by Zach | Sep 28, 2021 | Press Release
Sep 28, 2021 • 11:55 am EDT
Skechers ambassador Jamie Redknapp in his Skechers Arch Fit campaign.
LONDON—28 September 2021—Skechers USA Ltd., a subsidiary of Skechers USA, Inc., The Comfort Technology Company™, today announced that Skechers has been recognized as Men’s Footwear Brand of the Year at the Drapers Footwear Awards 2021. Skechers was praised by the panel of expert judges as aspirational and appealing to younger consumers, a reflection of the brand’s successful campaign with ambassador Jamie Redknapp and its strong presence in the United Kingdom.
“We’re thrilled to have been recognized for our entire men’s footwear division,” said Peter Youell, managing director of Skechers UK & Ireland. “To win the Drapers Men’s Footwear Brand of The Year award is a testament to the work that has gone behind growing this category in our market. From strengthening our e-commerce business to reaching even more consumers through Jamie Redknapp, our men’s division has had a truly impactful year.”
Marvin Bernstein, managing partner of Skechers S.à.r.l., added: “In normal and in challenging times, we have remained committed to offering the highest level of comfort, style, innovation and quality to consumers, marketing that resonates, and top-notch customer service support. This prestigious Drapers award for our men’s division is the result of our efforts. We look forward to launching our next Jamie Redknapp campaign, and building on this success.”
The results of the Drapers Footwear Awards 2021 were revealed at an industry ceremony on 23 September at the Hilton London Bankside. Drapers Footwear Awards 2021 celebrates the brands and retailers that have gone above and beyond to protect their staff, work with their suppliers and partners to maintain business continuity and serve their customers and communities throughout the coronavirus crisis. Drapers Magazine is the market-leading title offering unparalleled access to the UK fashion market, and the Drapers Footwear Awards are the most respected and prestigious in the footwear retail industry. In 2019 and 2020, Skechers was recognized by Drapers as Women’s Brand of the Year.
Celebrity product endorsees for Skechers’ collections include fitness expert and entrepreneur Brooke Burke and legendary athletes like Jamie Redknapp, Tony Romo, Jon Gruden, Clayton Kershaw, Sugar Ray Leonard and Howie Long; elite runners Meb Keflezighi and Ed Cheserek; and pro golfers Colin Montgomerie, Brooke Henderson and Billy Andrade.
About Skechers USA Ltd. and Skechers USA, Inc.
Skechers USA Ltd. is a subsidiary of Skechers USA, Inc. (NYSE:SKX), The Comfort Technology Company based in Southern California. Skechers 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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company- and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram and Twitter.
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of 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 be,” “will continue,” “will result,” “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; international economic, political and market conditions including the challenging consumer retail markets in the United States; 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, 2020 and its quarterly report on Form 10-Q for the three months ended June 30, 2021. More specifically, the COVID-19 pandemic has had and is currently having a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements with respect to the COVID-19 pandemic include, without limitation, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty about the COVID-19 pandemic, including without limitation, (i) the duration and extent of the impact of the pandemic, (ii) governmental responses to the pandemic, including how such responses could impact Skechers’ business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers’ actions taken in response to these risks, and (iv) Skechers’ ability to effectively and timely adjust its plans in response to the rapidly changing retail and economic environment. 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.
by Zach | Sep 23, 2021 | Press Release
Sep 23, 2021 • 4:05 pm EDT
LOS ANGELES–(BUSINESS WIRE)–
SKECHERS USA, Inc. (NYSE:SKX), The Comfort Technology Company™, and a global footwear leader, today announced a change to its fireside chat time. John Vandemore, Chief Financial Officer, will participate in a virtual fireside chat at the Morgan Stanley Global Sporting Goods Day on Tuesday, September 28, 2021 at 4:00 a.m. PT / 7:00 a.m. ET.
The audio portion of the virtual fireside chat will be available live and on replay for 90 days at investors.skechers.com.
About SKECHERS USA, 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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company- and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitter, and TikTok.
Investor Relations: Andrew Greenebaum
Addo Investor Relations
[email protected]
Press: Jennifer Clay
Skechers
Vice President, Corporate Communications
(310) 937-1326
Source: SKECHERS USA, Inc.
by Zach | Sep 9, 2021 | Press Release
Sep 9, 2021 • 4:00 am EDT
Skechers was Official Footwear Supplier for Both European and United States Teams with Skechers GO GOLF® Footwear Designs in Team Colors
LOS ANGELES–(BUSINESS WIRE)–
Either result would have been a win for Skechers, as the Comfort Technology Company™ was earlier this year named official footwear supplier for both the European and United States Solheim Cup teams—but the finish was especially exciting when Danish pro golfer and Skechers athlete Emily Pedersen sank a birdie on the 18th hole wearing Skechers GO GOLF Elite 3™ footwear. Throughout the day, she helped maintain the European women’s lead and confirm the outright win at the Inverness Club in Toledo, Ohio—the second straight Solheim Cup victory for Team Europe.
Danish pro golfer Emily Pedersen tees off in Skechers GO GOLF Elite 3™ footwear at the 2021 Solheim Cup. (Photo: Business Wire)
Danish pro golfer Emily Pedersen tees off in Skechers GO GOLF Elite 3™ footwear at the 2021 Solheim Cup. (Photo: Business Wire)
“While we were pulling for Team USA to take the win at home, we love that our expanded partnership with the Solheim Cup means Skechers has outfitted the European women in victory for the second time,” said David Weinberg, chief operating officer of Skechers. “As we congratulate Team Europe, it’s clear this event is a perfect showcase for our Skechers GO GOLF collection with pros like Emily Pedersen illustrating how the comfort and performance of our footwear can elevate their game. We know that fans of both teams will want to experience the innovative styles only offered by Skechers the next time they’re on the course.”
“I was happy to be in the anchor match against the same player I faced in 2017—but this time with a different outcome,” said Emily Pedersen. “I had to collect myself a bit on those last three holes, and the Skechers GO GOLF shoes make it easy to get comfortable and focus on the game. In the end it felt so nice to hole that final putt and celebrate with the team—I’m so proud of them all.”
In addition to pairs of shoes for the golfers, support staff and officials were provided with Skechers GO RUN Supersonic™ style footwear in team colors, with caddies outfitted in a special waterproof version. This is the first time Skechers supplied footwear to both sides after previously sponsoring the European team in 2017 and 2019. Known for its lightweight, high-quality, stable and comfortable designs, Skechers GO GOLF has achieved prominence within the golf category alongside the brand’s award-winning running, walking and training collections.
The roster of elite golfers wearing Skechers GO GOLF on tour includes Brooke Henderson, Colin Montgomerie, and Billy Andrade. Skechers GO GOLF is available at select Skechers retail stores and skechers.com as well as select retail partners, including specialty golf pro shops.
About SKECHERS USA, 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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company- and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitter, and TikTok.
About the Solheim Cup
The Solheim Cup combines the tradition and prestige of the game of golf with passion for one’s country and continent. This biennial international match-play competition features the best U.S. players from the Ladies Professional Golf Association (LPGA) Tour and the best European players from the Ladies European Tour (LET).
The Solheim Cup is named in honor of Karsten and Louise Solheim, founders of Karsten Manufacturing Corporation, which makes PING golf equipment. In 1990, the Solheim family, in conjunction with the LPGA and the LET, developed the concept and became the title sponsor for the Solheim Cup. Today, the Global Partners of the Solheim Cup are PING, Rolex and Marathon Petroleum.
Held every two years, the event has grown into the most prestigious international women’s professional golf team event. The 2021 Solheim Cup was held at Inverness Club in Toledo, Ohio, on Sept. 4-6 with Team Europe taking a thrilling 15-13 victory. Team USA leads Team Europe 10-7 all-time in Solheim Cup competition.
For more information, visit www.SolheimCupUSA.com.
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of 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 be,” “will continue,” “will result,” “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; international economic, political and market conditions including the challenging consumer retail markets in the United States; 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, 2020 and its quarterly report on Form 10-Q for the three months ended June 30, 2021. More specifically, the COVID-19 pandemic has had and is currently having a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements with respect to the COVID-19 pandemic include, without limitation, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty about the COVID-19 pandemic, including without limitation, (i) the duration and extent of the impact of the pandemic, (ii) governmental responses to the pandemic, including how such responses could impact Skechers’ business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers’ actions taken in response to these risks, and (iv) Skechers’ ability to effectively and timely adjust its plans in response to the rapidly changing retail and economic environment. 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 Contacts:
USA:
Jennifer Clay
[email protected]
EU/UK:
Petra Kereem
[email protected]
Source: Skechers
by Zach | Aug 19, 2021 | Press Release
Aug 19, 2021 • 3:34 pm EDT
LOS ANGELES–(BUSINESS WIRE)–
Skechers, The Comfort Technology Company™, is supporting Haiti earthquake relief efforts with a $1 million donation to be given to three charitable organizations: CORE, Hope For Haiti and World Central Kitchen. The Company is supporting these organizations to help the Haitian people who need immediate assistance recovering from this natural disaster.
A helping hand after earthquake in Haiti on August 14, 2021. Photo credit: CORE
A helping hand after earthquake in Haiti on August 14, 2021. Photo credit: CORE
Since the tragic event on the morning of Saturday, August 14, more than 2,100 people have died with countless others critically injured. According to UNICEF, more than 84,000 homes were damaged or destroyed and over a half million children have been left without necessary food, shelter or clean water.
“As soon as we heard about the devastation on Saturday, it was clear that Skechers needed to step up and help the people of Haiti,” said Michael Greenberg, president of Skechers. “We’re donating a combined $1 million to three organizations that are making an immediate difference today—and two of which have been providing critical aid in Haiti for many years. This is just a kickoff. We are expecting to raise significant additional funds through the Million Dollar Challenge for Haiti—one that will encourage our ambassadors, partners and employees to donate with us as the need is tremendous. We are so proud of our associates and affiliates around the globe. We know that our teams and partners will come through for the people of Haiti whose lives have been upturned. Skechers is a culture of caring and making a difference is paramount to who we are.”
CORE (Community Organized Relief Effort)—co-founded by actor and activist Sean Penn in response to the 2010 Haitian earthquake disaster, the organization has continued its work in Haiti and responds globally when crisis strikes where vulnerable communities suffer most.
“We are extremely grateful for this support as funding on the ground is urgently needed,” said Ann Lee, CEO and co-founder of CORE. “The devastation throughout the region is tremendous and there are countless lives that hang in the balance. These resources support our teams that have been on the ground since day one, our mobile medical units, shelter kits, and heavy equipment, clearing access into affected communities for life-saving operations to help those most impacted by the crisis. Our priority is to assist the Haitian government and local organizations by supporting the immediate needs of the Haitian people while developing a long-term recovery plan.”
Hope For Haiti—its ongoing mission is to provide resources to help communities thrive while improving the quality of life for Haitian people, particularly children. The organization works with communities in rural areas in support of education, healthcare, infrastructure, access to clean water, and economic activity.
“Our team is incredibly grateful for the generosity of the Skechers Foundation to launch the Skechers Economy Fund. This contribution will support direct economic relief as a part of our emergency response and recovery plan, specifically providing 1,000 micro grants, 20 loans, financial literacy classes, and digital currency education to school teachers and micro-, small-, and medium-sized businesses with the support of blockchain-enabled cash transfers,” says Skyler Badenoch, Hope for Haiti’s CEO.
World Central Kitchen—founded by chef José Andrés to use the power of food to nourish communities and strengthen economies in times of crisis and beyond. The organization also helps create food resilience and skill training to build opportunities within the community while feeding those who are hungry.
Skechers has just begun the Million Dollar Challenge for Haiti with outreach through the Skechers Foundation and the creation of the Skechers Haiti Relief Fund. The first donations and commitments have come in from some company employees, ambassadors (including Howie Long, Meb Keflezighi, Brooke Burke and Jon Gruden) and licensees (including United Legwear and Apparel Company, Fossil Group, ONSKINERY GmbH and Floriey Industries). These and future donations will be in addition to the $1 million from Skechers and will also go to CORE, Hope for Haiti and World Central Kitchen.
About SKECHERS USA, 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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company- and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitter, and TikTok.
About Skechers Foundation
The Skechers Foundation was established to provide families around the world with the necessities and skills to succeed in life. In addition to organizing the Skechers Pier to Pier Friendship Walk, the Skechers Foundation funds tax-exempt, 501(c)(3) nonprofit organizations that provide education and job training, shoes, clothing, fitness and nutrition guidance to communities in need.
About CORE
CORE (Community Organized Relief Effort) is a crisis relief nonprofit organization co-founded by Sean Penn and Ann Lee that is dedicated to saving lives and strengthening communities affected by or vulnerable to crisis. Within hours of the 2010 earthquake in Haiti, Penn mobilized a powerful network to take immediate action. More than 11 years later, CORE continues to lead sustainable programs focused on four pillars: emergency relief, disaster preparedness, environmental resilience, and community building. The organization has expanded beyond Haiti to support communities in the Bahamas, Puerto Rico, the United States, India and Latin America. Amid the COVID-19 pandemic, CORE has been operating free testing sites across the U.S. alongside local partners, providing essential resources and contact tracing services as well as part of its integrated approach to combat the pandemic. In 2021, CORE is working with its partners in the U.S. and internationally to ensure equitable distribution of vaccines, and has published a manual to encourage equity-focused community-based vaccination operations. More information: www.coreresponse.org/covid-19 and follow CORE on Facebook, Instagram or Twitter.
About Hope for Haiti
Hope for Haiti’s mission is to improve the quality of life for the Haitian people, particularly children. For the past 32 years, Hope for Haiti has built a reputation as one of the most trusted non-profit organizations in southern Haiti, through a firm dedication to the highest standards of transparency, accountability, and good governance. The organization’s team includes 62 full-time Haitian staff members who are from and live in Hope for Haiti’s partner communities and serve as key leaders in the implementation of Hope for Haiti’s strategic plan. Using lessons learned in crisis response from the 2010 Earthquake, Haiti’s Cholera Epidemic, Hurricane Matthew, and the spread of COVID-19, Hope for Haiti has developed a comprehensive short- and long-term response & recovery plan for the 2021 Earthquake and is uniquely qualified to respond to the needs of the Haitian people in the days and years ahead. Hope for Haiti is a 4-star rated non-profit by Charity Navigator and is a participant at the Platinum Level through the GuideStar Exchange, two leading independent evaluators recognizing the organization’s transparency and careful stewardship of donor resources. To learn more and read the full response plan, visit: www.hopeforhaiti.com and follow the organization on Instagram @hopeforhaiti for the most recent updates.
About World Central Kitchen
Founded in 2010 by Chef José Andrés, World Central Kitchen (WCK) uses the power of food to nourish communities and strengthen economies in times of crisis and beyond. WCK has created a new model for disaster response through its work helping devastated communities recover and establish resilient food systems. WCK has served more than 50 million fresh meals to people impacted by natural disasters and other crises around the world in countries including The Bahamas, Indonesia, Lebanon, Mozambique, Venezuela, and the United States. WCK’s Resilience Programs in the Caribbean and Central America have trained hundreds of chefs and school cooks, advanced clean cooking practices, and awarded grants to farms, fisheries and small food businesses while also providing training and networking opportunities. Learn more at wck.org.
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of 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 be,” “will continue,” “will result,” “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; international economic, political and market conditions including the challenging consumer retail markets in the United States; 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, 2020 and its quarterly report on Form 10-Q for the three months ended June 30, 2021. More specifically, the COVID-19 pandemic has had and is currently having a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements with respect to the COVID-19 pandemic include, without limitation, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty about the COVID-19 pandemic, including without limitation, (i) the duration and extent of the impact of the pandemic, (ii) governmental responses to the pandemic, including how such responses could impact Skechers’ business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers’ actions taken in response to these risks, and (iv) Skechers’ ability to effectively and timely adjust its plans in response to the rapidly changing retail and economic environment. 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 USA
[email protected]
Source: SKECHERS USA, Inc.
by Zach | Jul 27, 2021 | Press Release
Jul 27, 2021 • 9:00 am EDT
The Company’s BOBS from Skechers Philanthropic Collection Has Helped Save and Support Over 1.3 Million Shelter Dogs and Cats in the United States and Canada
LOS ANGELES–(BUSINESS WIRE)–
Skechers, The Comfort Technology Company™, is celebrating its newest milestone for its philanthropic BOBS division: the Company’s total donations have now surpassed $7 million for animals in need throughout the United States and Canada. Through its partnership with Petco Love, a national nonprofit working to lead and inspire change for animals, and sales of its extensive BOBS footwear, apparel and accessory offering, Skechers’ funds have helped save and support over 1.3 million shelter pets across North America.
A MeoowzResQ kitten at a Skechers adoption event in California during National Foster a Pet Month. Through its partnerships with Petco Love and animal welfare organizations, Skechers has donated over $7 million, promoted pet adoptions and raised funds in stores – helping to save and support over 1.3 million shelter pets in the United States and Canada. (Photo credit: Lori Fusaro for BOBS from Skechers + Petco Love)
A MeoowzResQ kitten at a Skechers adoption event in California during National Foster a Pet Month. Through its partnerships with Petco Love and animal welfare organizations, Skechers has donated over $7 million, promoted pet adoptions and raised funds in stores – helping to save and support over 1.3 million shelter pets in the United States and Canada. (Photo credit: Lori Fusaro for BOBS from Skechers + Petco Love)
The brand has continued to drive public awareness for animal welfare this summer with National Foster A Pet month in June—hosting pet adoption events at Skechers retail stores with Petco Love’s animal welfare partners. Community members welcomed home dogs and cats from lifesaving organizations in Dallas, Texas; Harahan, Louisiana; Hialeah, Florida; Marlton, New Jersey and Moreno Valley, California. Consumers across America were also able to support Petco Love and more than 4,000 of its animal welfare partners at local Skechers stores, by rounding up their purchases at checkout—a campaign that raised over $87,000 for dogs and cats independent of Skechers’ total donations.
“As a brand with a vast network of stores, we love finding new ways to inspire consumers and mobilize our stores for good—and these adoption and round-up events have resonated with the public and help bring our BOBS message to life,” said Michael Greenberg, president of Skechers. “We’ve given more than $3.4 million to Petco Love since we launched our partnership in 2019—a movement that’s already transformed thousands of pets’ and persons’ lives in America and is now building momentum across Canada.”
“Our partnership with BOBS from Skechers helps further our mission to end preventable euthanasia and make communities and pet families closer, stronger and healthier,” said Susanne Kogut, president of Petco Love. “Shelter pets were there for us throughout the pandemic providing unconditional love and joy. Fostering, adopting, volunteering, and donating are ways we can be there for them and make a difference.”
Initially a philanthropic collection of slip-on styles that donated new shoes to children in need, the BOBS from Skechers movement has grown to include a popular offering of footwear, apparel and accessories dedicated to helping shelter animals. For every BOBS item purchased in the United States and Canada, a donation is made to Petco Love to help support shelter pets and its lifesaving animal welfare organization network.* Skechers has helped save over 955,000 dogs, cats and other animals through pet adoptions, and contributed to the care of over 395,000 additional animals at nurseries, sanctuaries and medical care facilities.
The BOBS from Skechers collection is available at Skechers.com, Skechers and Petco stores, and select department and specialty locations in the United States. To learn more, follow BOBS from Skechers on Facebook, Twitter and Instagram, or visit BOBSfromSkechers.com. For more on Petco Love, visit petcolove.org or follow at Facebook, Instagram, and Twitter.
*Skechers U.S.A., Inc., 228 Manhattan Beach Blvd., Manhattan Beach, CA 90266, 310-318-3100. Petco Love, 654 Richland Hills Drive, San Antonio, TX 78245, 858-453-7845. During the promotion, BOBS from Skechers will donate twenty-five cents USD per item of specially marked BOBS from Skechers footwear, apparel and accessories sold in the U.S. to Petco Love, a 501c3 nonprofit organization that helps save the lives of dogs, cats and other pets in America’s shelters. The promotion runs from January 1, 2019 through December 31, 2022.
Skechers USA Canada Inc., 5055 Satellite Drive, Unit Number 6, Mississauga, ON L4W 5K7 Canada, 877-644-4414. Petco Love, 654 Richland Hills Drive, San Antonio, TX 78245, 858-453-7845. During the promotion, BOBS from Skechers will donate twenty-five cents CAD per item of specially marked BOBS from Skechers footwear, apparel and accessories sold in Canada to Petco Love, a nonprofit organization that helps save the lives of dogs, cats and other pets in Canada’s shelters. The promotion runs from January 1, 2020 through December 31, 2022.
Skechers USA Canada Inc., 5055 Satellite Drive, Unit Number 6, Mississauga, ON L4W 5K7 Canada, 877-644-4414. Petco Love, 654 Richland Hills Drive, San Antonio, TX 78245, 858-453-7845. Pendant la promotion, 25 cents seront versées avec chaque vente de chaussure, vêtement et accessoire portant la marque BOBS de Skechers au Canada à Petco Love, une organisation sans but lucratif dédiée à sauver la vie des chiens, chats et autres animaux en refuges au Canada. La promotion est valide du 1 janvier 2020 et se termine le 31 décembre 2022.
About SKECHERS USA, 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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitter, and TikTok.
About BOBS from Skechers
BOBS from Skechers’ charitable collection of shoes, apparel and accessories have improved animals’ lives: over the past five years, Skechers has contributed more than $7 million to help more than 1.3 million shelter pets, including saving more than 955,000 rescued pets in the United States and Canada. It all started in 2011, when Skechers launched a movement to support children impacted by natural disasters and poverty – a cause that has helped the Company donate more than 16 million new pairs of shoes to kids in more than 60 countries worldwide. To learn more about BOBS from Skechers’ commitment to making a difference, visit BOBSfromSkechers.com and follow the brand on Facebook, Instagram and Twitter.
About Petco Love (Formerly Petco Foundation)
Petco Love is a nonprofit changing lives by making communities and pet families closer, stronger, and healthier. Since our founding in 1999 as the Petco Foundation, we’ve empowered animal welfare organizations by investing $300 million in adoption and other lifesaving efforts. We’ve helped find loving homes for more than 6.5 million pets in partnership with Petco and organizations nationwide. Today, our love for pets drives us to lead with innovation, creating tools animal lovers need to reunite lost pets, and lead with passion, inspiring and mobilizing communities and our more than 4,000 animal welfare partners to drive lifesaving change alongside us. Is love calling you? Join us. Visit petcolove.org or follow at Facebook, Instagram, Twitter and LinkedIn to be part of the lifesaving work we’re leading every day.
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of 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 be,” “will continue,” “will result,” “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; international economic, political and market conditions including the challenging consumer retail markets in the United States; 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, 2020 and its quarterly report on Form 10-Q for the three months ended March 31, 2021. More specifically, the COVID-19 pandemic has had and is currently having a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements with respect to the COVID-19 pandemic include, without limitation, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty about the COVID-19 pandemic, including without limitation, (i) the duration and extent of the impact of the pandemic, (ii) governmental responses to the pandemic, including how such responses could impact Skechers’ business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers’ actions taken in response to these risks, and (iv) Skechers’ ability to effectively and timely adjust its plans in response to the rapidly changing retail and economic environment. 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.
Caitlin Faford
Rogers & Cowan/PMK
[email protected]
Jennifer Clay
Skechers USA
[email protected]
Razan Monzer
Skechers Canada
[email protected]
Lisa Lane
Petco Love
[email protected]
Source: Skechers
by Zach | Jul 22, 2021 | Press Release
Jul 22, 2021 • 4:05 pm EDT
LOS ANGELES–(BUSINESS WIRE)–
SKECHERS U.S.A., Inc. (“Skechers” or the “Company”) (NYSE:SKX), The Comfort Technology Company™ and a global footwear leader, today announced financial results for the second quarter ended June 30, 2021.
Second Quarter Highlights
“Skechers second quarter financial results exceeded expectations as we achieved record quarterly sales of over $1.6 billion, a 127.3% increase over the same period in 2020, and 31.7% increase over 2019,” stated David Weinberg, Chief Operating Officer of Skechers. “This growth, along with both record gross margin of 51.2% and record quarterly diluted earnings per share of $0.88, was the result of triple-digit improvements in both our domestic and international businesses compared to second quarter 2020, and over 30% as compared to the second quarter of 2019. We accomplished these financial results even as we continued to face COVID-19 related challenges including delayed shipments and port constraints as well as temporary store closures in some key markets, including India, Canada, and parts of Europe and South America. With a higher average selling price and significantly more units sold, we saw sales increases of 205.7% in Domestic Wholesale, 137.8% in Direct-to-Consumer, and 94.8% in International Wholesale over the second quarter of 2020. As consumers began returning to a more normal lifestyle in many markets, demand increased for our comfort technology products, including in North America, across Europe, and in China, which achieved double-digit gains over both 2020 and 2019. Looking to the remainder of the year and into the next year, we remain confident in the strength of our brand and the relevance of our distinct product offering.”
“Innovation and developing footwear technology has been a significant part of Skechers’ DNA for much of our history – from our durable occupational footwear made to last, to the lightweight cushioning and performance materials for our first generation Skechers GO RUN and Skechers GO WALK lines, to features that deliver comfort in every pair. Other features and products like our Skechers Air-Cooled Memory Foam Technology and more recently our growing recycled collection called Our Planet Matters exemplify this,” began Robert Greenberg, Chief Executive Officer of Skechers. “Our core product philosophy of comfort, style, innovation and quality at the right price has resonated with consumers during the pandemic, and as we emerge from it. Consumers are embracing a more relaxed lifestyle and want to incorporate comfort into their work and weekend wear. To communicate that Skechers is The Comfort Technology Company, we delivered new campaigns for men, women and kids that highlighted this key message. In the second quarter, our multi-platform approach included traditional television, outdoor, print and online in global markets. Our strategic approach to marketing created awareness, drove sales and resulted in our record revenues. Our intention is to continue innovating and improving our comfort technologies to deliver fresh new product in the coming seasons.”
Second Quarter 2021 Financial Results
Three Months Ended
June 30,
Change
(in millions, except per share data)
2021
2020
$
%
Sales
$
1,657.8
$
729.5
$
928.3
127.3
Gross profit
849.5
368.6
480.9
130.5
Gross margin
51.2
%
50.5
%
72
bps
SG&A expenses
652.4
432.1
220.3
51.0
As a % of sales
39.4
%
59.2
%
(1,988
)
bps
Earnings (loss) from operations
201.2
(61.0
)
262.2
429.8
Operating margin
12.1
%
(8.4
)%
2,050
bps
Net earnings (loss)
137.4
(68.1
)
205.5
301.8
Diluted earnings (loss) per share
$
0.88
$
(0.44
)
$
1.32
300.0
Second quarter sales increased 127.3% as a result of a 147.3% increase in domestic sales and a 113.7% increase in international sales. Domestic and international growth was driven by increases in both wholesale and direct-to-consumer, as COVID-19 restrictions eased over the prior year. On a constant currency basis, the Company’s total sales increased 117.5%.
Sales grew across all segments with increases to Domestic Wholesale of 205.7%, International Wholesale of 94.8%, and Direct-to-Consumer of 137.8%. Improvements in Domestic Wholesale were the result of higher unit sales volume. International Wholesale increases were driven by 150.2% growth in our European subsidiaries, led by the United Kingdom and Germany, 50.9% growth in China, and 122.3% growth in Distributor sales. Improvements in Direct-to-Consumer sales resulted from growth across both domestic and international retail stores, slightly offset by declines in domestic e-commerce sales. Direct-to-Consumer comparable same store sales increased 109.2%, driven by an increase of 95.6% domestically and 165.2% internationally.
Gross margin increased 72 basis points to 51.2% primarily driven by increased Direct-to-Consumer gross margins, resulting from higher average selling prices and reduced promotional activity. Higher average selling prices were partially offset by the unfavorable channel mix impact from lower domestic e-commerce sales and higher Domestic Wholesale sales.
SG&A increased $220.3 million, or 51.0%. Selling expenses increased by $72.2 million, or 119.9%, due to higher global advertising costs. General and administrative increased by $148.0 million, or 39.8%. The increase was primarily the result of higher incentive compensation and labor costs as well as higher global warehouse and distribution expenses.
Earnings from operations increased $262.2 million to $201.2 million.
Net earnings were $137.4 million and diluted earnings per share were $0.88.
In the second quarter, the Company’s effective income tax rate was 20.4%.
“Our record second quarter results reflect the outstanding execution of our long-term growth strategy. Led by our comfort technology products and resonant brand, we continued to expand globally and further our direct-to-consumer presence,” stated John Vandemore, Chief Financial Officer of Skechers. “The result was evident in growth across our segments and record profitability and is a testament to the prudence of the infrastructure investments we have made and are continuing to make to support our brand and our strategy. These factors coupled with the strength of our balance sheet, give us abundant confidence that Skechers remains poised to continue growing long into the future.”
Six Month 2021 Financial Results
Six Months Ended
June 30,
Change
(in millions, except per share data)
2021
2020
$
%
Sales
$
3,086.2
$
1,971.8
$
1,114.4
56.5
Gross profit
1,529.1
916.2
612.9
66.9
Gross margin
49.5
%
46.5
%
308
bps
SG&A expenses
1,180.4
940.2
240.2
25.5
As a % of sales
38.2
%
47.7
%
(943
)
bps
Earnings (loss) from operations
358.9
(16.2
)
375.1
2,315.4
Operating margin
11.6
%
(0.8
)%
1,245
bps
Net earnings (loss)
235.9
(19.0
)
254.9
1,341.6
Diluted earnings (loss) per share
$
1.51
$
(0.12
)
$
1.63
1,358.3
Year to date sales increased 56.5%. Year to date domestic and international sales each grew 56.5% with the largest contribution derived from International Wholesale growth. On a constant currency basis, the Company’s total sales increased 50.9%.
Sales grew across all segments with increases to Domestic Wholesale of 52.2%, International Wholesale of 52.3%, and Direct-to-Consumer of 69.0%. Improvements in Domestic Wholesale were the result of higher unit sales volume. Improvements in International Wholesale were the result of growth in China of 88.4% and Europe of 32.9%. Direct-to-Consumer comparable same store sales increased 54.8%, driven by an increase of 59.4% domestically and 40.8% internationally.
Gross margin increased 308 basis points to 49.5% primarily driven by increased gross margins in the Direct-to-Consumer segment, which was the result of increased average selling prices and reduced promotional activity.
SG&A increased by $240.2 million or 25.5%. Selling expenses increased by $83.4 million or 62.1%, primarily due to higher global advertising costs. General and administrative increased by $156.7 million or 19.4%, primarily due to higher incentive compensation and labor costs as well as higher global warehouse and distribution expenses.
Earnings from operations were $358.9 million, an increase of $375.1 million compared to a loss of $16.2 million in the prior-year period.
Net earnings were $235.9 million and diluted earnings per share were $1.51.
The Company’s effective income tax rate was 20.3%.
Balance Sheet
Cash, cash equivalents and investments totaled $1.32 billion, a decrease of $258.5 million, or 16.4% from December 31, 2020. The Company repaid $452.5 million on its revolving credit facility in the second quarter.
Total inventory was $1.06 billion, an increase of $40.5 million or 4.0% from December 31, 2020. Increased inventory levels primarily reflect growth in the International Wholesale segment.
Outlook
For the fiscal year 2021, the Company believes it will achieve sales between $6.15 billion and $6.25 billion and diluted earnings per share of between $2.55 and $2.65. Further, the Company believes that for the third quarter of 2021, it will achieve sales between $1.60 billion and $1.65 billion and diluted earnings per share of between $0.70 and $0.75.
Store Count
Number of Store Locations as of
Number of Store Locations as of
December 31, 2020
Opened
Closed(1)
June 30, 2021
Domestic stores
523
12
(23
)
512
International stores
331
13
(5
)
339
Joint venture stores
467
67
(52
)
482
Distributor, licensee and franchise stores
2,570
260
(106
)
2,724
Total Skechers stores
3,891
352
(186
)
4,057
(1) Does not reflect temporary closures due to the COVID-19 pandemic.
Certain Non-GAAP Measures
To supplement our unaudited condensed consolidated financial statements presented under generally accepted accounting principles in the United States (“GAAP”), we use the non-GAAP financial measures presented to evaluate our results of operations, financial condition, liquidity and indebtedness. We believe that these non-GAAP measures provide useful information to investors regarding financial and business trends related to our results of operations, cash flows and indebtedness and that when this non-GAAP financial information is viewed with our GAAP financial information, investors are provided with valuable supplemental information regarding our results of operations, thereby facilitating period-to-period comparisons of our business performance consistent with how management evaluates the Company’s operating performance and liquidity. In addition, these non-GAAP measures address questions the Company routinely receives from analysts and investors and, in order to assure that all investors have access to similar data the Company has determined that it is appropriate to make this data available to all investors. None of the non-GAAP measures presented should be considered as an alternative to net income or loss, operating income, cash flows from operating activities, total indebtedness or any other measures of operating performance and financial condition, liquidity or indebtedness derived in accordance with GAAP. These non-GAAP measures have important limitations as analytical tools and should not be considered in isolation or as substitutes for an analysis of our results as reported under GAAP. Our use of these terms may vary from the use of similarly-titled measures by others in our industry due to the potential inconsistencies in the method of calculation and differences due to items subject to interpretation. Reconciliations of these non-GAAP financial measures to the most nearly comparable GAAP financial measures are presented below.
Second Quarter 2021 Conference Call
The Company will host a conference call today at 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time to discuss its second quarter 2021 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 22, 2021 at 7:30 p.m. ET, through August 5, 2021, at 11:59 p.m. ET. To access the replay, dial 844-512-2921 (U.S.) or 412-317-6671 (International) and use passcode: 13721146.
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 the United States and over 170 countries and territories via department and specialty stores, and direct to consumers through 4,057 Company and third-party-owned retail stores and e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly-owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitter, 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 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 be,” “will continue,” “will result,” “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; international economic, political and market conditions including the challenging consumer retail markets in the United States; 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, 2020 and its quarterly report on Form 10-Q for the three months ended March 31, 2021. More specifically, the COVID-19 pandemic has had and may continue to have a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements with respect to the COVID-19 pandemic include, without limitation, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty about the COVID-19 pandemic, including without limitation, (i) the duration and extent of the impact of the pandemic, (ii) governmental responses to the pandemic, including how such responses could impact Skechers’ business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers’ actions taken in response to these risks, and (iv) Skechers’ ability to effectively and timely adjust its plans in response to the rapidly changing retail and economic environment. 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.
SKECHERS U.S.A., INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
As of June 30,
As of December 31,
(in thousands)
2021
2020
ASSETS
Current assets
Cash and cash equivalents
$
1,091,355
$
1,370,826
Short-term investments
107,626
100,767
Trade accounts receivable, net
778,216
619,800
Other receivables
66,298
69,222
Total receivables
844,514
689,022
Inventory
1,057,284
1,016,774
Prepaid expenses and other current assets
145,256
166,962
Total current assets
3,246,035
3,344,351
Property, plant and equipment, net
1,026,777
935,441
Operating lease right-of-use assets
1,134,145
1,171,521
Deferred tax assets
61,276
63,884
Long-term investments
122,542
108,412
Goodwill
93,497
93,497
Other assets, net
80,459
95,263
Total non-current assets
2,518,696
2,468,018
TOTAL ASSETS
$
5,764,731
$
5,812,369
LIABILITIES AND EQUITY
Current liabilities
Accounts payable
$
831,910
$
744,077
Operating lease liabilities
214,271
204,370
Accrued expenses
248,996
208,712
Current installments of long-term borrowings
42,547
52,250
Short-term borrowings
575
3,297
Total current liabilities
1,338,299
1,212,706
Long-term borrowings, excluding current installments
268,913
679,415
Long-term operating lease liabilities
1,015,754
1,065,069
Deferred tax liabilities
10,421
11,439
Other long-term liabilities
117,240
118,077
Total non-current liabilities
1,412,328
1,874,000
Total liabilities
2,750,627
3,086,706
Stockholders’ equity
Preferred Stock
—
—
Class A Common Stock
135
134
Class B Common Stock
21
21
Additional paid-in capital
395,951
372,165
Accumulated other comprehensive loss
(34,990
)
(27,285
)
Retained earnings
2,372,342
2,136,400
Skechers U.S.A., Inc. equity
2,733,459
2,481,435
Noncontrolling interests
280,645
244,228
Total stockholders’ equity
3,014,104
2,725,663
TOTAL LIABILITIES AND EQUITY
$
5,764,731
$
5,812,369
SKECHERS U.S.A., INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (LOSS)
(Unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
(in thousands, except per share data)
2021
2020
2021
2020
Sales
$
1,657,773
$
729,472
$
3,086,191
$
1,971,817
Cost of sales
808,280
360,906
1,557,075
1,055,583
Gross profit
849,493
368,566
1,529,116
916,234
Royalty income
4,098
2,596
10,135
7,844
853,591
371,162
1,539,251
924,078
Operating expenses:
Selling
132,448
60,240
217,744
134,295
General and administrative
519,934
371,893
962,629
805,944
Selling, general and administrative
652,382
432,133
1,180,373
940,239
Earnings (loss) from operations
201,209
(60,971
)
358,878
(16,161
)
Other income (expense)
Interest income
909
1,547
1,704
3,854
Interest expense
(3,417
)
(4,804
)
(7,530
)
(6,785
)
Other, net
4,666
4,704
(6,190
)
8,157
Total other income (expense)
2,158
1,447
(12,016
)
5,226
Earnings (loss) before income taxes
203,367
(59,524
)
346,862
(10,935
)
Income tax expense (benefit)
41,544
(4,307
)
70,530
3,122
Net earnings (loss)
161,823
(55,217
)
276,332
(14,057
)
Less: Net earnings attributable to noncontrolling interest
24,454
12,880
40,390
4,939
Net earnings (loss) attributable to Skechers U.S.A. Inc.
$
137,369
$
(68,097
)
$
235,942
$
(18,996
)
Net earnings (loss) per share attributable to Skechers U.S.A. Inc.
Basic
$
0.88
$
(0.44
)
$
1.52
$
(0.12
)
Diluted
$
0.88
$
(0.44
)
$
1.51
$
(0.12
)
Weighted-average shares used in calculating net earnings (loss) per share attributable to Skechers U.S.A. Inc.
Basic
155,561
154,138
155,196
153,849
Diluted
156,674
154,138
156,321
153,849
SKECHERS U.S.A., INC. AND SUBSIDIARIES
SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited)
Three Months Ended June 30,
Change
(in millions)
2021
2020
$
%
Domestic Wholesale
Sales
$
399.7
$
130.7
269.0
205.7
Gross margin
38.8
%
38.6
%
26
bps
International Wholesale
Sales
$
750.2
$
385.2
365.0
94.8
Gross margin
46.5
%
46.8
%
(32
)
bps
Direct-to-Consumer
Sales
$
507.9
$
213.6
294.3
137.8
Gross margin
68.0
%
64.5
%
350
bps
Total
Sales
$
1,657.8
$
729.5
928.3
127.3
Gross margin
51.2
%
50.5
%
72
bps
Six Months Ended June 30,
Change
(in millions)
2021
2020
$
%
Domestic Wholesale
Sales
$
774.3
$
508.7
265.6
52.2
Gross margin
38.1
%
38.5
%
(36
)
bps
International Wholesale
Sales
$
1,462.4
$
960.4
502.0
52.3
Gross margin
45.8
%
43.8
%
198
bps
Direct-to-Consumer
Sales
$
849.5
$
502.7
346.8
69.0
Gross margin
66.4
%
59.6
%
682
bps
Total
Sales
$
3,086.2
$
1,971.8
1,114.4
56.5
Gross margin
49.5
%
46.5
%
308
bps
SKECHERS U.S.A., INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP EARNINGS FINANCIAL MEASURES TO CORRESPONDING
NON-GAAP FINANCIAL MEASURES (Unaudited)
Adjusted Earnings and Adjusted Diluted Earnings Per Share
We believe that Adjusted Earnings and Adjusted Diluted Earnings Per Share provide meaningful supplemental information to investors in evaluating our business performance for the three and six months ended June 30, 2021. Adjusted Earnings and Adjusted Diluted Earnings Per Share are not measures of financial performance under GAAP and should be considered in addition to, and not a substitute for, Net Earnings and Diluted Net Earnings Per Share which are the most comparable GAAP measures. Our method of determining non-GAAP financial measures may differ from other companies’ methods and therefore may not be comparable to those used by other companies.
Constant Currency Adjustment
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,
2021
2020
Change
(in millions,
except per share data)
Reported GAAP Measure
Constant Currency
Adjustment
Adjusted for Non-GAAP Measures
Reported GAAP Measure
$
%
Sales
$
1,657.8
$
(71.3
)
$
1,586.5
$
729.5
857.0
117.5
Cost of sales
808.3
(37.7
)
770.6
360.9
409.7
113.5
Gross profit
$
849.5
$
(33.6
)
$
815.9
$
368.6
447.3
121.4
Royalty income
4.1
(0.4
)
3.7
2.6
1.1
42.3
SG&A expenses
652.4
(22.2
)
630.2
432.1
198.1
45.8
Earnings (loss) from operations
$
201.2
$
(11.8
)
$
189.4
$
(60.9
)
250.3
411.0
Other income (expense)
2.2
(4.8
)
(2.6
)
1.4
(4.0
)
(285.7
)
Income tax (benefit) expense
41.5
(1.5
)
40.0
(4.3
)
44.3
1,030.2
Less: Noncontrolling interests
24.5
(2.4
)
22.1
12.9
9.2
71.3
Net earnings (loss)
$
137.4
$
(12.7
)
$
124.7
$
(68.1
)
192.8
283.1
Diluted earnings (loss) per share
$
0.88
$
(0.08
)
$
0.80
$
(0.44
)
1.24
281.8
Six Months Ended June 30,
2021
2020
Change
(in millions,
except per share data)
Reported GAAP Measure
Constant Currency
Adjustment
Adjusted for Non-GAAP Measures
Reported GAAP Measure
$
%
Sales
$
3,086.2
$
(111.6
)
$
2,974.6
$
1,971.8
1,002.8
50.9
Cost of sales
1,557.1
(61.9
)
1,495.2
1,055.6
439.6
41.6
Gross profit
$
1,529.1
$
(49.7
)
$
1,479.4
$
916.2
563.2
61.5
Royalty income
10.2
(0.9
)
9.3
7.8
1.5
19.2
SG&A expenses
1,180.4
(33.5
)
1,146.9
940.2
206.7
22.0
Earnings (loss) from operations
$
358.9
$
(17.1
)
$
341.8
$
(16.2
)
358.0
2,209.9
Other income (expense)
(12.1
)
5.8
(6.3
)
5.2
(11.5
)
(221.2
)
Income tax expense
70.5
(2.5
)
68.0
3.1
64.9
2,093.5
Less: Noncontrolling interests
40.4
(3.5
)
36.9
4.9
32.0
653.1
Net earnings (loss)
$
235.9
$
(5.3
)
$
230.6
$
(19.0
)
249.6
1,313.7
Diluted earnings (loss) per share
$
1.51
$
(0.03
)
$
1.48
$
(0.12
)
1.60
1,333.3
Investor Relations:
Andrew Greenebaum
Addo Investor Relations
[email protected]
Press:
Jennifer Clay
Vice President,
Corporate Communications
SKECHERS U.S.A., Inc.
(310) 318-3100
Source: SKECHERS U.S.A., Inc.