosted its fourth-quarter forecast (ending December 31) and full-year forecast for 2021 on Monday, and now forecasts fourth-quarter quarterly revenue by about 55% to between $ 407 and $ 410 million, compared to its previous estimate of an increase of 20% to 30%.

The company expects sales to rise by more than 12% in 2020 to a record $ 1.38 billion, up from its previous forecast of around 5% to 7% growth. Sales growth of 20% to 25% is also expected to take place in 2021. Crocs has not yet announced the date of its fourth-quarter results.

Investors excited the news Crocs (KROK)shares up more than 12% at $ 74.91 on the Nasdaq.
The pandemic has blocked the unapologetic 'ugly' froth a hit among consumers.

“Amid a global pandemic in 2020, we will generate the strongest revenue in Crocs’ history,” Crocs CEO Andrew Rees said in a statement. “Our brand momentum is extraordinary, and we expect a new record year in 2021.”

[Speaking at the annual ICR investor conference on Monday, Rees said consumers’ overwhelming need for comfort in a turbulent year helped drive strong sales of its iconic shoe.

“We definitely benefited from consumer casualization,” said Rees, adding that the clogs are also easy to clean and sanitize, thereby enhancing their pandemic-time appeal. Looking ahead, he said value and comfort will continue to be important for shoppers.

More younger consumers also gravitated to the brand during the pandemic, said Rees.

“They were younger, predominantly female consumers. This was a big driver of growth in North America. As the year progressed, it broadened to new younger male consumers,” he said.

A couple of quirky collaborations, too, likely helped sell millennial and TikTok-loving Gen Z’ers on the clogs. In 2020, Crocs teamed up with a number of artists and brands, including Post Malone, Justin Bieber and fast-food chain KFC on special edition collections. Its glow-in-the-dark collaboration with Latin trap artist Bad Bunny quickly sold out after its September launch.

.Source