Crocs (NASDAQ: CROX) shares shot up over 16% on Tuesday following the rise of its 2021 revenue outlook as well as positive first-quarter sales. Amid the pandemic, the shoemaker experienced its best sales to date, as people searched for comfort while in lockdown.
CEO Andrew Rees deemed that demand for the brand is “stronger than ever” worldwide. Nevertheless, the company had been experiencing growth even before the pandemic thanks to limited edition drops with big name celebrities.
This past weekend, musician Questlove was seen sporting custom gold Crocs at the Oscars. The company often collaborates with various artists and brands, such as Post Malone, Justin Bieber and restaurant chain KFC. A partnership with Latin artist Bad Bunny sold out immediately after launch in September of 2020.
“Some [of our collaborations] are designed to attract new customers and to be able to market to them in the future,” Crocs CEO Andrew Rees told analysts during an earnings call on Tuesday. “And some of them are designed to be kind of interesting and buzzworthy. In 2021, we will do more international collaborations.”
Crocs earnings amounted to USD1.49 per share, compared to the expected USD0.89 a share. Revenue totaled USD460.1 Million, higher than analysts anticipated USD415 Million.
Crocs witnessed a 75.3% increase in digital sales, totalling 32.3% of revenue. Moreover, direct-to-consumer sales from stores or the website rose 93.3% to USD170.1 Million.
“Looking forward, we remain focused on strategically important accounts comprised of leading e-tailers, sporting goods and family footwear and specialty footwear retailers,” Rees said.
Crocs shares have surged over 260% within the last year and has a current market cap of USD5.5 Billion.