NIWOT – Shoemaker Crocs Inc. saw first-quarter revenue decline by nearly 78 percent versus the same period a year ago, according to its most recent earnings report.
The Niwot-based company’s results came despite revenue ticking upward slightly to $312.4 million and falling in line with expectations.
“Factors driving our first quarter 2014 performance included the impact of the shift of the Easter holiday from March into April, negative currency impacts in Japan and Russia, and the change in product mix,” Crocs chief financial officer Jeff Lasher said.
Lasher said Russia, for instance, accounts for about 15 percent of the company’s business in Europe, causing a hit to results there due to the weakening of the Russian ruble in January.
Lasher said clog sales have declined as a percentage of revenues as the company diversifies with new brands like Stretch Sole and Busy Day.
Crocs’ first-quarter net income was $6.4 million, or 6 cents per share, down from $29 million a year ago.
Also during the first quarter, the company repurchased 870,000 shares of common stock for $13 million under an aggressive repurchase plan announced last year.
Crocs expects revenue of $370 million to $375 million for the second quarter as the company continues to search for a new chief executive. John McCarvel’s last day on the job was Wednesday, and it was announced previously that Crocs chairman of the board Thomas Smach would serve as interim CEO until a replacement is found.
Crocs shares were up two percent to $15.47 by mid-afternoon Thursday.