Deckers Outdoor Corporation has revised its sales and earnings guidance for the second quarter and full fiscal year 2005.
For the second quarter ending June 30, 2005, Deckers now expects to report net sales in the range of $38 million to $39 million and diluted earnings per share between $0.15 and $0.18, compared to its previous guidance of net sales between $40 million and $41 million and earnings per diluted share between $0.28 and $0.30. For the fiscal year ending December 31, 2005, the Company now expects to report net sales of $248 million to $258 million and earnings per diluted share between $2.32 to $2.43, compared to its previous guidance of net sales between $250 million and $260 million and earnings per diluted share between $2.45 and $2.55.
Douglas Otto, Chairman of Deckers Outdoor stated, “As we previously discussed, our Teva business has been affected by unseasonably cold weather and this trend continues, negatively impacting our forecast for the second quarter. With the approaching end of the selling season for sandals, we are discounting selected Teva styles, which will adversely affect our projected gross margin. At the same time, we remain very comfortable with our outlook for the second half of the year as demand for UGG continues to be strong, orders are booked and the response to our new Fall UGG product line has been very positive across the board.”
