Deckers’ first quarter performance was driven by continued momentum across its leading brands, HOKA and UGG, as management pointed to strong consumer adoption of new product lines and full price sell-through, particularly in direct-to-consumer (DTC) channels. CEO Stefano Caroti cited innovative product pipelines and disciplined inventory management as key factors, emphasizing that “high levels of full price sell through underscored our continued focus on quality sales.” Management also highlighted that the quarter benefited from robust global demand and effective product launches, especially for updated HOKA and UGG franchises.
Is now the time to buy DECK? Find out in our full research report (it’s free for active Edge members).
Deckers (DECK) Q1 CY2026 Highlights:
- Revenue: $1.12 billion vs analyst estimates of $1.09 billion (9.6% year-on-year growth, 2.9% beat)
- Adjusted EPS: $0.96 vs analyst estimates of $0.83 (15.2% beat)
- Adjusted EBITDA: $177.5 million vs analyst estimates of $152.9 million (15.9% margin, 16.1% beat)
- Operating Margin: 14%, down from 17.4% in the same quarter last year
- Locations: 209.5 at quarter end, up from 179 in the same quarter last year
- Constant Currency Revenue rose 7.7% year on year, in line with the same quarter last year
- Same-Store Sales rose 8.2% year on year (-1.6% in the same quarter last year)
- Market Capitalization: $15.88 billion
While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Deckers’s Q1 Earnings Call
-
Laurent Vasilescu (BNP Paribas) asked about the confidence behind HOKA’s double-digit growth outlook, especially considering shipment timing. CFO Steven Fasching emphasized strong global trends and clarified that timing-related fluctuations do not reflect underlying business strength.
-
Paul Lejuez (Citi) questioned the visibility of HOKA’s wholesale order book and the role of lifestyle offerings. CEO Stefano Caroti pointed to strong spring sell-throughs and early signs that lifestyle products like the Mafate SP2 and Bondi 7 are gaining traction.
-
Jay Sole (UBS) inquired about the evolution of UGG’s seasonal mix and the potential for more HOKA retail store openings. Caroti confirmed plans to expand HOKA’s retail presence, especially in key cities, and expects UGG’s spring and summer categories to outpace traditional fall/winter products.
-
Blake Anderson (Jefferies) sought clarity on medium-term operating margin expectations and input cost pressures. Fasching reiterated that margin pressures are due primarily to inflation and higher materials, while also noting Deckers’ pricing power and commitment to full price selling.
-
Adrienne Yih-Tennant (Barclays) asked about international strategy and inventory positioning. Caroti explained that international markets remain underpenetrated, with ongoing tests for retail expansion, while Fasching noted that disciplined inventory management supports full price sales and future order strength.
Catalysts in Upcoming Quarters
Looking forward, the StockStory team will monitor (1) the rollout and consumer adoption of new HOKA franchise launches and expanded UGG product lines, (2) execution on international store openings and the success of DTC initiatives, and (3) the company’s ability to manage input cost pressures and maintain gross margin discipline. We will also track the impact of marketing investments and the pace of order growth in wholesale channels.
Deckers currently trades at $113.52, up from $102.62 just before the earnings. In the wake of this quarter, is it a buy or sell? The answer lies in our full research report (it’s free).
The Best Stocks for High-Quality Investors
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE.
Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
