Crocs Inc. (NASDAQ:CROX) reported first-quarter results that exceeded analyst forecasts, though shares fell 1.4% as investors reacted to a softer-than-expected second-quarter outlook.
Adjusted earnings per share came in at $2.99, topping the $2.77 consensus estimate by $0.22.
Revenue reached $921.5 million, surpassing the $900.85 million forecast. The company credited the stronger performance to solid demand across both its Crocs and HEYDUDE brands, with particularly strong growth in direct-to-consumer channels.
However, guidance for the second quarter disappointed. Crocs expects EPS in the range of $4.15 to $4.35, with a midpoint of $4.25 below the $4.30 analyst consensus. The company also anticipates a slight year-over-year decline in revenue compared with the second quarter of 2025, pointing to near-term pressures.
For the full fiscal year 2026, Crocs raised its outlook, projecting EPS between $13.20 and $13.75. The midpoint of $13.48 is above the $13.33 consensus estimate.
The company now expects annual revenue to range from a decline of about 1% to growth of 1% versus fiscal 2025, an improvement from its previous guidance of down 1% to slightly positive.
“We are pleased to have started the year with better-than-expected results, fueled by broad consumer relevance for both of our brands and disciplined execution against our strategy,” said Chief Executive Officer Andrew Rees.
Management noted that first-quarter performance was supported by strong consumer response to product innovation across categories, along with continued expansion in direct-to-consumer sales for both brands. Despite the upgraded full-year outlook, the weaker near-term guidance weighed on investor sentiment.