2014 | Skechers (about.skechers.com)

SKECHERS to Present at the 2014 Bank of America Merrill Lynch Consumer and Retail Conference on March 11

by | Feb 26, 2014 | Press Release

LOS ANGELES–(BUSINESS WIRE)– SKECHERS USA, Inc. (NYSE: SKX) today announced that David Weinberg, the Company’s Chief Operating Officer and Chief Financial Officer, will present at the 2014 Bank of America Merrill Lynch Consumer and Retail Conference on Tuesday, March 11, 2014, at 10:30 AM ET at the New York Palace Hotel in New York, NY.

The audio portion of the presentation will be available live by visiting the ‘Investor Relations’ section of the Company’s Website at www.skx.com. A replay of the audio will be accessible on the site for 90 days following the live presentation.

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 via department and specialty stores, Company-owned SKECHERS retail stores and its e-commerce website, and in over 100 countries and territories through the Company’s international network of subsidiaries in Canada, Brazil, Chile, Japan, and across Europe, as well as through joint ventures in Asia and distributors around the world. For more information, please visit www.skechers.com, and follow us on Facebook (www.facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).

Company Contact:
SKECHERS USA, Inc.
David Weinberg, 310-318-3100
Chief Operating Officer/Chief Financial Officer
or
Investor Relations:
Addo Communications
Andrew Greenebaum, 310-829-5400

SKECHERS Announces Fourth Quarter and Fiscal Year 2013 Financial Results

by | Feb 12, 2014 | Press Release

Fourth Quarter 2013 Net Sales Increased 13.9 Percent to $450.7 Million
Fourth Quarter 2013 Net Earnings of $14.2 Million
Fourth Quarter 2013 Diluted Earnings Per Share of $0.28
Fiscal Year 2013 Net Sales Increased 18.3 Percent to $1.846 Billion

MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS USA, Inc. (NYSE:SKX) today announced financial results for the fourth quarter and fiscal year ended December 31, 2013.

Net sales for the fourth quarter of 2013 were $450.7 million compared to $395.6 million in the fourth quarter of 2012. Gross profit for the fourth quarter of 2013 was $200.6 million or 44.5 percent of net sales compared to $168.5 million or 42.6 percent of net sales in the fourth quarter of 2012. Earnings from operations in the fourth quarter of 2013 were $17.1 million compared to earnings from operations of $8.0 million in the fourth quarter of 2012. The Company’s effective tax rate for the year-ended December 31, 2013, was 26.0 percent, which was down from the forecasted rate of 31.9 percent at the close of the third quarter 2013. This was due to increased international and slightly decreased domestic profitability. The Company expects improved international sales and profitability to continue to have a positive impact on its 2014 effective tax rate, which is expected to be between 25 percent and 30 percent.

“The momentum we experienced in the first nine months of 2013 continued in the fourth quarter, which resulted in the second highest fourth quarter sales in the Company’s history and a 13.9 percent net sales increase for the period on top of last year’s fourth quarter net sales gain of 39.7 percent,” began David Weinberg, SKECHERS chief operating officer and chief financial officer. “The growth is related to the strong product successes we are experiencing across our men’s, women’s, and kids’ categories, which resulted in double-digit increases in our Company-owned retail and domestic wholesale businesses, and single-digit increases in our international and e-commerce businesses. Further indication of the strength of our product is the 12.8 percent comp store sales increases in our worldwide Company-owned retail stores during the fourth quarter.”

Net earnings for the fourth quarter of 2013 were $14.2 million compared to net earnings of $4.0 million in the fourth quarter of 2012. Net earnings per diluted share in the fourth quarter of 2013 were $0.28 based on 50.7 million weighted average shares outstanding compared to $0.08 based on 50.3 million weighted average shares outstanding in the fourth quarter of 2012.

Fiscal year 2013 net sales were $1.846 billion compared to net sales of $1.560 billion in 2012. Gross profit for 2013 was $818.8 million or 44.4 percent of net sales compared to $683.3 million or 43.8 percent of net sales in 2012. Earnings from operations for 2013 were $93.6 million compared to $22.3 million in 2012.

Net earnings for 2013 were $54.8 million compared to $9.5 million in 2012. Net earnings per diluted share for fiscal year 2013 were $1.08 based on 50.6 million weighted average shares outstanding versus $0.19 based on 49.9 million weighted average shares outstanding in the prior year.

Robert Greenberg, SKECHERS chief executive officer, commented: “Skechers has always been a product focused company, but in 2013, we challenged ourselves to deliver key styles from every one of our divisions. This more diversified product approach resulted in strong sales across our distribution channels. With our broad assortment of products, we weathered the unseasonably cold winter in the Midwest and Northeast thanks to one of our strongest boot collections, and the unseasonably warm weather in the West thanks to one of our strongest Sport collections. We were also honored as Brand of the Year for Skechers GO from Footwear News, and received the 2013 Excellence in Design Awards for Running and Kids footwear from Footwear Plus—two significant recognitions from leading trade magazines. The momentum we have been experiencing in the United States reached multiple markets around the world, resulting in sales improvements in Europe, Asia, the Middle East, Australia and South America. We supported our many divisions with a multi-level marketing campaign centered around television advertising. In the fourth quarter, these included campaigns with Brooke Burke-Charvet for both Relaxed Fit from Skechers and Bobs from Skechers campaigns, and two spots featuring sports icons Joe Montana and Mark Cuban for our men’s Relaxed Fit by Skechers footwear. This quarter, we launched a new commercial for Skechers GOrun Ride 3 featuring elite runner and Olympic medalist Meb, who won the Houston Half Marathon last month. Our focus is to continue to deliver innovative, in-demand footwear that consumers around the globe will seek out, and support our product with impactful marketing. We are confident we can achieve this efficiently and continue to profitably grow our business through 2014.”

David Weinberg continued: “We believe 2013, with our second highest annual net sales ever, was the beginning of a growth trend for SKECHERS that we see continuing through 2014. Key performance indicators of this momentum are the approximately 30 percent increase in our combined worldwide backlogs at year-end, and our healthy January 2014 sales, including mid-single-digit comp store sales increases in our worldwide retail stores—in spite of the weather impacting a large portion of the United States. We are committed to maintaining this positive trend through product development, growth in our emerging and established international markets, deeper penetration in key domestic accounts, and the planned opening of 60 to 70 new Company-owned stores this year. With $372.0 million in cash as of year-end, in-line inventory and strong double-digit backlogs, we believe the momentum we experienced since the end of 2012 will continue through 2014, and we are comfortable with the consensus numbers currently reported for the first quarter and full year.”

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 via department and specialty stores, Company-owned SKECHERS retail stores and its e-commerce website, and in over 100 countries and territories through the Company’s international network of subsidiaries in Canada, Brazil, Chile, Japan, and across Europe, as well as through joint ventures in Asia and distributors around the world. For more information, please visit www.skechers.com, and follow us on Facebook (www.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 growth, financial results and operations, its development of new products, future demand for its products and growth opportunities, and its planned opening of new stores, 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 resignation of the Company’s former independent registered public accounting firm, and its withdrawal of its audit reports with respect to certain of the Company’s historical financial statements; international, national and local general economic, political and market conditions including the ongoing global economic slowdown and market instability; 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, as amended, on Forms 10-K and Form 10-K/A for the year ended December 31, 2012 and its quarterly report on Form 10-Q for the three months and nine months ended September 30, 2013. 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 U.S.A., INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands)

	December 31, 2013		December 31, 2012
ASSETS
Current Assets:
Cash and cash equivalents	$	372,011	$	325,826
Trade accounts receivable, net		225,941		213,697
Other receivables		10,599		7,491
Total receivables		236,540		221,188
Inventories		358,168		339,012
Prepaid expenses and other current assets		26,094		27,755
Deferred tax assets		22,115		26,531
Total current assets		1,014,928		940,312
Property, plant and equipment, at cost, less accumulated depreciation and amortization		361,755		362,446
Goodwill and other intangible assets, less applicable amortization		2,377		3,242
Deferred tax assets		9,950		16,387
Other assets, at cost		19,560		17,833
Total non-current assets		393,642		399,908
TOTAL ASSETS	$	1,408,570	$	1,340,220

LIABILITIES AND EQUITY
Current Liabilities:
Current installments of long-term borrowings	$	12,028	$	11,668
Short-term borrowings		87		2,425
Accounts payable		258,183		241,525
Accrued expenses		40,124		36,923
Total current liabilities		310,422		292,541
Long-term borrowings, excluding current installments		116,488		128,517
Other long-term liabilities		1,740		73
Total non-current liabilities		118,228		128,590
Total liabilities		428,650		421,131
Stockholders’ equity:
Skechers U.S.A., Inc. equity		930,322		875,969
Noncontrolling interests		49,598		43,120
Total equity		979,920		919,089
TOTAL LIABILITIES AND EQUITY	$	1,408,570	$	1,340,220


SKECHERS U.S.A., INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except per share data)

	Three Months Ended December 31,						Twelve Months Ended December 31,
	2013			2012			2013			2012
Net sales	$	450,737		$	395,617		$	1,846,361		$	1,560,321
Cost of sales		250,092			227,153			1,027,569			876,995
Gross profit		200,645			168,464			818,792			683,326
Royalty income		2,890			2,601			7,734			7,104
		203,535			171,065			826,526			690,430
Operating expenses:
Selling		33,496			31,086			153,491			134,920
General and administrative		151,699			132,142			577,214			532,373
Legal settlements (recoveries)		1,278			(123	)		2,212			818
		186,473			163,105			732,917			668,111
Income from operations		17,062			7,960			93,609			22,319
Other income (expense):
Interest, net		(2,696	)		(3,450	)		(11,049	)		(12,765	)
Gain (loss) on disposal of assets		602			(14	)		447			(216	)
Other, net		1,509			2,138			(792	)		1,135
		(585	)		(1,326	)		(11,394	)		(11,846	)
Earnings before income taxes		16,477			6,634			82,215			10,473
Income tax expense (benefit)		376			2,968			21,347			(39	)
Net earnings		16,101			3,666			60,868			10,512
Less: Net earnings (loss) attributable to noncontrolling interest		1,936			(290	)		6,080			1,000
Net earnings attributable to Skechers U.S.A., Inc.	$	14,165		$	3,956		$	54,788		$	9,512


Net earnings per share attributable to Skechers U.S.A., Inc.:
Basic	$	0.28		$	0.08		$	1.09		$	0.19
Diluted	$	0.28		$	0.08		$	1.08		$	0.19

Weighted average shares used in calculating earnings per share attributable to Skechers U.S.A., Inc.:
Basic		50,463			49,980			50,363			49,495
Diluted		50,653			50,271			50,563			49,942

Company Contact:
SKECHERS USA, Inc.
David Weinberg
Chief Operating Officer,
Chief Financial Officer
(310) 318-3100
or
Investor Relations:
Addo Communications
Andrew Greenebaum
(310) 829-5400

SKECHERS USA, Inc. to Report Fourth Quarter and Full Year 2013 Financial Results on Wednesday, February 12

by | Feb 6, 2014 | Press Release

MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS USA, Inc. (NYSE: SKX), a global leader in lifestyle footwear, announced today that the Company’s conference call to review its fourth quarter and full year fiscal 2013 financial results will be broadcast live over the internet on Wednesday, February 12, 2014, at 1:30 p.m. PT / 4:30 p.m. ET. Participating on the call will be David Weinberg, Chief Operating Officer and Chief Financial Officer.

The call can be accessed on the Investor Relations section of the Company’s website at www.skx.com. For those unable to participate during the live broadcast, a replay will be available beginning February 12, 2014, at 7:30 p.m. ET, through February 26, 2014, at 11:59 p.m. ET. To access the replay, dial 877-870-5176 (U.S.) or 858-384-5517 (International) and use passcode: 13574770.

About SKECHERS USA, Inc.

SKECHERS USA, Inc. (NYSE:SKX), 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 via department and specialty stores, Company-owned SKECHERS retail stores and its e-commerce website, and in over 100 countries and territories through the Company’s international network of subsidiaries in Canada, Brazil, Chile, Japan, and across Europe, as well as through joint ventures in Asia and distributors around the world. For more information, please visit www.skechers.com, and follow us on Facebook (www.facebook.com/SKECHERS) and Twitter (twitter.com/SKECHERSUSA).

SKECHERS USA, Inc.
David Weinberg
Chief Operating Officer and Chief Financial Officer
310-318-3100
or
Investor Relations:
Addo Communications
Andrew Greenebaum
310-829-5400
[email protected]

SKECHERS’ Running and Children’s Product Wins 2013 Design Excellence Awards from Footwear Plus Magazine

by | Feb 6, 2014 | Press Release

MANHATTAN BEACH, Calif.–(BUSINESS WIRE)– SKECHERS USA, Inc. (NYSE:SKX), a global leader in lifestyle footwear, today announced that it has won the 2013 Running Design Excellence and Children’s Design Excellence awards as part of Footwear Plus magazine’s annual Plus Awards. This honor marks SKECHERS’first running award from Footwear Plus, and the second for the Kids design category.

The Plus Awards, which were presented yesterday in New York, are nominated and voted on annually by footwear retailers nationwide in recognition of the industry’s most compelling product offerings.

“It’s a tremendous honor to receive these awards for our company’s performance and lifestyle categories,” said Michael Greenberg, president of SKECHERS. “Since the launch of the Skechers Performance division in 2011, we’ve developed innovative, never-before-seen designs for the performance world, and we’re excited to receive enthusiastic responses from both the footwear and running industries, including Footwear News’ December announcement of Skechers GO as 2013 Brand of the Year.

“That the industry feels we’ve been able to do this while continuing to strengthen our legacy as a lifestyle and kids’ footwear brand is a huge motivation for our team,” continued Greenberg. “We’re inspired by our peers’ support of these achievements, and look forward to bringing even more exciting product to market in the years to come.”

“SKECHERS has earned numerous accolades from the Plus Awards over the years –winning Company of the Year five times, and multiple design awards for men’s, women’s and children’s product,” added Greg Dutter, Editorial Director of Footwear Plus magazine. “And winning the Plus Award in such traditionally independent brand categories as running and children’s product is a true testament to the Company’s determination to connect with more consumers through relevant, innovative product. We look forward to seeing how else they’ll redefine our industry.”

SKECHERS’ previous Footwear Plus awards include the Company of the Year Award in 2005, 2006, 2008, 2009 and 2010, and Plus Awards for Design Excellence in 2000 for Young Women’s Fashion, in 2001 for Women’s Streetwear, and in 2002 for Kids’ Fashion. SKECHERS also won Plus Awards for Design Excellence in Men’s Streetwear in 2005 and 2006 for its fashion brand Marc Ecko.

About SKECHERS USA, Inc.

SKECHERS USA, Inc. (NYSE:SKX), 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 via department and specialty stores, Company-owned SKECHERS retail stores and its e-commerce website, and in over 100 countries and territories through the Company’s international network of subsidiaries in Canada, Brazil, Chile, Japan, and across Europe, as well as through joint ventures in Asia and distributors around the world. For more information, please visit www.skechers.com, and follow us on Facebook (https://www.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 financial results and operations, its development of new products, future demand for its products and growth opportunities, and its planned 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 resignation of the Company’s former independent registered public accounting firm, and its withdrawal of its audit reports with respect to certain of the Company’s historical financial statements; international, national and local general economic, political and market conditions including the ongoing global economic slowdown and market instability; 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, as amended, on Forms 10-K and 10-K/A for the year ended December 31, 2012 and its quarterly report on Form 10-Q for the three months and nine months ended September 30, 2013. 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.
Jennifer Clay, 310-937-1326