Skechers Posts Record Q1 Sales

Skechers has announced first quarter sales of $1.43 billion, an increase of 15 percent and a quarterly record. International wholesale sales grew 23.8 percent and Direct-to-Consumer sales were up 18.1 percent.

“Skechers new sales record in the first quarter is a remarkable achievement, especially given the lockdown measures in many key countries, including across Europe,” states Robert Greenberg, CEO. “This significant growth is the result of continued demand for Skechers product as consumers desire comfort and quality in their footwear and walking remains a top Covid-19 pandemic activity. With warmer weather and increased vaccination rates around the world, traffic is improving in many of our retail stores, and our digital business continues to be a very strong growth driver.”

Greenberg cites Skechers’ increased marketing efforts in the United States and support of many open international markets, including the airing of new campaigns with football coach, Jon Gruden and sports analyst, Howie Long—both for Arch Fit shoes, and a Super Bowl spot with commentator, Tony Romo, for Max Cushioning footwear, as helping move the sales needle. In addition, its Brooke Burke Arch Fit and Skechers apparel commercials along with multiple campaigns on traditional and digital platforms were a factor in the company’s success.

“As a comfort technology company, Skechers received several product awards for our sport, running and golf shoes, and we were named Company of the Year from leading industry trade publication Footwear Plus,” Greenberg adds. “Despite the ongoing challenges related to the pandemic, we are pleased with our exceptional start to 2021 and believe our growth is a testament to our execution and the relevance of the Skechers brand.”

“The momentum we experienced in the second half of 2020 continued into the first quarter as we achieved revenue growth of 15 percent over the same period in 2020, and an exceptional 12 percent increase over the first quarter of 2019. This resulted in the company’s first quarterly sales of over $1.4 billion,” states David Weinberg, COO. “The positive results were due to a 20.2 percent increase in our international business and an 8.5 percent increase in domestic sales compared to 2020.” Weinberg adds that driving the quarterly growth was a 23.8 percent increase in international wholesale, led by triple-digit growth in China, an 18.1 percent improvement in its direct-to-consumer business, with March being the strongest sales month, and a 143 percent increase in domestic e-commerce. “Domestic wholesale decreased .9 percent due to timing of shipments,” Weinberg adds. “Nonetheless, we saw strength across customer types and encouraging sell-through in multiple categories. The momentum in our direct-to-consumer business along with continuing demand for our comfort product, leads us to believe that Skechers’ remains on a positive trajectory.”

“Skechers record-setting first quarter, in the midst of a global pandemic, is a reflection of the strength of our brand and product offering, combined with outstanding execution,” says John Vandemore, CFO. “Despite headwinds across the globe, we achieved triple-digit growth in e-commerce and China, and resurgent growth in domestic retail, all of which we believe are evidence of the potential for our brand. Additionally, our continued investments to support our growth initiatives are on track to provide long-term value to the business and for shareholders.”

Skechers’ President Michael and CEO Robert Greenberg; COO David Weinberg.

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