During the first quarter of fiscal year 2027 (Q1 FY27) ended 30 June 2026, Deckers Brands’ net sales rose 5.7% to $1.02bn, compared to $964.5m in the same quarter last year.
On a constant currency basis, revenue increased 4.8%. HOKA posted the most significant brand gain, with sales rising 7.7% to $703.5m, while UGG sales grew 4.9% to $278m.
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Sales for other brands decreased by 18.1% to $37.9m.
Looking at sales channels, direct-to-consumer (DTC) revenue saw double-digit growth, rising 13% to $352.8m, boosted by a 6.8% increase in comparable DTC sales. Wholesale revenue was up 2.2% to $666.7m.
From a regional perspective, domestic sales increased by 3.2%, reaching $517.4m, while international sales climbed 8.4% to $502.1m.
Deckers Brands president and CEO Stefano Caroti said: “Deckers delivered a solid start to the fiscal year, surpassing $1bn of first quarter revenue for the first time. This performance reflects the continued strength of HOKA and UGG, with growing global demand as both brands extend their reach through compelling product innovation.
“As we build deeper connections with consumers across geographies and channels, we remain focused on advancing our premium brands and executing with discipline against our long term strategies.”
Deckers Brands’ key performance in Q1
During the quarter, the company’s gross margin improved to 56.4%, continuing an upward trend from 55.8% a year ago.
However, operating income fell slightly to $155.3m from $165.3m, as selling, general, and administrative (SG&A) expenses increased to $419.9m.
Diluted earnings per share edged up to $0.94, compared to $0.93 in the previous first quarter.
Capital allocation in the quarter included the repurchase of roughly 3.3 million shares for a total of $338.2m, at an average price of $103.79 per share.
As of 30 June 2026, Deckers reported $4.7bn remaining under its stock repurchase authorisation.
Fiscal 2027 outlook
For the fiscal year ending 31 March 2027, Deckers maintained its full-year consolidated sales outlook at $5.86bn to $5.91bn.
The company continues to expect HOKA sales to grow by a low-double-digit percentage and UGG by a mid-single-digit percentage versus last year.
The company revised its gross margin forecast upwards to slightly above 56.5%, and its operating margin is also now expected to slightly exceed 21.5%.
SG&A is anticipated to remain about 35% of sales.
Deckers also increased its diluted earnings per share guidance to a range of $7.35 to $7.50, an improvement of five cents over its prior projection.
