Deckers Outdoor (DECK) Q4 2025 earnings summary

Executive summary

• FY25 revenue reached a record $4.99B, up 16% year-over-year, with EPS up 30% to $6.33, both all-time highs.

• HOKA and UGG brands led growth, with HOKA revenue up 24% to $2.2B and UGG up 13% to $2.5B, both showing strong international and wholesale gains.

• Direct-to-consumer (DTC) channel accounted for 57% of FY25 revenue, with wholesale at 43%.

• Five-year CAGR: total revenue 19%, EPS 32%, with HOKA and UGG adding $1.9B and $1B, respectively.

• Cindy Davis named new board chair, succeeding Mike Devine.

Financial highlights

• FY25 gross margin 57.9%, up 230 bps; operating margin 23.6%–23.7%; EPS $6.33, up from $4.86.

• Q4 revenue $1.02B, up 6%–6.5% year-over-year; Q4 gross margin 56.7%; Q4 EPS $1.00, up 22%.

• FY25 SG&A $1.71B (34.2% of revenue), up 17% due to higher marketing, talent, and infrastructure investments.

• FY25 free cash flow above $900M; year-end cash $1.89B; no debt.

• FY25 ROIC above 35%.

Outlook and guidance

• No formal FY26 guidance due to macroeconomic and trade uncertainty; previously targeted double-digit growth, led by mid-teens for HOKA and mid-single digits for UGG.

• Q1 FY26 revenue expected $890M–$910M; HOKA up low double digits, UGG up mid-single digits; gross margin down ~250 bps; EPS $0.62–$0.67.

• Tariffs could increase FY26 COGS by up to $150M; mitigation via selective price increases and cost-sharing, but not fully offset.

• Continued investment in digital, supply chain, and talent to support global scaling.