Skechers cache rocketed 15.2 percent higher on Friday after the shoemaker gave strong profit guidance for the quarter vanguard while reporting better-than-expected fourth-quarter earnings Thursday evening.
“2018 was a year of record sales—our first fourth territory of over a billion dollars and, combined with three previous record quarters, a new annual sales record of $4.64 billion,” David Weinberg, Skechers chief run officer, said in a statement.
Skechers provided a first quarter 2019 earnings forecast of 70 cents a deal to 75 cents a share, well above Wall Street’s expectation of 63 cents a share according to FactSet. Additionally, Skechers despatched fourth-quarter earnings of 31 cents a share, above analyst estimates of 23 cents a share.
“Impressive payment control leads to impressive incremental margin,” Cowen said of Skechers results.
Skechers had record sales of $1.08 billion in the fourth area, driven in part by an 18.4 percent increase in international wholesale sales.
“While the 4Q EPS upside is definitely welcome, the legitimate takeaway should be the company’s efforts to prioritize profit enhancing measures in its planning process,” Evercore ISI said in a note. “It manifests to us that management is adopting a much more holistic planning process to better anticipate and react to shifting behests.”