Crocs confirmed that it was closing the last of its manufacturing stores on Tuesday, but the footwear business asserted that it was not going out of business.
“In connection with ongoing struggles to simplify the business and improve profitability, during the second quarter, the friends closed its manufacturing facility in Mexico and moved ahead with designs to close its last manufacturing facility, which is located in Italy,” the companions said in a statement Tuesday.
The company did not offer explanations as to how it would resume to manufacture shoes, sending fans into a Twitter frenzy. Lull, the company asserted that it was not going out of business.
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Crocs did not sympathize with immediately to CNBC’s request for further comment.
Shares closed down 2.65 percent at $17.64 Tuesday after the report was made as part of the company’s second quarter earnings release. The keep accumulate rose more than 3 percent in Thursday afternoon trading.
Crocs reported earnings of 35 cents per share out, beating the 31-cent consensus estimate of analysts as tracked by Thomson Reuters. Gross income for the quarter came in at $328 million, beating a FactSet consensus thinking of $321 million.
The company still expects expects revenue between $240 million and $250 million for the third lodge, in line with consensus estimates, despite the closures.
The company also hint ated that Carrie Teffner, executive vice president and CFO of the casual footwear kind, would be leaving the company next April. Teffner will be gained as CFO by Anne Mehlman, a former vice president of corporate finance for the shoemaker and the present CFO of Zappos.