Skechers released its fourth-quarter and full-year financial results for 2024 on February 7, showing robust growth. The company reported annual revenue of USD 8.97 billion, a 12.1% year-on-year (YoY) increase. On a constant currency basis, revenue reached USD 9.04 billion, up 13%. Net profit for the year stood at USD 640 million.
After adjustments, diluted earnings per share (EPS) came in at USD 4.16, reflecting a 19.2% YoY increase. On a constant currency basis, EPS rose 26.1% to USD 4.40.
Both Skechers’ international and domestic US sales grew by 12.1% in 2024. Breaking it down by distribution channel, wholesale revenue increased by 13.2%, while D2C sales grew by 10.7%.
For the fourth quarter of 2024, Skechers posted revenue of USD 2.21 billion, up 12.8% YoY, driven primarily by 18% growth in the US market and 9.8% growth internationally. Quarterly net profit rose 14% to USD 99.3 million.
In terms of business segments, wholesale sales jumped 17.5%, while D2C sales increased by 8.4%. By region, sales was up 14% in the Americas; Europe, the Middle East, and Africa saw a 25% climb; and the Asia Pacific saw a 3% boost.
As of December 31, 2024, Skechers operated 5,296 stores worldwide, including company-owned and franchise locations.
Skechers has set a positive outlook for 2025. The company expects first-quarter revenue to range between USD 2.4 billion and USD 2.43 billion. For the full year, revenue is projected to be between USD 9.7 billion and USD 9.8 billion.
David Weinberg, Skechers’ global COO, acknowledged challenges in certain regional markets and logistics but emphasized the company’s strong global positioning. “For over three decades, we’ve upheld our core principles of delivering style, comfort, innovation and quality at an affordable price. We have maintained this commitment while evolving and adapting to meet the needs of our customers and drive global demand,” he said.
Weinberg highlighted Skechers’ ongoing commitment to product innovation. He pointed to the launch of the Skechers cricket shoes in India and a customized Lunar New Year collection for the Chinese market as recent examples. Additionally, the company is expanding its logistics infrastructure, including warehouse expansions in North America, China, and Europe.
Skechers also opened its first experiential athletic concept store in Edmonton, Canada, aiming to enhance the consumer shopping experience.
Willie Tan, CEO of Skechers China, Korea, and Southeast Asia, reaffirmed the company’s China strategy. “Beyond bringing high-quality footwear and apparel to Chinese consumers, we have localized our manufacturing in China,” Tan said. “We will continue to strengthen our operations, R&D, and service capabilities to reward the trust and loyalty of our Chinese consumers.”
Skechers is scaling its presence in China, with its second-phase China logistics center—an investment of over RMB 3 billion (USD 420 million)—reaching its first structural milestone. Tan also revealed that over 90% of Skechers products sold in China are now manufactured locally.
“I remain highly optimistic about China’s growth potential,” Tan said. “I believe China will play a pivotal role in Skechers’ journey toward achieving USD 10 billion in annual revenue by 2026.”
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This article was written by Li Xiaoxia for 36Kr.