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Deckers Posts Record Fiscal Year as HOKA Leads Growth

Strong cash generation plus an expanded $5 billion buyback leave the company able to fund HOKA expansion despite tariff-driven margin pressure.

Overview

  • Deckers reported record fourth-quarter revenue of $1.12 billion and EPS of $0.96, beating estimates and lifting full-year revenue to $5.47 billion.
  • HOKA drove the results with its biggest quarter ever at about $671.2 million in sales, roughly a 14.5–15% gain year over year, while UGG delivered mid-single-digit growth near $408.6 million.
  • The company generated more than $1 billion in free cash flow, ended the year with about $1.9 billion in cash and no debt, and repurchased roughly $1.075 billion of stock during fiscal 2026.
  • Deckers’ board increased share-repurchase authorization by $3.5 billion to approximately $5 billion and management guided fiscal 2027 revenue of $5.86–$5.91 billion with EPS of $7.30–$7.45 while citing tariff, material and freight pressures on gross margin.
  • Direct-to-consumer and international sales grew faster than U.S. wholesale, and management plans to expand HOKA retail and pursue high-single-digit company growth through 2030, a move that could drive more store openings and supply-chain investment.