Crocs Inc.’s (NASDAQ:CROX) shares marched higher after the casual shoe maker reported first quarter and revenue that exceeded market forecasts.
Shares jumped 15.16% to US$7.15 in early US trading.
Net income for the three months to 31 March rose to US$7.16mln, or 8 cents a share, from US$6.4mln, or 7 cents a share, in the year-ago period. Analyst had expected earnings per share of 3 cents.
Revenue fell to US$267.9mln from US$279.1mln, but beat forecasts of US$258.1mln.
However, the company cut its full year revenue guidance to be in the low single digits compared to the prior year. The group had previously estimated flat revenue.
Crocs said it expects second quarter revenue to be between US$305mln and US$315mln.
During the first quarter, Crocs closed a net 16 of its company-operated stores and signed agreements to transfer another 24 of these stores to distributors in the second quarter. The move was part of efforts to reduce selling, general and administrative expenses, which rose 2.55 to US$118mln in the first quarter.