On March 7th, a reporter from New Beijing News and Shell Finance noticed that Deckers Brands, the parent company of American shoe brand UGG, released key performance data for the third quarter of the 2024 fiscal year as of December 31, 2023. During the period, the group's revenue increased by 16% year-on-year to $1.56 billion, reaching a historic high.
During the financial reporting period, the main brands UGG and HOKA under Deckers Brands Group contributed over 96% of revenue, with UGG sales increasing by 15% year-on-year to $1.072 billion, exceeding $1 billion for the first time in a single quarter.
Dave Powers, President and CEO of Deckers Brands Group, stated, "In the third quarter, UGG's global brand popularity and global sales showed excellent performance." During the financial reporting period, the group opened several new stores, including UGG's Shanghai flagship store. Dave Powers specifically pointed out, "In Shanghai, we see that the average transaction volume of UGG stores is about 20% higher than the average level of stores in other regions of China, and the conversion rate is more than twice the average level."
Regarding the future development of the UGG brand, Dave Powers stated, "UGG has become more diversified and has more wearing scenarios. Currently, this brand not only sells boots and slippers, but also new hybrid innovative products, including sports shoe categories." In Dave Powers' view, UGG is still a growth brand, "and we believe that in the future, median single digit sales growth is a healthy and effective trend for the UGG brand."