Deckers Posts Record Q1; Warns on Tariffs

Deckers Outdoor Corp., parent of Hoka and Ugg, reported record-breaking fiscal 2026 first-quarter revenue of $965 million, surpassing analyst expectations. Hoka sales rose nearly 20% to $653 million, while Ugg grew about 19%, with international demand—especially from China and Europe—driving results. International sales soared almost 50%, helping offset sluggish U.S. demand and significant tariff costs, which are forecast to total $185 million this year. Despite strong earnings and a share price increase of up to 18% after the report, Deckers withheld full-year guidance due to macroeconomic uncertainty. The company continues to raise product prices to help counteract inflation and tariffs. While Hoka and Ugg performed well, other brands in Deckers' portfolio experienced sales declines.