Los Angeles Sparks Forward Rickea Jackson Joins Team Skechers

Los Angeles Sparks Forward Rickea Jackson Joins Team Skechers

Jul 30, 2024 • 9:00 am EDT

LOS ANGELES–(BUSINESS WIRE)–

Skechers expanded its all-star roster of athletes with Los Angeles Sparks forward Rickea Jackson. The WNBA’s first-round draft pick joined Team Skechers after practicing in Skechers Basketball shoes and experiencing the brand’s signature Comfort That Performs.

Los Angeles Sparks Forward Rickea Jackson Joins Team Skechers

Rickea Jackson in the new SKX NEXUS™ basketball shoes from Skechers. (Photo: Business Wire)

Rickea Jackson in the new SKX NEXUS™ basketball shoes from Skechers. (Photo: Business Wire)

“I’m thrilled to be the first WNBA player to join forces with Skechers,” shared Rickea Jackson. “While Skechers is a new player in the basketball world, their commitment to fit, support, and active collaboration with athletes is clear. The comfort and design of their footwear is truly impressive. I love training in these shoes and I’m eager to see what we can accomplish together.”

“So we can give each player the attention they deserve, our roster of professional basketball athletes is tight and focused with veterans like 2022-2023 MVP Joel Embiid and three-time NBA All-Star Julius Randle, as well as rising stars with exceptional talent like LA Clippers shooting guard Terance Mann. We’ve been looking for the right WNBA player to add to Team Skechers and we found her in Rickea Jackson,” said Michael Greenberg, president of Skechers. “Rickea’s a sensational athlete and an inspiration—and she deserves the best footwear that meets her needs. League rules mean fans won’t see her competing in Skechers now, but we’re already gaining her insights as we continue to deliver the most comfortable and innovative footwear on the court for all athletes.”

Perfect for players like Jackson and Mann who desire a fast and responsive court-feel, the SKX NEXUS™ is a low-top court shoe designed for speed, stability and support. Offering exceptional comfort with resilient Skechers Move Foam™, every pair features a breathable mesh upper, lockdown ankle support in the heel, and Goodyear® rubber with a torsion-plate to amplify traction for quick cuts on the court. The style joins an innovative Skechers Basketball collection that includes the lightweight SKX Resagrip™ with advanced cushioning and the SKX Float™ for exceptional stability and control. Another new style, the SKX Reign™ that promotes elevation and intense traction, will also deliver for the 2024-2025 season.

Rickea Jackson played college basketball at Mississippi State and University of Tennessee where she was named first-team All-SEC in 2023 as a senior. As a freshman at Mississippi State in 2020, Jackson also earned a second-team All-SEC and received the Gillom Trophy as the top women’s college player in Mississippi. Jackson was selected by the Los Angeles Sparks as the number-four overall pick in the 2024 WNBA draft.

The Skechers team of elite athletes competing in the brand’s performance footwear includes NBA players Joel Embiid, Julius Randal and Terance Mann; elite footballers Harry Kane, Mohammed Kudus, Oleksandr Zinchenko and Anthony Elanga, as well as many others; golfers Matt Fitzpatrick and Brooke Henderson; pickleball pros Tyson McGuffin and Catherine Parenteau; and Major League Baseball players Clayton Kershaw, Chris Taylor, Brendan Donovan, Aaron Nola, and Wade Miley.

Skechers Basketball footwear is available at skechersbasketball.com and select Skechers retail stores in North America, as well as select retailers and Skechers stores in the Philippines and China, with a global roll out planned for August 2024. Basketball fans can get behind-the-scenes access to Skechers Basketball product launches and more by following @skechersbasketball on Instagram and TikTok.

About SKECHERS U.S.A., Inc.

Skechers (NYSE:SKX), The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

About Goodyear

Goodyear is one of the world’s largest tire companies. It employs about 72,000 people and manufactures its products in 57 facilities in 23 countries around the world. Its two Innovation Centers in Akron, Ohio, and Colmar-Berg, Luxembourg, strive to develop state-of-the-art products and services that set the technology and performance standard for the industry. For more information about Goodyear and its products, go to www.goodyear.com/corporate.

This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to the COVID-19 pandemic; delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States, and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors associated with the COVID-19 pandemic into consideration, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

Jennifer Clay

SKECHERS U.S.A., Inc.

[email protected]

Source: SKECHERS U.S.A., Inc.

Skechers Announces Second Quarter 2024 Financial Results and Board Authorized $1 Billion Share Repurchase Program

Skechers Announces Second Quarter 2024 Financial Results and Board Authorized $1 Billion Share Repurchase Program

Jul 25, 2024 • 4:05 pm EDT

LOS ANGELES–(BUSINESS WIRE)–
Skechers U.S.A., Inc. (“Skechers” or the “Company”) (NYSE:SKX), The Comfort Technology CompanyTM and a global footwear leader, today announced financial results for the second quarter ended June 30, 2024.

Second Quarter Highlights

“Skechers achieved a new second quarter sales record of $2.16 billion driven by the strong demand for our diverse portfolio of comfortable and innovative footwear,” said David Weinberg, Chief Operating Officer of Skechers. “The growth resulted from sales increases of 9% in Direct-to-Consumer and 6% in Wholesale, as well as increases of 7% internationally and 8% domestically. We continued to achieve growth across all regions including 7% in the Americas; 14% in Europe, the Middle East and Africa; and 2% in Asia Pacific. International direct-to-consumer and domestic wholesale were particularly bright spots, increasing 15% and 14% respectively. These international increases are noteworthy given substantial headwinds from foreign currency, a lackluster 6-18 in China, and supply chain disruptions related to the Suez Canal crisis. That said, we are extremely encouraged by the demand for Skechers product as demonstrated in second half orders, which has led us to raise our full-year outlook for sales and earnings. As we look to the remainder of the year and beyond, we remain focused on enhancing our global infrastructure, managing inventory levels, and driving efficiencies to achieve profitable growth.”

“This quarter marked the 25th anniversary of our initial public offering. As we celebrated this event, we also achieved record second quarter sales and further solidified our position as the third largest athletic footwear company in the world by continuing to deliver comfortable, and innovative footwear worldwide,” began Robert Greenberg, Chief Executive Officer. “I couldn’t be prouder of the accomplishments of the entire Skechers organization and appreciative of our strong partnerships with our customers and growing roster of elite ambassadors, such as the recently signed Philadelphia 76ers basketball star Joel Embiid, as well as collaborations with distinguished brands such as John Deere. Team Skechers now includes numerous athletes competing on global stages, including Golden Boot winner, Euro Cup finalist and Captain of the England football team, Harry Kane; recently announced Skechers ambassador and 2022-2023 NBA most valuable player Joel Embiid, who is playing for the United States; British golfer Matt Fitzpatrick; Canadian golfer Brooke Henderson; Spanish race walker Diego Garcia and newly signed American beach volleyball players Andy Benesh and Miles Partain, who will be playing in Skechers branded uniforms. This diverse team of world class athletes and celebrities, including Martha Stewart and Snoop Dogg, drive awareness and purchase intent for Skechers. Our first commercial featuring Harry Kane aired during the second quarter, and we recently completed several new campaigns featuring him alongside former UK footballer and Skechers ambassador Jamie Redknapp and superstar Snoop Dogg, who will be a broadcast commentator in Paris. Additionally, our football footwear launched globally this month, Skechers x John Deere is launching next month, and basketball footwear will be released globally in August. We are committed to strategically delivering comfort footwear and apparel for all walks of life, supporting our vast offering with targeted marketing, and building our in-store presence globally.”

Second Quarter 2024 Financial Results

 

 

Three Months Ended June 30,

 

 

Change

 

(in millions, except per share data)

 

2024

 

 

2023

 

 

$

 

 

%

 

Sales

 

$

2,157.6

 

 

$

2,012.5

 

 

 

145.1

 

 

 

7.2

 

Gross profit

 

 

1,184.4

 

 

 

1,060.5

 

 

 

123.9

 

 

 

11.7

 

Gross margin

 

 

54.9

%

 

 

52.7

%

 

 

 

 

220 bps

 

Operating expenses

 

 

977.9

 

 

 

842.8

 

 

 

135.1

 

 

 

16.0

 

As a % of sales

 

 

45.3

%

 

 

41.9

%

 

 

 

 

340 bps

 

Earnings from operations

 

 

206.5

 

 

 

217.7

 

 

 

(11.2

)

 

 

(5.1

)

Operating margin

 

 

9.6

%

 

 

10.8

%

 

 

 

 

 

(120) bps

 

Net earnings attributable to Skechers U.S.A., Inc.

 

 

140.3

 

 

 

152.8

 

 

 

(12.5

)

 

 

(8.2

)

Diluted earnings per share

 

$

0.91

 

 

$

0.98

 

 

 

(0.07

)

 

 

(7.1

)

Second quarter sales increased 7.2% as a result of a 6.9% increase internationally and a 7.7% increase domestically. Direct-to-Consumer increased 9.2% and Wholesale increased 5.5%. On a constant currency basis, sales increased 8.7%.

Wholesale sales grew $59.1 million, or 5.5%, including increases in AMER of 10.3% and EMEA of 3.9%, partially offset by a decrease in APAC of 2.6%. Wholesale volume increased 6.4% and average selling price declined 0.8%.

Direct-to-Consumer sales grew $86.0 million, or 9.2%, including increases in EMEA of 40.6%, AMER of 4.1%, and APAC of 5.8%. Direct-to-Consumer volume increased 10.2% and average selling price decreased 1.0%.

Gross margin was 54.9%, an increase of 220 basis points, primarily due to lower costs per unit, driven by lower freight and favorable mix of Direct-to-Consumer volumes.

Operating expenses increased $135.1 million, or 16.0%, and as a percentage of sales increased 340 basis points to 45.3%. Selling expenses increased $48.8 million, or 26.1%, and as a percentage of sales increased 160 basis points to 10.9%. The increase was due to higher demand creation expenditures. General and administrative expenses increased $86.4 million, or 13.2%, and as a percentage of sales increased 180 basis points to 34.4%. Increased expenses were primarily driven by increased labor and facility costs, including rent and depreciation.

Earnings from operations decreased $11.2 million, or 5.1%, to $206.5 million.

Net earnings were $140.3 million and diluted earnings per share were $0.91 compared with prior year net earnings of $152.8 million and diluted earnings per share of $0.98.

In the second quarter, the Company’s effective income tax rate was 19.7%.

“In the face of significant operational and foreign exchange headwinds, Skechers delivered meaningful sales growth during the quarter, demonstrating the strength of our brand as the comfort technology leader,” stated John Vandemore, Chief Financial Officer of Skechers. “Demand for our innovative and diverse product portfolio remains robust, leading us to raise both sales and earnings expectations for the full year. We remain committed to and confident of achieving our long-term target of $10 billion in sales by 2026 and, with a new $1 billion share repurchase authorization, continuing to return cash to shareholders in a disciplined manner.”

Six Months 2024 Financial Results

 

 

Six Months Ended June 30,

 

 

Change

 

(in millions, except per share data)

 

2024

 

 

2023

 

 

$

 

 

%

 

Sales

 

$

4,409.2

 

 

$

4,014.4

 

 

 

394.8

 

 

 

9.8

 

Gross profit

 

 

2,366.1

 

 

 

2,039.1

 

 

 

327.0

 

 

 

16.0

 

Gross margin

 

 

53.7

%

 

 

50.8

%

 

 

 

 

290 bps

 

Operating expenses

 

 

1,860.7

 

 

 

1,597.8

 

 

 

262.9

 

 

 

16.5

 

As a % of sales

 

 

42.2

%

 

 

39.8

%

 

 

 

 

240 bps

 

Earnings from operations

 

 

505.3

 

 

 

441.3

 

 

 

64.0

 

 

 

14.5

 

Operating margin

 

 

11.5

%

 

 

11.0

%

 

 

 

 

50 bps

 

Net earnings attributable to Skechers U.S.A., Inc.

 

 

346.9

 

 

 

313.2

 

 

 

33.7

 

 

 

10.8

 

Diluted earnings per share

 

$

2.24

 

 

$

2.00

 

 

 

0.24

 

 

 

12.0

 

Year-to-date sales increased 9.8%, reflecting an 11.1% increase in international sales and a 7.8% increase domestically. Direct-to-Consumer increased 12.7% and Wholesale increased 7.9%. On a constant currency basis, sales increased 11.0%.

Wholesale sales increased $186.2 million, or 7.9%, due to increases in AMER of 8.0%, EMEA of 8.4%, and APAC of 6.7%. Wholesale volume increased 8.3% and average selling price declined 0.4%.

Direct-to-Consumer sales grew $208.6 million, or 12.7%, due to increases in EMEA of 48.3%, APAC of 10.7%, and AMER of 6.8%. Direct-to-Consumer volume increased 12.5% and average selling price increased 0.2%.

Gross margin was 53.7%, an increase of 290 basis points, due to lower costs per unit, driven by lower freight.

Operating expenses increased $262.9 million or 16.5%. As a percentage of sales, operating expenses increased 240 basis points to 42.2%. Selling expenses increased $76.7 million or 24.3%, primarily due to higher global demand creation expenditures. General and administrative expenses increased $186.3 million or 14.5%, primarily driven by labor and increased facility costs, including rent and depreciation.

Earnings from operations increased $64.0 million to $505.3 million, resulting in an operating margin of 11.5%.

Net earnings were $346.9 million and diluted earnings per share were $2.24, an increase of 12.0% over the prior year.

The Company’s effective income tax rate was 19.3%.

Balance Sheet

Cash, cash equivalents and investments totaled $1.55 billion, an increase of $161.4 million, or 11.6% from December 31, 2023, due to earnings and proceeds from borrowings of $63.9 million, partially offset by capital expenditures of $169.5 million and $120.0 million of share repurchases.

Inventory was $1.51 billion, a decrease of $10.9 million or 0.7% from December 31, 2023.

Share Repurchase

During the second quarter, the Company repurchased 0.9 million shares of its Class A common stock at a cost of $60.0 million.

On July 23, 2024, the Company’s Board of Directors authorized a share repurchase program effective July 25, 2024, pursuant to which the Company may, from time to time, purchase shares of its Class A common stock, for an aggregate repurchase price not to exceed $1.0 billion. The new share repurchase program expires on July 25, 2027, and does not obligate the Company to acquire any particular amount of shares. The new share repurchase program replaces the previous share repurchase program authorized in 2022.

Outlook

For the third quarter of 2024, the Company believes it will achieve sales between $2.30 and $2.35 billion and diluted earnings per share of between $1.10 and $1.15. Further, the Company believes that for the fiscal year 2024, it will achieve sales between $8.875 and $8.975 billion and diluted earnings per share of between $4.08 and $4.18.

Store Count

 

 

Number of Stores

 

 

 

December 31, 2023

 

 

Opened

 

 

Closed

 

 

June 30, 2024

 

Domestic stores

 

 

563

 

 

 

25

 

 

 

(12

)

 

 

576

 

International stores

 

 

1,085

 

 

 

98

 

 

 

(57

)

 

 

1,126

 

Distributor, licensee and franchise stores

 

 

3,520

 

 

 

194

 

 

 

(149

)

 

 

3,565

 

Total Skechers stores

 

 

5,168

 

 

 

317

 

 

 

(218

)

 

 

5,267

 

Second Quarter 2024 Conference Call

The Company will host a conference call at 4:30 p.m. ET / 1:30 p.m. PT on July 25, 2024 to discuss its second quarter 2024 financial results. The call can be accessed on the Investor Relations section of the Company’s website at investors.skechers.com. For those unable to participate during the live broadcast, a replay will be available beginning July 25, 2024, at 7:30 p.m. ET, through August 8, 2024, at 11:59 p.m. ET. To access the replay, dial 844-512-2921 (U.S.) or 412-317-6671 (International) and use passcode: 13747211.

About Skechers U.S.A., Inc.

Skechers, The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com, other digital stores and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

Reference in this press release to “Sales” refers to Skechers’ net sales reported under GAAP. This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to` delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

SKECHERS U.S.A., INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(Unaudited)

 

 

As of

 

 

As of

 

(in thousands)

 

June 30, 2024

 

 

December 31, 2023

 

ASSETS

 

Current assets

 

 

 

 

 

 

Cash and cash equivalents

 

$

1,280,430

 

 

$

1,189,910

 

Short-term investments

 

 

130,111

 

 

 

72,595

 

Trade accounts receivable, net

 

 

1,027,231

 

 

 

860,300

 

Other receivables

 

 

77,921

 

 

 

82,253

 

Inventory

 

 

1,514,512

 

 

 

1,525,409

 

Prepaid expenses and other

 

 

223,819

 

 

 

222,137

 

Total current assets

 

 

4,254,024

 

 

 

3,952,604

 

Property, plant and equipment, net

 

 

1,587,433

 

 

 

1,506,690

 

Operating lease right-of-use assets

 

 

1,327,795

 

 

 

1,276,171

 

Deferred tax assets

 

 

435,404

 

 

 

450,574

 

Long-term investments

 

 

137,379

 

 

 

123,996

 

Goodwill

 

 

101,230

 

 

 

101,230

 

Other assets, net

 

 

131,686

 

 

 

136,086

 

Total non-current assets

 

 

3,720,927

 

 

 

3,594,747

 

TOTAL ASSETS

 

$

7,974,951

 

 

$

7,547,351

 

LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND STOCKHOLDERS’ EQUITY

 

Current liabilities

 

 

 

 

 

 

Accounts payable

 

$

1,176,668

 

 

$

1,008,001

 

Accrued expenses

 

 

305,144

 

 

 

320,105

 

Operating lease liabilities

 

 

286,535

 

 

 

274,296

 

Current installments of long-term borrowings

 

 

292,891

 

 

 

46,571

 

Short-term borrowings

 

 

 

 

 

11,894

 

Total current liabilities

 

 

2,061,238

 

 

 

1,660,867

 

Long-term operating lease liabilities

 

 

1,145,090

 

 

 

1,108,110

 

Long-term borrowings

 

 

45,702

 

 

 

242,944

 

Deferred tax liabilities

 

 

11,666

 

 

 

12,594

 

Other long-term liabilities

 

 

104,107

 

 

 

122,794

 

Total non-current liabilities

 

 

1,306,565

 

 

 

1,486,442

 

Total liabilities

 

 

3,367,803

 

 

 

3,147,309

 

Redeemable noncontrolling interest

 

 

93,576

 

 

 

89,832

 

Stockholders’ equity

 

 

 

 

 

 

Preferred Stock

 

 

 

 

 

 

Class A Common Stock

 

 

132

 

 

 

133

 

Class B Common Stock

 

 

20

 

 

 

20

 

Additional paid-in capital

 

 

178,148

 

 

 

295,847

 

Accumulated other comprehensive loss

 

 

(100,670

)

 

 

(73,388

)

Retained earnings

 

 

4,143,654

 

 

 

3,796,730

 

Skechers U.S.A., Inc. equity

 

 

4,221,284

 

 

 

4,019,342

 

Noncontrolling interests

 

 

292,288

 

 

 

290,868

 

Total stockholders’ equity

 

 

4,513,572

 

 

 

4,310,210

 

TOTAL LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND STOCKHOLDERS’ EQUITY

 

$

7,974,951

 

 

$

7,547,351

 

SKECHERS U.S.A., INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Earnings

(Unaudited)

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

(in thousands, except per share data)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Sales

 

$

2,157,643

 

 

$

2,012,516

 

 

$

4,409,230

 

 

$

4,014,444

 

Cost of sales

 

 

973,206

 

 

 

951,992

 

 

 

2,043,159

 

 

 

1,975,341

 

Gross profit

 

 

1,184,437

 

 

 

1,060,524

 

 

 

2,366,071

 

 

 

2,039,103

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

Selling

 

 

235,870

 

 

 

187,118

 

 

 

392,371

 

 

 

315,678

 

General and administrative

 

 

742,036

 

 

 

655,673

 

 

 

1,468,371

 

 

 

1,282,115

 

Total operating expenses

 

 

977,906

 

 

 

842,791

 

 

 

1,860,742

 

 

 

1,597,793

 

Earnings from operations

 

 

206,531

 

 

 

217,733

 

 

 

505,329

 

 

 

441,310

 

Other (expense) income

 

 

(1,652

)

 

 

2,792

 

 

 

(3,702

)

 

 

12,715

 

Earnings before income taxes

 

 

204,879

 

 

 

220,525

 

 

 

501,627

 

 

 

454,025

 

Income tax expense

 

 

40,355

 

 

 

38,942

 

 

 

96,725

 

 

 

82,158

 

Net earnings

 

 

164,524

 

 

 

181,583

 

 

 

404,902

 

 

 

371,867

 

Less: Net earnings attributable to noncontrolling interests and redeemable noncontrolling interest

 

 

24,222

 

 

 

28,824

 

 

 

57,978

 

 

 

58,665

 

Net earnings attributable to Skechers U.S.A., Inc.

 

$

140,302

 

 

$

152,759

 

 

$

346,924

 

 

$

313,202

 

Net earnings per share attributable to Skechers U.S.A., Inc.

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.92

 

 

$

0.99

 

 

$

2.27

 

 

$

2.02

 

Diluted

 

$

0.91

 

 

$

0.98

 

 

$

2.24

 

 

$

2.00

 

Weighted-average shares used in calculating net earnings per share attributable to Skechers U.S.A., Inc.

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

152,503

 

 

 

154,970

 

 

 

152,707

 

 

 

155,055

 

Diluted

 

 

154,176

 

 

 

156,571

 

 

 

154,640

 

 

 

156,654

 

SKECHERS U.S.A., INC. AND SUBSIDIARIES

Supplemental Financial Information

(Unaudited)

Segment Information

 

Three Months Ended June 30,

 

 

Change

 

(in millions)

 

2024

 

 

2023

 

 

$

 

 

%

 

Wholesale sales

 

$

1,132.1

 

 

$

1,073.0

 

 

 

59.1

 

 

 

5.5

 

Gross profit

 

 

496.9

 

 

 

431.5

 

 

 

65.4

 

 

 

15.2

 

Gross margin

 

 

43.9

%

 

 

40.2

%

 

 

 

 

370 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct-to-Consumer sales

 

$

1,025.5

 

 

$

939.5

 

 

 

86.0

 

 

 

9.2

 

Gross profit

 

 

687.5

 

 

 

629.0

 

 

 

58.5

 

 

 

9.3

 

Gross margin

 

 

67.0

%

 

 

66.9

%

 

 

 

 

10 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total sales

 

$

2,157.6

 

 

$

2,012.5

 

 

 

145.1

 

 

 

7.2

 

Gross profit

 

 

1,184.4

 

 

 

1,060.5

 

 

 

123.9

 

 

 

11.7

 

Gross margin

 

 

54.9

%

 

 

52.7

%

 

 

 

 

220 bps

 

 

Six Months Ended June 30,

 

 

Change

 

(in millions)

 

2024

 

 

2023

 

 

$

 

 

%

 

Wholesale sales

 

$

2,553.8

 

 

$

2,367.6

 

 

 

186.2

 

 

 

7.9

 

Gross profit

 

 

1,133.1

 

 

 

943.5

 

 

 

189.6

 

 

 

20.1

 

Gross margin

 

 

44.4

%

 

 

39.9

%

 

 

 

 

450 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct-to-Consumer sales

 

$

1,855.4

 

 

$

1,646.8

 

 

 

208.6

 

 

 

12.7

 

Gross profit

 

 

1,233.0

 

 

 

1,095.6

 

 

 

137.4

 

 

 

12.6

 

Gross margin

 

 

66.5

%

 

 

66.5

%

 

 

 

 

(10) bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total sales

 

$

4,409.2

 

 

$

4,014.4

 

 

 

394.8

 

 

 

9.8

 

Gross profit

 

 

2,366.1

 

 

 

2,039.1

 

 

 

327.0

 

 

 

16.0

 

Gross margin

 

 

53.7

%

 

 

50.8

%

 

 

 

 

290 bps

 

Additional Sales Information

 

Three Months Ended June 30,

 

 

Change

 

(in millions)

 

2024

 

 

2023

 

 

$

 

 

%

 

Geographic sales

 

 

 

 

 

 

 

 

 

 

 

 

Domestic

 

 

 

 

 

 

 

 

 

 

 

 

Wholesale

 

$

446.9

 

 

$

390.8

 

 

 

56.1

 

 

 

14.4

 

Direct-to-Consumer

 

 

416.9

 

 

 

411.1

 

 

 

5.8

 

 

 

1.4

 

Total domestic sales

 

 

863.8

 

 

 

801.9

 

 

 

61.9

 

 

 

7.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

International

 

 

 

 

 

 

 

 

 

 

 

 

Wholesale

 

 

685.2

 

 

 

682.2

 

 

 

3.0

 

 

 

0.4

 

Direct-to-Consumer

 

 

608.6

 

 

 

528.4

 

 

 

80.2

 

 

 

15.2

 

Total international sales

 

 

1,293.8

 

 

 

1,210.6

 

 

 

83.2

 

 

 

6.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total sales

 

$

2,157.6

 

 

$

2,012.5

 

 

 

145.1

 

 

 

7.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Regional sales

 

 

 

 

 

 

 

 

 

 

 

 

Americas (AMER)

 

$

1,100.9

 

 

$

1,027.0

 

 

 

73.9

 

 

 

7.2

 

Europe, Middle East & Africa (EMEA)

 

 

492.5

 

 

 

433.3

 

 

 

59.2

 

 

 

13.7

 

Asia Pacific (APAC)

 

 

564.2

 

 

 

552.2

 

 

 

12.0

 

 

 

2.2

 

Total sales

 

$

2,157.6

 

 

$

2,012.5

 

 

 

145.1

 

 

 

7.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

China sales

 

$

312.7

 

 

$

302.4

 

 

 

10.3

 

 

 

3.4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Distributor sales

 

$

112.8

 

 

$

99.8

 

 

 

13.0

 

 

 

13.0

 

 

Six Months Ended June 30,

 

 

Change

 

(in millions)

 

2024

 

 

2023

 

 

$

 

 

%

 

Geographic sales

 

 

 

 

 

 

 

 

 

 

 

 

Domestic

 

 

 

 

 

 

 

 

 

 

 

 

Wholesale

 

$

922.9

 

 

$

832.7

 

 

 

90.2

 

 

 

10.8

 

Direct-to-Consumer

 

 

739.7

 

 

 

710.0

 

 

 

29.7

 

 

 

4.2

 

Total domestic sales

 

 

1,662.6

 

 

 

1,542.7

 

 

 

119.9

 

 

 

7.8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

International

 

 

 

 

 

 

 

 

 

 

 

 

Wholesale

 

 

1,630.9

 

 

 

1,534.9

 

 

 

96.0

 

 

 

6.3

 

Direct-to-Consumer

 

 

1,115.7

 

 

 

936.8

 

 

 

178.9

 

 

 

19.1

 

Total international sales

 

 

2,746.6

 

 

 

2,471.7

 

 

 

274.9

 

 

 

11.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total sales

 

$

4,409.2

 

 

$

4,014.4

 

 

 

394.8

 

 

 

9.8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Regional sales

 

 

 

 

 

 

 

 

 

 

 

 

Americas (AMER)

 

$

2,120.4

 

 

$

1,972.9

 

 

147.5

 

 

 

7.5

 

Europe, Middle East & Africa (EMEA)

 

 

1,120.2

 

 

 

967.8

 

 

 

152.4

 

 

 

15.7

 

Asia Pacific (APAC)

 

 

1,168.6

 

 

 

1,073.7

 

 

 

94.9

 

 

 

8.8

 

Total sales

 

$

4,409.2

 

 

$

4,014.4

 

 

 

394.8

 

 

 

9.8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

China sales

 

$

632.3

 

 

$

584.4

 

 

 

47.9

 

 

 

8.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Distributor sales

 

$

238.7

 

 

$

203.8

 

 

 

34.9

 

 

 

17.2

 

SKECHERS U.S.A., INC. AND SUBSIDIARIES

Reconciliation of GAAP Earnings Financial Measures to Corresponding Non-GAAP Financial Measures

(Unaudited)

Constant Currency Adjustment (Non-GAAP Financial Measure)

We evaluate our results of operations on both an as reported and a constant currency basis. The constant currency presentation, which is a non-GAAP measure, excludes the impact of period-over-period fluctuations in foreign currency exchange rates. We believe providing constant currency information provides valuable supplemental information regarding our results of operations, thereby facilitating period-to-period comparisons of our business performance and is consistent with how management evaluates the Company’s performance. We calculate constant currency percentages by converting our current period local currency financial results using the prior-period exchange rates and comparing these adjusted amounts to our prior period reported results.

 

 

Three Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

Change

 

(in millions, except per share data)

 

Reported GAAP Measure

 

 

Constant Currency Adjustment

 

 

Adjusted for Non-GAAP Measures

 

 

Reported GAAP Measure

 

 

$

 

 

%

 

Sales

 

$

2,157.6

 

 

$

29.3

 

 

$

2,186.9

 

 

$

2,012.5

 

 

 

174.4

 

 

 

8.7

 

Cost of sales

 

 

973.2

 

 

 

11.3

 

 

 

984.5

 

 

 

952.0

 

 

 

32.5

 

 

 

3.4

 

Gross profit

 

 

1,184.4

 

 

 

18.0

 

 

 

1,202.4

 

 

 

1,060.5

 

 

 

141.9

 

 

 

13.4

 

Operating expenses

 

 

977.9

 

 

 

12.8

 

 

 

990.7

 

 

 

842.8

 

 

 

147.9

 

 

 

17.5

 

Earnings from operations

 

 

206.5

 

 

 

5.2

 

 

 

211.7

 

 

 

217.7

 

 

 

(6.0

)

 

 

(2.8

)

Other (expense) income

 

 

(1.6

)

 

 

6.0

 

 

 

4.4

 

 

 

2.8

 

 

 

1.6

 

 

 

57.1

 

Income tax expense

 

 

40.4

 

 

 

0.7

 

 

 

41.1

 

 

 

38.9

 

 

 

2.2

 

 

 

5.6

 

Less: Noncontrolling interests and redeemable noncontrolling interest

 

 

24.2

 

 

 

0.7

 

 

 

24.9

 

 

 

28.8

 

 

 

(3.9

)

 

 

(13.7

)

Net earnings attributable to Skechers U.S.A., Inc.

 

$

140.3

 

 

$

9.8

 

 

$

150.1

 

 

$

152.8

 

 

 

(2.7

)

 

 

(1.8

)

Diluted earnings per share

 

$

0.91

 

 

$

0.06

 

 

$

0.97

 

 

$

0.98

 

 

 

(0.01

)

 

 

(1.0

)

 

 

Six Months Ended June 30,

 

 

 

2024

 

 

2023

 

 

Change

 

(in millions, except per share data)

 

Reported GAAP Measure

 

 

Constant Currency Adjustment

 

 

Adjusted for Non-GAAP Measures

 

 

Reported GAAP Measure

 

 

$

 

 

%

 

Sales

 

$

4,409.2

 

 

$

47.6

 

 

$

4,456.8

 

 

$

4,014.4

 

 

 

442.4

 

 

 

11.0

 

Cost of sales

 

 

2,043.1

 

 

 

18.4

 

 

 

2,061.5

 

 

 

1,975.3

 

 

 

86.2

 

 

 

4.4

 

Gross profit

 

 

2,366.1

 

 

 

29.2

 

 

 

2,395.3

 

 

 

2,039.1

 

 

 

356.2

 

 

 

17.5

 

Operating expenses

 

 

1,860.7

 

 

 

21.5

 

 

 

1,882.2

 

 

 

1,597.8

 

 

 

284.4

 

 

 

17.8

 

Earnings from operations

 

 

505.3

 

 

 

7.8

 

 

 

513.1

 

 

 

441.3

 

 

 

71.8

 

 

 

16.3

 

Other (expense) income

 

 

(3.7

)

 

 

10.4

 

 

 

6.7

 

 

 

12.8

 

 

 

(6.1

)

 

 

(47.7

)

Income tax expense

 

 

96.7

 

 

 

1.4

 

 

 

98.1

 

 

 

82.2

 

 

 

15.9

 

 

 

19.4

 

Less: Noncontrolling interests and redeemable noncontrolling interest

 

 

58.0

 

 

 

1.7

 

 

 

59.7

 

 

 

58.7

 

 

 

1.0

 

 

 

1.7

 

Net earnings attributable to Skechers U.S.A., Inc.

 

$

346.9

 

 

$

15.1

 

 

$

362.0

 

 

$

313.2

 

 

 

48.8

 

 

 

15.6

 

Diluted earnings per share

 

$

2.24

 

 

$

0.10

 

 

$

2.34

 

 

$

2.00

 

 

 

0.34

 

 

 

17.0

 

 

Investor Relations

Sonia Reback

Eunice Han

[email protected]

Press

Jennifer Clay

[email protected]

Source: Skechers U.S.A., Inc.

Beach Volleyball Pros Andy Benesh and Miles Partain Join Skechers Roster

Beach Volleyball Pros Andy Benesh and Miles Partain Join Skechers Roster

Jul 16, 2024 • 2:53 pm EDT

Elite Athletes to Compete in Skechers Apparel in Paris

LOS ANGELES–(BUSINESS WIRE)–
Skechers will be hitting the sand in the City of Lights as American beach volleyball pros Andy Benesh and Miles Partain compete for a medal and glory in the brand’s performance apparel and headwear. Their new game-day uniforms include Skechers-branded hats, tank tops and shorts crafted with innovative and comfortable Skechers performance materials.

Beach Volleyball Pros Andy Benesh and Miles Partain Join Skechers Roster

Andy Benesh and Miles Partain in their Skechers-branded uniforms. (Photo: Business Wire)

Andy Benesh and Miles Partain in their Skechers-branded uniforms. (Photo: Business Wire)

“I was raised and played volleyball in LA’s South Bay, steps from where Skechers is based. Having grown up with the brand, it’s fitting that I am taking them with me to Paris and competing for the first time on this global stage,” said Andy Benesh. “Skechers complements our unique style of play perfectly where comfort and performance are key, and they also embody the drive for excellence.”

“It’s amazing to be partnering with a well-respected global brand like Skechers, and it’s a bonus that they understand the beach lifestyle so well,” added Miles Partain. “Their team has been receptive to all our ideas and Skechers is known for comfort—you have to feel good on the sand if you’re going to perform your best, so this was an easy choice for us.”

“Skechers’ headquarters is up the street from where the best beach volleyball players in the world compete at the Manhattan Beach Open every summer. It’s a sport we have been involved with and know well. This partnership marks the first time we are truly a part of beach volleyball through Skechers apparel,” added Michael Greenberg, president of Skechers. “We are honored to be on the sand with two talented athletes who are competing for the first time in these games. We’re working with Andy and Miles to deliver apparel with the same comfort that performs as our footwear that is loved by elite athletes in basketball, soccer and more sports around the world. We look forward to being part of their journey in Paris and beyond.”

Andy Benesh grew up in Rancho Palos Verdes, CA and started playing indoor volleyball at USC before transitioning to the beach in 2018 when he qualified for the AVP draw for the first time. He’s had multiple legendary partners in his first four years in the league before teaming up with Miles Partain. Miles Partain from Pacific Palisades, CA will be the youngest beach volleyball athlete (age 22) to ever represent the United States at the games. Miles is currently on the UCLA Men’s Volleyball team and also on the AVP tour where he was the 2019 AVP rookie of the year and 2022 AVP offensive player of the year. Notable finishes for the pair include gold at the 2023 Gstaad Elite 16 and 2022 BPT Dubai Challenge, and Bronze at the 2023 NORCECA Beach Tour Finals.

Also competing in Paris in Skechers will be golfers Matt Fitzpatrick and Brooke Henderson. Additionally beyond the games, the Skechers team of elite athletes competing in the brand’s performance footwear includes NBA stars Julius Randle and Terance Mann; footballers Harry Kane, Anthony Elanga, Oleksandr Zinchenko, and Mohammed Kudus; Major League Baseball players Clayton Kershaw, Chris Taylor, Brendan Donovan, Aaron Nola, and Wade Miley; and pickleball pros Tyson McGuffin and Catherine Parenteau.

About SKECHERS U.S.A., Inc.

Skechers (NYSE:SKX), The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to the COVID-19 pandemic; delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States, and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors associated with the COVID-19 pandemic into consideration, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

Jennifer Clay

SKECHERS U.S.A., Inc.

[email protected]

Source: SKECHERS U.S.A., Inc.

Skechers Brings Harry Kane’s Soccer Boots to the United States

Skechers Brings Harry Kane’s Soccer Boots to the United States

Jul 9, 2024 • 9:15 am EDT

Worn By Elite Players Around the World, Skechers Soccer Offers Innovative Footwear Built for Speed and Control on the Pitch

LOS ANGELES–(BUSINESS WIRE)–
Americans can now play in Harry Kane’s soccer boots! After a successful European debut with Bayern Munich striker and Golden Boot winner Kane and Premier League athletes competing in Skechers Soccer boots, the brand enters its second season on the pitch expanding to markets around the world with a growing range of boots led by the new Skechers Evolution pack.

Skechers Brings Harry Kane’s Soccer Boots to the United States

SKX_01 and Skechers Razor boots from the new Skechers Evolution Pack. (Photo: Business Wire)

SKX_01 and Skechers Razor boots from the new Skechers Evolution Pack. (Photo: Business Wire)

The Skechers Soccer range includes three Elite styles available for men and women. The Skechers Razor is a lightweight speed boot with an explosive track-inspired design to maximize acceleration and energy return. It features a carbon-infused soleplate for responsive power and agility during play. The SKX_01 is ideal for striking the ball with a custom last meticulously crafted to optimize comfort and deliver a perfect fit for enhancing touch on the field. Both boots are available in standard low-profile with the SKX_01 also available in a high-top version.

“We started with great ambitions last summer launching Skechers Football in Europe with Harry Kane—who earned the Golden Boot in our shoes this past season—and now we’re bringing our incredible offering to football-loving markets worldwide as part of our global expansion,” said Michael Greenberg, president of Skechers. “Harry, along with our entire team of elite athletes, illustrate how many of the best and brightest players in the world want to wear Comfort That Performs. Skechers Football (Soccer) boots offer innovation, performance and comfort that is unmatched on the pitch. And as we continue to grow our roster and expand the reach of the collection, we’re introducing an expanded range of boots with Academy and Youth styles this summer—a true evolution for Skechers Football one year from launching.”

Beyond the Elite styles, Skechers will soon introduce a new line of entry boots perfect for all levels of play with maximized performance and comfort; as well as Youth and Kids boots for the next generation of players that want to emulate their favorite stars, featuring an adaptable fit and enhanced comfort in every pair. Both ranges will be available in both firm ground and turf styles.

Skechers Soccer launched at the start of the 2023/24 season when the brand signed Harry Kane as the first pro to compete in the boot. Skechers has since expanded its roster with a number of Premier League athletes including the just-signed West Ham United and Ghana National Team winger Mohammed Kudus, Arsenal and Ukrainian National Team defender Oleksandr Zinchenko, Nottingham Forest and Swedish National Team forward Anthony Elanga, as well as additional men’s and women’s professional athletes globally.

Beyond soccer, the Skechers team of elite athletes competing in the brand’s performance footwear includes NBA stars Julius Randle and Terance Mann; golfers Matt Fitzpatrick and Brooke Henderson; Major League Baseball players Clayton Kershaw, Chris Taylor, Brendan Donovan, Aaron Nola, and Wade Miley; and pickleball pros Tyson McGuffin and Catherine Parenteau.

The Skechers Soccer collection is available at Skechers websites, select Skechers retail stores, as well as specialty football retailers worldwide. Soccer fans can get behind-the-scenes access to Skechers Soccer product launches and more by following @skechersfootball on Instagram and TikTok.

About SKECHERS U.S.A., Inc.

Skechers (NYSE:SKX), The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to the COVID-19 pandemic; delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States, and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors associated with the COVID-19 pandemic into consideration, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

Media Contact:

Jennifer Clay

SKECHERS U.S.A., Inc.

[email protected]

Source: Skechers

Footballer Mohammed Kudus Signs With Skechers

Footballer Mohammed Kudus Signs With Skechers

Jul 4, 2024 • 9:00 am EDT

West Ham United and Ghana National Team Winger Competing in Skechers Football Boots with the New Evolution Pack Now Taking the Brand Global

LONDON–(BUSINESS WIRE)–
Skechers brings more strength to the pitch by adding West Ham United and Ghana National Team winger Mohammed Kudus to its roster of elite players competing in Skechers Football boots. Known to fans by his nickname Star Boy, Kudus had already been seen playing in Skechers Razor—the innovative speed boot that offers agility, comfort and touch—and is now signed on as a Skechers athlete set to appear in multiplatform marketing campaigns supporting Skechers Football.

Footballer Mohammed Kudus Signs With Skechers

Mohammed Kudus ready to hit the pitch in his Skechers Razor football boots from the new Evolution Pack. (Photo: Business Wire)

Mohammed Kudus ready to hit the pitch in his Skechers Razor football boots from the new Evolution Pack. (Photo: Business Wire)

Kudus joins Team Skechers as the Company drops the Evolution Pack. The striking new colorway arrives just in time to celebrate a year since Skechers Football first entered the pitch and marks the brand’s expansion to the global market where players around the world will have access to its signature Comfort That Performs for the first time. Part of the brand’s fast evolution in the sport are the elite players who have made Skechers part of their game, including Harry Kane—who is currently competing in Skechers Football boots at the UEFA Euro 2024.

“I’ve been testing and competing in the Skechers Razor for a while now and it’s evident to me that this is the best and most comfortable boot I’ve ever worn,” said Mohammed Kudus. “It’s the right time to make it official with Skechers, and I look forward to working with their team to help introduce this incredible brand to more players as they take Skechers Football around the world.”

After developing his talent at an academy in Ghana, Kudus made his professional debut at age 18 with Danish club Nordsjælland. He later hit the global stage signing with Eredivisie club Ajax where he scored 17 goals before moving to Premier League club West Ham United in 2023. On the international stage, Kudus has scored 11 goals through 32 appearances with Ghana since 2019. His accolades include Eredivisie Team of the Month four times, and CAF (Confederation of African Football) Team of the Year as well as Ghana Footballer of the Year in 2023.

“Mohammed Kudus is a sensational player loved by fans around the world, and at age 23 is already known for his talent on the pitch, so he’s the ideal athlete for Skechers,” added Greg Smith, VP of Product Development and Merchandising for Skechers Performance. “Along with Harry Kane and our entire team of elite athletes, it’s clear that many of the best and brightest players in the world want to wear comfort that performs. Skechers Football boots offer innovation, performance and comfort that is unmatched on the pitch. As we grow our roster, we’re introducing an expanded range of boots with Academy and Youth styles this summer—a true evolution for Skechers Football going into our second season on the pitch.”

The Skechers Football range includes three Elite styles available in multiple colorways for men and women including the new Evolution Pack. The Skechers Razor is a lightweight speed boot with an explosive track-inspired design to maximize acceleration and energy return. It features a carbon-infused soleplate for responsive power and agility during play. The SKX_01 is ideal for striking the ball with a custom last meticulously crafted to optimize comfort and deliver a perfect fit for enhancing touch on the field. Both boots are available in standard low-profile with the SKX_01 also available in a high-top version.

Beyond the Elite styles, Skechers will soon introduce a new line of entry boots perfect for all levels of play with maximized performance and comfort; as well as Youth and Kids boots for the next generation of players that want to emulate their favorite stars, featuring an adaptable fit and enhanced comfort in every pair. Both ranges will be available in firm ground and turf styles.

Skechers Football launched at the start of the 2023/24 season when the brand signed Bayern Munich striker Harry Kane as the first pro to compete in the boot. Skechers has since expanded its roster with a number of Premier League athletes including Arsenal and Ukrainian National Team defender Oleksandr Zinchenko, Nottingham Forest and Swedish National Team forward Anthony Elanga, as well as additional men’s and women’s professional athletes globally.

Beyond football, the Skechers team of elite athletes competing in the brand’s performance footwear includes NBA stars Joel Embiid, Julius Randle and Terance Mann; golfers Matt Fitzpatrick and Brooke Henderson; Major League Baseball players Clayton Kershaw, Chris Taylor, Brendan Donovan, Aaron Nola, and Wade Miley; and pickleball pros Tyson McGuffin and Catherine Parenteau.

The Skechers Football collection is available at Skechers websites, select Skechers retail stores, as well as specialty football retailers worldwide. Football fans can get behind-the-scenes access to Skechers Football product launches and more by following @skechersfootball on Instagram and TikTok.

About SKECHERS U.S.A., Inc.

Skechers (NYSE:SKX), The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to the COVID-19 pandemic; delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States, and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors associated with the COVID-19 pandemic into consideration, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

Jennifer Clay

SKECHERS U.S.A., Inc.

[email protected]

Petra Kereem

Skechers USA Ltd.

[email protected]

+44 (0) 1707 655 955

Source: Skechers U.S.A., Inc.

Footballer Mohammed Kudus Signs With Skechers

Footballer Mohammed Kudus Signs With Skechers

Jul 4, 2024 • 9:00 am EDT

West Ham United and Ghana National Team Winger Competing in Skechers Football Boots with the New Evolution Pack Now Taking the Brand Global

LONDON–(BUSINESS WIRE)–
Skechers brings more strength to the pitch by adding West Ham United and Ghana National Team winger Mohammed Kudus to its roster of elite players competing in Skechers Football boots. Known to fans by his nickname Star Boy, Kudus had already been seen playing in Skechers Razor—the innovative speed boot that offers agility, comfort and touch—and is now signed on as a Skechers athlete set to appear in multiplatform marketing campaigns supporting Skechers Football.

Footballer Mohammed Kudus Signs With Skechers

Mohammed Kudus ready to hit the pitch in his Skechers Razor football boots from the new Evolution Pack. (Photo: Business Wire)

Mohammed Kudus ready to hit the pitch in his Skechers Razor football boots from the new Evolution Pack. (Photo: Business Wire)

Kudus joins Team Skechers as the Company drops the Evolution Pack. The striking new colorway arrives just in time to celebrate a year since Skechers Football first entered the pitch and marks the brand’s expansion to the global market where players around the world will have access to its signature Comfort That Performs for the first time. Part of the brand’s fast evolution in the sport are the elite players who have made Skechers part of their game, including Harry Kane—who is currently competing in Skechers Football boots at the UEFA Euro 2024.

“I’ve been testing and competing in the Skechers Razor for a while now and it’s evident to me that this is the best and most comfortable boot I’ve ever worn,” said Mohammed Kudus. “It’s the right time to make it official with Skechers, and I look forward to working with their team to help introduce this incredible brand to more players as they take Skechers Football around the world.”

After developing his talent at an academy in Ghana, Kudus made his professional debut at age 18 with Danish club Nordsjælland. He later hit the global stage signing with Eredivisie club Ajax where he scored 17 goals before moving to Premier League club West Ham United in 2023. On the international stage, Kudus has scored 11 goals through 32 appearances with Ghana since 2019. His accolades include Eredivisie Team of the Month four times, and CAF (Confederation of African Football) Team of the Year as well as Ghana Footballer of the Year in 2023.

“Mohammed Kudus is a sensational player loved by fans around the world, and at age 23 is already known for his talent on the pitch, so he’s the ideal athlete for Skechers,” added Greg Smith, VP of Product Development and Merchandising for Skechers Performance. “Along with Harry Kane and our entire team of elite athletes, it’s clear that many of the best and brightest players in the world want to wear comfort that performs. Skechers Football boots offer innovation, performance and comfort that is unmatched on the pitch. As we grow our roster, we’re introducing an expanded range of boots with Academy and Youth styles this summer—a true evolution for Skechers Football going into our second season on the pitch.”

The Skechers Football range includes three Elite styles available in multiple colorways for men and women including the new Evolution Pack. The Skechers Razor is a lightweight speed boot with an explosive track-inspired design to maximize acceleration and energy return. It features a carbon-infused soleplate for responsive power and agility during play. The SKX_01 is ideal for striking the ball with a custom last meticulously crafted to optimize comfort and deliver a perfect fit for enhancing touch on the field. Both boots are available in standard low-profile with the SKX_01 also available in a high-top version.

Beyond the Elite styles, Skechers will soon introduce a new line of entry boots perfect for all levels of play with maximized performance and comfort; as well as Youth and Kids boots for the next generation of players that want to emulate their favorite stars, featuring an adaptable fit and enhanced comfort in every pair. Both ranges will be available in firm ground and turf styles.

Skechers Football launched at the start of the 2023/24 season when the brand signed Bayern Munich striker Harry Kane as the first pro to compete in the boot. Skechers has since expanded its roster with a number of Premier League athletes including Arsenal and Ukrainian National Team defender Oleksandr Zinchenko, Nottingham Forest and Swedish National Team forward Anthony Elanga, as well as additional men’s and women’s professional athletes globally.

Beyond football, the Skechers team of elite athletes competing in the brand’s performance footwear includes NBA stars Joel Embiid, Julius Randle and Terance Mann; golfers Matt Fitzpatrick and Brooke Henderson; Major League Baseball players Clayton Kershaw, Chris Taylor, Brendan Donovan, Aaron Nola, and Wade Miley; and pickleball pros Tyson McGuffin and Catherine Parenteau.

The Skechers Football collection is available at Skechers websites, select Skechers retail stores, as well as specialty football retailers worldwide. Football fans can get behind-the-scenes access to Skechers Football product launches and more by following @skechersfootball on Instagram and TikTok.

About SKECHERS U.S.A., Inc.

Skechers (NYSE:SKX), The Comfort Technology Company® based in Southern California, designs, develops and markets a diverse range of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in 180 countries and territories through department and specialty stores, and direct to consumers through skechers.com and approximately 5,200 Skechers retail stores. A Fortune 500® company, Skechers manages its international business through a network of wholly-owned subsidiaries, joint venture partners, and distributors. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and TikTok.

This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may include, without limitation, Skechers’ future domestic and international growth, financial results and operations including expected net sales and earnings, its development of new products, future demand for its products, its planned domestic and international expansion, opening of new stores and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan,” “project,” “will,” “could,” “may,” “might,” or any variations of such words with similar meanings. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in forward-looking statements. Factors that might cause or contribute to such differences include the disruption of business and operations due to the COVID-19 pandemic; delays or disruptions in our supply chain; international economic, political and market conditions including the effects of inflation and foreign currency exchange rate fluctuations around the world, the challenging consumer retail markets in the United States, and the impact of wars, acts of war and other conflicts around the world; sustaining, managing and forecasting costs and proper inventory levels; losing any significant customers; decreased demand by industry retailers and cancellation of order commitments due to the lack of popularity of particular designs and/or categories of products; maintaining brand image and intense competition among sellers of footwear for consumers, especially in the highly competitive performance footwear market; anticipating, identifying, interpreting or forecasting changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday selling seasons; and other factors referenced or incorporated by reference in Skechers’ annual report on Form 10-K for the year ended December 31, 2023 and its quarterly reports on Form 10-Q in 2024. Taking these and other risk factors associated with the COVID-19 pandemic into consideration, the dynamic nature of these circumstances means that what is stated in this press release could change at any time, and as a result, actual results could differ materially from those contemplated by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a very competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all such risk factors, nor can we assess the impact of all such risk factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements as a prediction of actual results. Moreover, reported results should not be considered an indication of future performance.

Jennifer Clay

SKECHERS U.S.A., Inc.

[email protected]

Petra Kereem

Skechers USA Ltd.

[email protected]

+44 (0) 1707 655 955

Source: Skechers U.S.A., Inc.