by | Oct 5, 2017 | Press Release
Oct 5, 2017 • 9:00 am EDT
Despite Weather Delays and Poor Course Conditions, Henderson Holds On to Capture Second LGPA Tour Title of the Season.
LOS ANGELES–(BUSINESS WIRE)– Skechers Performance, a division of SKECHERS USA, Inc. (NYSX:SKX), celebrates golf pro Brooke Henderson‘s win at the New Zealand Women’s Open on Monday, October 2, 2017. The win marks the Skechers Performance elite athlete’s second LGPA Tour win of the season and the fifth of her career. Henderson led by four shots after six holes on Sunday when play of the final round was suspended until Monday due to severe weather.
Skechers Performance™ GO GOLF® Elite Athlete Brooke Henderson Wins New Zealand Women’s Open. (Photo: Business Wire)
“I’m just so happy. To be able to play this well on this golf course really gives me a lot of confidence going forward.” said Henderson. “The conditions were really tough and I could not have done this without my whole team behind me, especially my Skechers Performance GO GOLF shoes, which gave me the stability I needed to stay focused and perform.”
Henderson, a native of Canada, has quickly become a prominent face of women’s golf since turning professional in December 2014. She won her first LGPA Tour event in 2015 at the Cambria Portland Classic, a title she would defend with her second career win in 2016. She then went on to become the second youngest player to capture a major championship with her win at the 2016 KPMG Women’s PGA Championship. In 2016, Brooke also represented Canada at the 2016 Olympic games in Brazil, where she tied for seventh place.
“We’re fortunate to have Brooke on the Skechers Performance team and celebrate this win with her and all of her fans,” said Michael Greenberg, Skechers President, “Brooke’s relentless dedication to perfecting her game is an inspiration to us all and we’re proud to have been part of this amazing achievement so early in her exciting career.”
Henderson joined the Skechers Performance team in 2016. She is outfitted in Skechers GO GOLF footwear and apparel on tour and has been featured in ongoing marketing campaigns for the brand.
Known for its lightweight, high quality, stable and comfortable designs, Skechers Performance GO GOLF has achieved prominence within the golf category, alongside the brand’s award-winning running, walking and training collections. The Skechers Performance GO GOLF apparel line offers athletes comfort and freedom of movement through a wide assortment of styles constructed with innovative moisture-wicking fabrics in a variety of colors for both men and women.
For updates on the collection, visit GOSkechers.com and follow @SkechersGOGOLF on Facebook, Instagram and Twitter. Skechers Performance GO GOLF is available at Skechers retail stores and skechers.com as well as select retail partners including specialty golf pro shops.
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 2,305 SKECHERS Company-owned and third-party-owned retail stores, and the Company’s e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America. For more information, please visit skechers.com and follow us on Facebook(facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; 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 the Company’s annual report on Form 10-K for the year ended December 31, 2016 and its quarterly report on Form 10-Q for the three months ended June 30, 2017. The risks included here are not exhaustive. The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time and the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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 USA, Inc.
Kelly O’Rourke
[email protected]
(310) 424-8366SKECHERS USA, Inc.
by | Oct 4, 2017 | Press Release
Oct 4, 2017 • 9:00 am EDT
Footwear Company Committed to Helping Those Impacted by Storms and Floods in Texas, Florida and Puerto Rico
MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS (NYSE:SKX) is giving back through efforts on several fronts in support of those impacted by the floods in Texas following Hurricane Harvey and in Florida following Hurricane Irma, with additional efforts in planning stages to assist victims of Hurricane Maria in Puerto Rico. The Company is donating tens of thousands of pairs of SKECHERS shoes and socks, along with other goods to meet the immediate needs of families impacted by these disasters.
“Skechers operates retail stores in Texas, Florida and Puerto Rico, we’re sponsors of the Houston Marathon, and we have several key accounts in each of the affected regions,” stated Michael Greenberg, president of SKECHERS. “Our ties to these communities and the surrounding regions go back two decades with many friends and extended family impacted by the storms, so we have heard first-hand reports about the widespread need and have been working to lend our support. We’re already on the ground in Texas and our first shipments are delivering in Florida today, and plans are underway to also help Puerto Rico after conditions allow.”
As there will be an ongoing need in all impacted regions, SKECHERS is orchestrating donations in multiple phases. Immediate local product donations in Texas were organized through SKECHERS retail stores in the region and Children’s Hunger Fund. Additional product was distributed through the city of Manhattan Beach and the city’s new sister town of Cleveland, Texas. And going forward, SKECHERS is working with Delivering Good (formerly K.I.D.S./Fashion Delivers) and Children’s Hunger Fund to partner with Stage Stores (parent company of PALAIS ROYAL, STAGE and BEALLS) on a local BOBS from SKECHERS donation event for kids in the greater Houston area on October 7. At this event, kids will receive school supplies donated by Stage Stores, in addition to BOBS from SKECHERS. SKECHERS is also helping dogs and cats in the region through a $10,000 donation to Best Friends Animal Society via the BOBS for Dogs charity program.
To help those impacted by Hurricane Irma in Florida, SKECHERS is partnering with Neighbors 4 Neighbors, a charity founded by CBS television following Hurricane Andrew, as well as Farm Share, and the Entercom Miami Radio Stations. The Company is again donating thousands of pairs of socks and shoes for men, women, and kids to be distributed in hard-hit areas throughout Homestead and The Keys.
Further, the Company is in the early stages of planning a large-scale donation event in Puerto Rico following the island-wide devastation of Hurricane Maria with expectations to be on the ground in late 2017 or early 2018 after infrastructure is back in place to support an event.
Since the program’s inception in 2011, more than 14 million pairs of BOBS shoes have been distributed to children in need around the world, and more than 7.6 million of that total has so far been distributed through Delivering Good.
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 2,305 SKECHERS Company-owned and third-party-owned retail stores, and the Company’s e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America. For more information, please visit skechers.com and follow us on Facebook (facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; 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 the Company’s annual report on Form 10-K for the year ended December 31, 2016 and its quarterly report on Form 10-Q for the three months ended June 30, 2017. The risks included here are not exhaustive. The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time and the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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 USA
Jennifer Clay
(310) 937-1326
[email protected]
by | Sep 6, 2017 | Press Release
Sep 6, 2017 • 9:00 am EDT
Winningest male athlete in NCAA history partners with Performance footwear and apparel brand.
LOS ANGELES–(BUSINESS WIRE)– Skechers Performance™, a division of SKECHERS USA, Inc. (NYSE:SKX), announces today that 17-time NCAA National Champion, Edward Cheserek, will join the roster of Skechers Performance elite athletes. The former University of Oregon Track and Cross Country Champion signed a multi-year global deal with Skechers Performance and will be featured in marketing campaigns for Skechers GO RUN footwear and apparel.
(Photo: Business Wire)
“I am so happy to be joining the Skechers Performance team as I start this next chapter of my career,” said Cheserek, who will make his professional debut on September 10, 2017 in New York City at the 5th Avenue Mile. “I have big goals and dreams and know that Skechers Performance product will help me get where I want to go…I am excited for what is ahead.”
Originally from Kenya, Cheserek attended Saint Benedict’s Preparatory School in New Jersey, where he was named the Gatorade 2013 National Cross Country Runner of the Year, before choosing to continue his collegiate career at distance running powerhouse, University of Oregon. In 2013, Cheserek became the first freshman in school history to win the NCAA National Cross Country Championships, and would then go on to repeat as cross country champion in his sophomore and junior years. Now at 23 years old, Cheserek begins his professional career, having left behind an incredible collegiate legacy by becoming the winningest male athlete in NCAA Division 1 athletics’ history, winning a combined 17 national championships in cross country and indoor and outdoor track and field.
“Edward has already accomplished so much in his young career and proven he is among the best of his sport,” said Michael Greenberg, Skechers President. “We are thrilled to have him on the Skechers Performance team and to be part of his journey as he embarks on his professional career.”
Cheserek will be wearing Skechers Performance GO RUN footwear and apparel as part of the sponsorship. Known for its innovative and award winning designs, Skechers Performance GO RUN offers performance product featuring the latest innovative and technical properties, enabling athletes of all levels to perform at their best.
As Skechers Performance enters its eighth year with the GO RUN line, Edward Cheserek will join a roster of running’s elite, including Meb Keflezighi, Kara Goucher, and Tara Welling, who are all Skechers Performance ambassadors. Cheserek will be the youngest running athlete on the Skechers Performance roster and signifies the brand’s commitment to investing in the future of the running business.
Skechers Performance GO RUN is available at Skechers retail stores, select retail partners including specialty run stores, and online at Skechers.com.
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 1,410 SKECHERS Company-owned and third-party retail stores, and the Company’s e-commerce website. The Company manages its international business through a network of global distributors, joint venture partners in Asia, and wholly-owned subsidiaries in Brazil, Canada, Chile, Japan, Latin America and throughout Europe. For more information, please visit skechers.com and follow us on Facebook (facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s 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 and opening of new stores, 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; entry into the highly competitive performance footwear market; 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; 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 the Company’s annual report on Form 10-K for the year ended December 31, 2015 and its quarterly report on Form 10-Q for the three months ended June 30, 2016. The risks included here are not exhaustive. The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time and the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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 USA, Inc.
Kelly O’Rourke, (310) 424-8366
[email protected]
by | Aug 23, 2017 | Press Release
Aug 23, 2017 • 9:00 am EDT
Star Quarterback to Appear in Global Men’s Footwear Campaign
MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS (NYSE:SKX) continues to grow its roster of sports icons representing the top casual lifestyle footwear brand in the United States* with the announcement that recently retired superstar Dallas Cowboys quarterback Tony Romo will be wearing SKECHERS men’s footwear in a multi-platform global marketing campaign set to launch later this year.
Retired Dallas quarterback Tony Romo signs on with Skechers (Photo: Business Wire)
“After 14 years on the field with the Cowboys, it was time to hang up my cleats, but these comfortable SKECHERS shoes are perfect for my life and career after football,” said Tony Romo, who will be working with CBS Sports. “It’s an honor to follow in the footsteps of Joe Montana and Howie Long as a SKECHERS ambassador. I’m looking forward to retirement with SKECHERS!”
“Partnering with elite athletes has proven to be an effective way to reach sports fans of all ages and Tony Romo certainly fits the mold of the iconic stars who have represented our men’s footwear collection,” added Michael Greenberg, president of SKECHERS. “Not only was he great on the field, but Tony is a media superstar as well, and we know as his fans follow him to the broadcast side, his reach will help convey how our athletic and casual footwear delivers on style and comfort for men everywhere.”
After winning the Walter Payton Award in 2002 at the end of his collegiate career, Tony Romo signed as an undrafted free agent with the Cowboys in 2003 and became their starting quarterback during the 2006 season. Over the next decade, he guided the team to four postseason appearances and was named to the Pro Bowl four times. Romo is legendary in Dallas holding several team records, including passing touchdowns, passing yards, most games with at least 300 passing yards, and games with three or more touchdown passes and his 97.1 passer rating is the fourth all time for the league and the highest among retired players. Romo retired following the 2016 season and has transitioned to the broadcast booth where he will be the lead color analyst paired with Jim Nantz on CBS Sports coverage of the 2017 season.
Romo joins a roster of SKECHERS athletes that currently includes baseball slugger David Ortiz, boxer Sugar Ray Leonard plus football legends Joe Montana and Howie Long. SKECHERS has utilized sports icons when advertising its Men’s collection for 15 years with an alumni list featuring names like Pete Rose, Mariano Rivera, Ozzie Smith, Tommy Lasorda, Joe Namath, Ronnie Lott, Karl Malone, Kareem Abdul-Jabbar, Rick Fox, and Wayne Gretzky.
In recent years, the range of SKECHERS men’s footwear has expanded to include a wide array of trend-right casual and sport styles, and innovations such as SKECHERS Air-Cooled Memory Foam for long-lasting comfort. Styles from the SKECHERS men’s collection are available in SKECHERS retail stores as well as department stores and footwear retailers around the globe.
*SportsOneSource 52-week report 7/11/17
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 2,305 SKECHERS Company-owned and third-party-owned retail stores, and the Company’s e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America. For more information, please visit skechers.com and follow us on Facebook (facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; 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 the Company’s annual report on Form 10-K for the year ended December 31, 2016 and its quarterly report on Form 10-Q for the three months ended June 30, 2017. The risks included here are not exhaustive. The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time and the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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 USA
Jennifer Clay, (310) 937-1326
[email protected]
by | Aug 9, 2017 | Press Release
Aug 9, 2017 • 9:00 am EDT
New Global Marketing Campaign to Launch in August 2017
MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS (NYSE:SKX) announced that the global footwear brand is partnering with multi-platinum, chart-topping recording artist Camila Cabello for a worldwide SKECHERS marketing campaign for its women’s footwear collection. The 20-year-old singer/songwriter will launch her SKECHERS campaign later this month, followed by her debut solo album this fall.
Camila Cabello is the new face for SKECHERS global marketing campaign launching Fall 2017 (Photo: Business Wire)
“This year is the beginning of a totally new chapter for me, both in my music and my outlook on life – and I’m thrilled to step into SKECHERS as part of this journey,” said Camila Cabello. “Besides the style and comfort of SKECHERS shoes, I love their philanthropic efforts. SKECHERS is making a difference – whether it’s giving new shoes to millions of kids or saving shelter animals’ lives. It’s important for me to use my success to give back, and to partner with like-minded companies who also believe in paying it forward. I love that spirit of generosity – and I’m looking forward to sharing those positive messages with the world as SKECHERS’ newest ambassador.”
“Camila is a natural heir to our legacy of singing superstars – she’s already loved by millions, and is the one to watch this year and beyond,” added Michael Greenberg, president of SKECHERS. “She was one of Time’s ‘25 Most Influential Teens’ last year, has hit songs in both English and Spanish and reaches an elusive segment of the market – millennials and Generation Z fans. With her confidence and character, she’s a great global icon for our brand.”
Cuban born singer/songwriter Camila Cabello (Epic Records / SYCO) is no stranger to the spotlight. Beginning her official solo career after four years in Fifth Harmony, Cabello has already received five Teen Choice Awards nominations this year and earned a chart-topping smash with MGK on the recent double platinum-certified hit “Bad Things,” which generated over 270 million Spotify streams and established Cabello as the first female artist to hit #1 on Top 40 Radio with and without a group. She has also collaborated with J Balvin and Pitbull’s single “Hey Ma” for Fate of the Furious’ chart-topping soundtrack, as well as Shawn Mendes for the platinum-certified duet “I Know What You Did Last Summer,” which reached #10 at pop radio and #20 on The Hot 100 chart. Cabello is currently touring with Bruno Mars this summer on his 24K Magic World Tour.
SKECHERS’ current ambassadors include multi-platinum recording artist Meghan Trainor, actor Rob Lowe, model and actress Kelly Brook, TV personality Brooke Burke-Charvet, and athletic legends like David Ortiz, Joe Montana, Sugar Ray Leonard and Howie Long, along with elite athletes for the brand’s Skechers Performance Division.
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 2,305 SKECHERS Company-owned and third-party-owned retail stores, and the Company’s e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America. For more information, please visit skechers.com and follow us on Facebook (facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; 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 the Company’s annual report on Form 10-K for the year ended December 31, 2016 and its quarterly report on Form 10-Q for the three months ended June 30, 2017. The risks included here are not exhaustive. The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time and the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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 USA
Jennifer Clay
(310) 937-1326
[email protected]
or
42West
Dvora Englefield / Marisa Martins
424-901-8725 / 212-697-2287
[email protected]
[email protected]
by | Jul 20, 2017 | Press Release
Jul 20, 2017 • 4:05 pm EDT
Record Second Quarter Net Sales of $1.026 Billion
Record First Six Months Net Sales of $2.099 Billion
MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS USA, Inc. (NYSE:SKX), a global footwear leader, today announced financial results for the second quarter and six months ended June 30, 2017.
Second Quarter and Six Month 2017 Highlights
- Record second quarter net sales of $1.026 billion, an increase of 16.9 percent
- Record six month net sales of $2.099 billion, an increase of 13.0 percent
- Gross margins of 47.6 percent for the second quarter and 46.0 percent for the six months
“Second quarter net sales exceeded our expectations setting another record quarter, and making the first half of 2017 a new record with sales surpassing $2 billion,” began David Weinberg, chief operating officer and chief financial officer. “The growth came across our three distribution channels—with double-digit increases in our Company-owned global Skechers retail business, and each of our international distributor, subsidiary and joint venture businesses, as well as a mid-single-digit increase in our domestic wholesale business. Further, in the second quarter of 2017 in our domestic wholesale business, we shipped 11.4 percent more pairs while our average price per pair decreased 4.5 percent.”
Second Quarter Financial Results
Quarterly net sales increased 16.9 percent to $1.026 billion compared to the second quarter 2016. The growth was the result of a 6.4 percent increase in the Company’s domestic wholesale business, an 18.6 percent increase in the Company’s international wholesale business, and a 28.0 percent increase in its Company-owned global retail business, which included comparable same store sales increases of 7.1 percent.
Gross profit for the second quarter was $488.3 million, or 47.6 percent of net sales, compared to $416.3 million, or 47.4 percent of net sales, for the second quarter of last year.
Second quarter selling expenses increased $24.0 million to $100.0 million, or 9.7 percent of sales, compared to $76.0 million, or 8.7 percent of sales, in the second quarter of the prior year. The increase was primarily due to increased domestic advertising of $5.2 million, additional international advertising expenses of $6.4 million, primarily to support the growth in its European subsidiaries as well as increases in Japan and South Korea, and an additional $4.2 million in selling commissions from its joint venture in South Korea.
General and administrativeexpenses for the second quarter increased $62.1 million to $305.3 million, or 29.8 percent of sales, compared to $243.2 million, or 27.7 percent of sales, in the second quarter of the prior year. The year-over-year quarterly increase was primarily due to Skechers’ focus on long-term global growth, including $22.3 million associated with the Company’s 68 additional domestic and international retail stores—31 of which were opened in the second quarter, and $26.2 million to support its international growth, of which $16.9 million was due to increased costs in China, $3.6 million for the transition of its South Korean distributor to a joint venture, and $2.4 million in Japan. Domestic wholesale general and administrative expenses in the second quarter increased $13.5 million year-over-year primarily due to increased headcount in the United States to support its brand worldwide, as well as the expansion into new categories and brands.
Mr. Weinberg added: “Investing in our brand and business is critical for both our short-term and long-term growth initiatives. This is evident in both the expansion of our Company-owned global retail business, which had the highest net sales dollar and percentage gain, followed by our international wholesale business. Given the increases in our international business, which for the first six months represented 48 percent of our total business, we believe the greatest opportunity for expansion is internationally, and we are investing in our infrastructure and marketing to support this progress.”
Earnings from operations were $86.3 million or 8.4 percent of sales, a decrease of 14.0 percent over the second quarter of 2016.
Net earnings decreased 19.7 percent to $59.5 million, and diluted net earnings per share were $0.38. The Company’s quarterly effective tax rate in the second quarter was 16.1 percent compared to 12.7 percent over the second quarter of 2016. The Company expects its effective tax rate to be between 14 percent and 19 percent for fiscal 2017.
Six Month Financial Results
Net sales were $2.099 billion, gross profit was $964.8 million or 46.0 percent of net sales, and earnings from operations were $210.7 million or 10.0 percent of net sales. Net earnings were $153.5 million and diluted net earnings per share were $0.98 per share.
Robert Greenberg, SKECHERS chief executive officer, commented: “Twenty-five years ago in May, we founded Skechers with a single line of men’s bootsavailable in the United States. Within a year, we were shipping to several international markets, and planning expansion into women’s and kids. We’ve come a very long way in a relatively short period of time—including our present position in the United States as the leader in walking, work, casual and comfort footwear, and second in all of footwear combined, and a leading brand in numerous countries around the world. Our domestic and international growth in the quarter and in recent years was the result of our continued focus on developing innovative, comfortable and stylish footwear; determination to build the brand through marketing; investment in operations and logistics for the present and future; and the dedication of our highly talented and creative team.”
Mr. Greenberg continued: “Domestically in the second quarter, we introduced a key new product, You by Skechers, delivered more of our heritage footwear collections, experienced strong sales in our sandal business, and saw continued strength in our kids’ lighted footwear. In the international markets, we achieved double-digit growth in many countries worldwide—including Germany, Chile, India, China, and Australia.Along with delivering strong product for men, women and kids to our wholesale partners, our international success was due to the expansion of Skechers retail stores around the world, which now includes 1,870 international stores of which 1,691 are third-party-owned locations. At quarter end, our total Skechers retail store count was 2,305, and included the opening of several key locations—Tokyo’s popular Shibuya district, the new Century City Mall in Los Angeles, a super store in Ontario Mills in Southern California, a store in New York’s SoHo, among others—and the relocation of our store on San Francisco’s Powell Street, which now has a much larger sales floor and better visibility. Based on our global meetings in May and June, and our on-going domestic key account meetings at our corporate offices, plus our July sell-throughs,we believe that the record sales we experienced in the first six months will continue in the second half.”
Balance Sheet
At June 30, 2017, cash and cash equivalents was $751.6 million, an increase of $122.8 million, or 19.5 percent over June 30, 2016.
Total inventory, including inventory in transit, was $669.7 million, an increase of $79.0 million or 13.4 percent over June 30, 2016, and a decrease of $30.8 million or 4.4 percent over December 31, 2016. The increase over last year was primarily due to the Company’s growth worldwide and is in line with the Company’s backlogs, and growing retail and international wholesale business.
Working capital was $1.359 billion at June 30, 2017 versus $1.155 billion at June 30, 2016.
Mr. Weinberg continued: “We ended the quarter with our three business channels showing continued growth, and low double-digit increases in backlog on a worldwide basis. With the investments we have made in our business globally, and our strong cash and inventory position as well as new product initiatives we are delivering, we believe we are well positioned for continued growth in the second half, and in the coming year.”
Outlook
Based on these key indicators, the Company believes it will achieve net sales in the third quarter in the range of $1.050 billion to $1.075 billion, which would represent a third quarter sales record, and earnings per share of $0.42 to $0.47. This projection includes flat sales increases in the Company’s domestic wholesale business, and double-digit increases in its international wholesale business, and its global Company-owned retail stores.
The Company expects its capital expenditures for the remainder of 2017 to be approximately $35.0 million to $40.0 million, which includes corporate office upgrades and an additional 35 to 40 Company-owned retail store openings and several store remodels.
Second Quarter 2017 Conference Call
The Company will host a conference call today at 1:30 p.m. PT / 4:30 p.m. Eastern Time to discuss its second quarter 2017 financial results. The call can be accessed on the Investor Relations section of the Company’s the website at www.skx.com. For those unable to participate during the live broadcast, a replay will be available beginning July 20, 2017, at 7:30 p.m. ET, through August 3, 2017, at 11:59 p.m. ET. To access the replay, dial 844-512-2921 (U.S.) or 412-317-6671 (International) and use passcode: 13666029.
About SKECHERS USA, Inc.
SKECHERS USA, Inc., based in Manhattan Beach, California, designs, develops and markets a diverse range of lifestyle footwear for men, women and children, as well as performance footwear for men and women. SKECHERS footwear is available in the United States and over 160 countries and territories worldwide via department and specialty stores, more than 2,305 SKECHERS Company-owned and third-party-owned retail stores, and the Company’s e-commerce websites. The Company manages its international business through a network of global distributors, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America. For more information, please visit skechers.com and follow us on Facebook (facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements 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 international economic, political and market conditions including the uncertainty of sustained recovery in Europe; 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, 2016 and its quarterly report on Form 10-Q for the three months ended March 31, 2017. 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 the companies cannot predict all such risk factors, nor can the companies assess the impact of all such risk factors on their respective businesses 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) |
| (In thousands) |
| |
|
|
June 30, |
|
December 31, |
|
|
2017 |
|
2016 |
| ASSETS |
|
|
|
|
|
|
|
|
|
| Current Assets: |
|
|
|
|
| Cash and cash equivalents |
|
$ |
751,581 |
|
$ |
718,536 |
| Trade accounts receivable, net |
|
|
494,683 |
|
|
326,844 |
| Other receivables |
|
|
24,884 |
|
|
19,191 |
| Total receivables |
|
|
519,567 |
|
|
346,035 |
| Inventories |
|
|
669,741 |
|
|
700,515 |
| Prepaid expenses and other current assets |
|
|
54,119 |
|
|
62,680 |
| Total current assets |
|
|
1,995,008 |
|
|
1,827,766 |
| Property, plant and equipment, net |
|
|
527,441 |
|
|
494,473 |
| Deferred tax assets |
|
|
33,517 |
|
|
26,043 |
| Other assets |
|
|
53,324 |
|
|
45,388 |
| Total non-current assets |
|
|
614,282 |
|
|
565,904 |
| TOTAL ASSETS |
|
$ |
2,609,290 |
|
$ |
2,393,670 |
|
|
|
|
|
| LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
|
|
| Current Liabilities: |
|
|
|
|
| Current installments of long-term borrowings |
|
$ |
1,792 |
|
$ |
1,783 |
| Accounts payable |
|
|
528,251 |
|
|
520,437 |
| Short-term borrowings |
|
|
4,049 |
|
|
6,086 |
| Accrued expenses |
|
|
101,518 |
|
|
93,424 |
| Total current liabilities |
|
|
635,610 |
|
|
621,730 |
| Long-term borrowings, net of current installments |
|
|
68,271 |
|
|
67,159 |
| Deferred tax liabilities |
|
|
417 |
|
|
412 |
| Other long-term liabilities |
|
|
21,734 |
|
|
18,855 |
| Total non-current liabilities |
|
|
90,422 |
|
|
86,426 |
| Total liabilities |
|
|
726,032 |
|
|
708,156 |
| Stockholders’ equity: |
|
|
|
|
| Skechers U.S.A., Inc. equity |
|
|
1,779,097 |
|
|
1,603,633 |
| Noncontrolling interests |
|
|
104,161 |
|
|
81,881 |
| Total equity |
|
|
1,883,258 |
|
|
1,685,514 |
| TOTAL LIABILITIES AND EQUITY |
|
$ |
2,609,290 |
|
$ |
2,393,670 |
| |
| SKECHERS U.S.A., INC. AND SUBSIDIARIES |
| CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS |
| (Unaudited) |
| (In thousands, except per share data) |
| |
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
|
|
2017
|
|
|
|
2016
|
|
|
|
2017
|
|
|
|
2016
|
|
| Net sales |
|
$ |
1,025,934 |
|
|
$ |
877,810 |
|
|
$ |
2,098,742 |
|
|
$ |
1,856,604 |
|
| Cost of sales |
|
|
537,613 |
|
|
|
461,556 |
|
|
|
1,133,923 |
|
|
|
1,008,198 |
|
| Gross profit |
|
|
488,321 |
|
|
|
416,254 |
|
|
|
964,819 |
|
|
|
848,406 |
|
| Royalty income |
|
|
3,221 |
|
|
|
3,307 |
|
|
|
7,451 |
|
|
|
5,932 |
|
|
|
|
491,542 |
|
|
|
419,561 |
|
|
|
972,270 |
|
|
|
854,338 |
|
| Operating expenses: |
|
|
|
|
|
|
|
|
| Selling |
|
|
99,950 |
|
|
|
75,966 |
|
|
|
173,759 |
|
|
|
129,844 |
|
| General and administrative |
|
|
305,283 |
|
|
|
243,240 |
|
|
|
587,779 |
|
|
|
485,589 |
|
|
|
|
405,233 |
|
|
|
319,206 |
|
|
|
761,538 |
|
|
|
615,433 |
|
| Earnings from operations |
|
|
86,309 |
|
|
|
100,355 |
|
|
|
210,732 |
|
|
|
238,905 |
|
| Other income (expense): |
|
|
|
|
|
|
|
|
| Interest, net |
|
|
(1,464 |
) |
|
|
(1,542 |
) |
|
|
(2,540 |
) |
|
|
(2,664 |
) |
| Other, net |
|
|
2,664 |
|
|
|
(2,604 |
) |
|
|
3,359 |
|
|
|
175 |
|
|
|
|
1,200 |
|
|
|
(4,146 |
) |
|
|
819 |
|
|
|
(2,489 |
) |
| Earnings before income tax expense |
|
|
87,509 |
|
|
|
96,209 |
|
|
|
211,551 |
|
|
|
236,416 |
|
| Income tax expense |
|
|
14,109 |
|
|
|
12,200 |
|
|
|
31,516 |
|
|
|
42,768 |
|
| Net earnings |
|
|
73,400 |
|
|
|
84,009 |
|
|
|
180,035 |
|
|
|
193,648 |
|
| Less: Net earnings attributable to noncontrolling interests |
|
|
13,865 |
|
|
|
9,902 |
|
|
|
26,505 |
|
|
|
21,929 |
|
| Net earnings attributable to Skechers U.S.A., Inc. |
|
$ |
59,535 |
|
|
$ |
74,107 |
|
|
$ |
153,530 |
|
|
$ |
171,719 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net earnings per share attributable to Skechers U.S.A., Inc.: |
|
|
|
|
|
|
|
|
| Basic |
|
$ |
0.38 |
|
|
$ |
0.48 |
|
|
$ |
0.99 |
|
|
$ |
1.12 |
|
| Diluted |
|
$ |
0.38 |
|
|
$ |
0.48 |
|
|
$ |
0.98 |
|
|
$ |
1.11 |
|
|
|
|
|
|
|
|
|
|
| Weighted average shares used in calculating earnings per share attributable to Skechers U.S.A., Inc.: |
|
|
|
|
|
|
|
|
| Basic |
|
|
155,579 |
|
|
|
154,049 |
|
|
|
155,340 |
|
|
|
153,901 |
|
| Diluted |
|
|
156,174 |
|
|
|
155,023 |
|
|
|
156,016 |
|
|
|
154,912 |
|
Company Contact:
SKECHERS USA, Inc.
David Weinberg
Chief Operating Officer
Chief Financial Officer
(310) 318-3100
or
Investor Relations:
Addo Investor Relations
Andrew Greenebaum
(310) 829-5400