Deckers Outdoor (DECK) FY2026 results: revenue $5.5 billion, up 9.8% on the year

Deckers designs, markets and distributes footwear, apparel and accessories for everyday casual use and for high-performance activity, under three proprietary brands: HOKA, UGG and Teva. The brands compete in fashion and casual lifestyle, performance, running and outdoor markets, sold through domestic and international retailers and distributors in the wholesale channel and directly to consumers through e-commerce and retail stores. All products are made by independent third-party manufacturers. The financial year ends on 31 March, and the three reportable segments are the worldwide operations of HOKA, UGG and Other brands.

The brands

HOKA is a year-round performance line offering enhanced cushioning and stability with minimal weight, originally designed for ultra-runners and now covering running, trail, hiking, fitness and lifestyle footwear along with apparel and accessories. UGG began on the California coast warming surfers coming out of the water and is now a year-round line of footwear, apparel and accessories built around comfort, softness and warmth. Other brands is mainly Teva, whose sandals, shoes and boots are built for outdoor pursuits, and the segment also carries the results of brands being wound down or sold: standalone operations for AHNU were phased out during fiscal 2026, with Ahnu.com closed on 1 October 2025; Koolaburra was phased out through the same period after Koolaburra.com closed at the end of fiscal 2025; and the Sanuk brand was sold on 15 August 2024, with its results carried up to that date. The filing states that no material exit costs or obligations were incurred with either plan.

Wholesale and direct

The wholesale channel sells to third-party retailers, including partner retailers, and to distributors, which extends reach using their scale and operations. HOKA goes primarily through full-service specialty retailers, outdoor and sporting goods retailers, select online retailers, fashion lifestyle retailers, sports style partners and higher-end department stores, with more mono-branded locations run by partner retailers. UGG goes primarily through fashion lifestyle retailers, higher-end department stores, streetwear and sports style partners, online retailers and partner retailers. Teva goes primarily through outdoor and sporting goods retailers, fashion lifestyle retailers, large national chains, higher-end department stores and online retailers. The direct channel combines company-owned e-commerce sites, running in 54 countries at 31 March 2026, with 203 company-owned retail stores, of which 141 are UGG and 62 HOKA, and 105 are concept stores against 98 outlets; the two sides work together, since a consumer may try a product in store and order online later, or research online and buy in store.

Getting the goods there

In the United States, wholesale selling runs through sales representatives organised by brand and by geography or account type, and products are distributed from distribution centres in Moreno Valley, California and Mooresville, Indiana, with a bypass programme for some wholesale customers. Internationally the brands sell in Canada, Europe, Asia and Latin America through wholly owned subsidiaries and independent distributors, some of which run partner retail stores, with warehouses and distribution centres managed by third-party logistics providers, one of which is being moved to a new partner.

Manufacturing

Finished goods are outsourced to independent manufacturers, most of them in Southeast Asia, and in the year to 31 March 2026 production came predominantly from Vietnam and Indonesia, with less than 5% from China or from any other single country. Production follows the company's detailed specifications and quality control and operating compliance standards, supported by a buying office in Hong Kong and supervisory offices in Vietnam, China and Indonesia. Goods are generally bought on individual purchase orders rather than long-term commitments, which allows the company to adapt to changing consumer preferences, economic conditions, trade relations and inventory needs. Most raw materials and components are purchased from independent suppliers the company designates, and the sheepskin used in a large share of UGG products is sourced mainly from Australia and processed by two tanneries in China.

Inventory and people

The design and manufacturing cycle runs long, so manufacturing decisions are made months ahead of demand, which creates working capital swings through the year and makes inventory hard to estimate. Levels are managed against existing orders and planned sales and budgets by brand for both channels, allowing for customer delivery requirements. At 31 March 2026 the company employed approximately 6,000 people worldwide, 9.1% more than a year earlier, including approximately 2,200 in retail stores and excluding temporary and seasonal staff.

From Deckers Outdoor's annual report on Form 10-K for the year ended 31 March 2026. The filing

Written from the 10-K filed 22 May 2026: read the full 10-K.