Crocs’ Q3 Americas web sales bring down global online sales
October 31, 2013 11:27 AM
Web sales in the Americas region decreased 32.8% year over year in the third quarter at Crocs Inc., the manufacturer and retailer of clogs and other casual footwear, to $11.221 million from $16.705 million. Despite strong growth in Europe and Asia-Pacific outside of Japan, total worldwide web sales dropped 13.7% to $23.435 million from $27.146 million, the company said yesterday.
As a percentage of total retail sales, total worldwide Q3 web sales fell to 15.8% from 19.5% a year earlier, as total retail sales, including stores and kiosks, increased 11.2%.
"During the third quarter we saw strong performance in our Asia-Pacific region and marked improvement in all channels of our European business," says John McCarvel, president and CEO. "This positive performance was counterbalanced by weakness in the Americas and Japan where all sales channels performed below our expectations.”
McCarvel adds that overall sales in the Americas region, including wholesale sales, were impacted by efforts by its retailer customers to hold leaner inventories combined with “weak consumer confidence affecting our consumer-direct performance.”
Crocs also reported for the third quarter ended Sept. 30:
● A 25.7% year-over-year increase in web sales in its Asia-Pacific region to $2.669 million from $2.124 million;
● A 35.1% rise in web sales in Europe to $7.494 million from $5.548 million;
● A 25.9% drop in web sales in Japan to $2.051 million from $2.769 million;
● Total retail sales, including from stores and kiosks, increased 6.3% to $148.135 million from $139.320 million;
● Wholesale sales in the Americas fell 20.0% to $45.134 million from $56.445 million;
● Total worldwide wholesale sales dropped 10.2% to $140.389 million from $156.249 million;
● Total combined retail and wholesale revenue fell 2.4% to $288.524 million from $295.569 million.
For the nine months ended Sept. 30, Crocs reported:
● A drop of 15.9% in web sales in the Americas region to $39.267 million from $46.700 million, as total web sales of $73.890 million accounted for 18.4% of total retail sales of $401.970 million; a year earlier, total web sales accounted for 21.4% of total retail sales.
● A 41.9% rise in web sales in Asia Pacific to $7.553 million from $5.322 million;
● A 12.9% rise in web sales in Europe to $20.996 million from $18.603 million
● A drop of 13.2% in web sales in Japan to $6.074 million from $6.997 million;
● Total retail sales, including stores and kiosks, increased 10.8% to $401.970 million from $362.842 million;
● Wholesale sales in the Americas rose 4.2% to $195.827 million from $187.870 million;
● Total worldwide wholesale sales rose 5.0% to $562.037 million from $535.467 million.
● Total combined retail and wholesale revenue rose 7.3% to $964.007 million from $898.309 million.