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Deckers Brands, the US footwear group behind HOKA, UGG and Teva, reported net sales of $1.020 billion (£765 million) for the three months ended 30 June 2026, an increase of 5.7%, with performance driven by HOKA and international sales growth.
Summary of results
- Overall first-quarter net sales increased 5.7% to $1.020 billion (£765 million), or 4.8% on a constant-currency basis.
- HOKA sales rose 7.7% to $703.5 million (£527.6 million), while UGG grew 4.9% to $278 million (£208.5 million).
- International revenue increased 8.4% for the group.
HOKA remains Deckers’ main growth engine
Deckers’ first-quarter performance was led by HOKA, which generated about 69% of group revenue. Sales increased 7.7% from $653.1 million (£489.8 million) to $703.5 million (£527.6 million).
UGG remained the second-largest brand, growing 4.9% from $265.1 million (£198.8 million) to $278 million (£208.5 million).
Revenue from other brands, including footwear brand Teva, declined 18.1% to $37.9 million (£28.4 million). Deckers said this reflected, in part, the impact of phasing out Koolaburra’s standalone operations.
International and DTC sales outpace the group
International sales rose 8.4% to $502.1 million (£376.6 million), accounting for nearly half of group sales. The company did not break down the performance of the UK market. Domestic sales were also up 3.2% to $517.4 million (£388.1 million).
During the quarter, HOKA opened its first UK outlet pop-up at Gunwharf Quays in Portsmouth, offering footwear and apparel at discounts of at least 30% off full retail prices.
Direct-to-consumer revenue rose 13% to $352.8 million (£264.6 million), with comparable DTC sales up 6.8%. Wholesale remained the larger channel at $666.7 million (£500.0 million), representing an increase of 2.2%.
Higher costs weigh on operating income
Although gross margin improved from 55.8% to 56.4%, selling, general and administrative expenses increased from $372.6 million (£279.5 million) to $419.9 million (£314.9 million). Operating income consequently fell 6% to $155.3 million (£116.5 million), while net income declined to $130 million (£97.5 million) from $139.2 million (£104.4 million).
President and CEO Stefano Caroti said: “Deckers delivered a solid start to the fiscal year, surpassing $1 billion of first quarter revenue for the first time.”
Deckers maintained its fiscal 2027 sales guidance of $5.86 billion (£4.40 billion) to $5.91 billion (£4.43 billion). The company expects low-double-digit growth from HOKA and mid-single-digit growth from UGG.