Deckers Outdoor Corp. (NYSE:DECK)

Gross Profit Margin

The gross profit margin shows a generally positive trend from 2018 to 2021, increasing from 48.95% to a peak of 53.98%. However, in the subsequent periods, it declines slightly to 51.03% in 2022 and further to 50.32% in 2023. This indicates an initial improvement in cost management or pricing power followed by a moderate decrease in profitability at the gross level.

Operating Profit Margin

The operating profit margin exhibits a notable improvement from 11.69% in 2018 to 19.81% in 2021, reflecting enhanced operational efficiency or better control over operating expenses. There is a slight decline afterward, with margins reducing to 17.93% in 2022 and then stabilizing at 18.00% in 2023. The margins remain considerably higher than in 2018, indicating sustained operational strength.

Net Profit Margin

Net profit margin follows a similar pattern, increasing significantly from 6.01% in 2018 to 15.03% in 2021. Following this, there is a mild decrease to 14.35% in 2022 and a slight further dip to 14.25% in 2023. This suggests that after a period of strong growth in bottom-line profitability, net income margins have stabilized at a relatively high level compared to the earlier years.

Return on Equity (ROE)

Return on equity demonstrates a strong upward trend throughout the entire period, rising from 12.16% in 2018 to a peak of 29.37% in 2022 before a minor decrease to 29.27% in 2023. This indicates progressively improved effectiveness in generating profits from shareholders' equity, with only a negligible decline in the last reported year.

Return on Assets (ROA)

The return on assets increases markedly from 9.05% in 2018 to 20.22% in 2023, with a brief dip in 2020 to 15.64%. This underscores overall greater efficiency in utilizing company assets to generate earnings, reflecting either improved asset management or higher earnings relative to asset base throughout the period.

The financial data reveals a consistent upward trend in both net sales and gross profit over the six-year period ending March 31, 2023. Net sales increased steadily each year, starting from approximately $1.9 billion in 2018 and reaching about $3.63 billion in 2023, reflecting significant growth in the company's revenue generation capacity.

Gross profit also exhibited a continuous rise, moving from around $931.6 million in 2018 to approximately $1.83 billion in 2023. This increase aligns proportionately with the growth in net sales, indicating an effective scaling of core operations and a favorable response to market demand.

Regarding profitability, the gross profit margin showed an improving trend from 48.95% in 2018 to a peak of 53.98% in 2021. Following this peak, there was a decline to 50.32% by 2023. Although the margin decreased in recent years, it remains above the initial 2018 level, suggesting that the company has generally maintained strong cost controls and pricing strategies but faced some margin pressure after 2021.

Revenue Growth

Net sales increased by approximately 90.5% over the six-year period, reflecting strong top-line expansion.

Gross Profit Development

Gross profit nearly doubled, increasing by about 96%, indicating that the company was able to convert revenue growth into higher absolute profit effectively.

Gross Profit Margin Trends

The margin improvement through 2021 suggests enhanced operational efficiencies or favorable product mix shifts, while the subsequent decline may point to increased costs or pricing challenges post-2021.

Overall, the data indicates robust business growth with solid profitability metrics, while highlighting a recent trend toward margin compression that may warrant closer operational or strategic review.

The financial data indicates significant developments over the analyzed periods. Overall, net sales demonstrated a consistent upward trajectory, increasing from approximately $1.9 billion in the fiscal year ending March 31, 2018, to around $3.6 billion by March 31, 2023. This represents robust growth over the five-year span, suggesting expanding market presence or sales capacity.

Income from operations also increased steadily, rising from about $222.6 million in 2018 to approximately $652.8 million in 2023. The increase was particularly notable between 2020 and 2021, where the figure jumped from $338.1 million to over $504.2 million, indicating enhanced operational efficiency or favorable cost management during that period.

The operating profit margin percentage exhibited some variability but generally remained strong. Starting at 11.69% in 2018, it peaked at 19.81% in 2021 before slightly declining to 18% in 2023. Despite these fluctuations, the margin consistently stayed above 11%, reflecting an overall solid ability to convert sales into operating profits.

Net Sales Trend

Consistent year-over-year growth, with an especially sharp increase from 2020 onwards.

Income from Operations Trend

Marked improvement, with a more than doubling from 2018 levels to 2023, showing greater operational profitability.

Operating Profit Margin

Strong margins above 11%, peaking in 2021, followed by a slight decrease but maintaining robust profitability.

In summary, the company demonstrated solid growth in both revenue and operating income across the observed periods, alongside maintaining high operating margins. These trends reflect positive operational performance and suggest effective management of both sales growth and cost controls.

Net Income

There is a consistent upward trend in net income over the period analyzed. Starting at approximately $114 million in 2018, net income more than doubled by 2019 to around $264 million. This growth continued steadily, reaching about $517 million in 2023. The data indicates strong profitability growth with a significant jump between 2018 and 2019, followed by steady increases thereafter.

Net Sales

Net sales exhibit continuous growth throughout the observed years. Beginning at roughly $1.9 billion in 2018, sales increased each year, reaching approximately $3.6 billion by 2023. The growth appears particularly strong between 2021 and 2023, indicating an acceleration in revenue generation. This steady rise in sales complements the growth observed in net income, reflecting expansion in the company's operations or market demand.

Net Profit Margin

The net profit margin experienced a notable increase from 6.01% in 2018 to over 13% in 2019, suggesting improvements in cost management or pricing power. After this significant rise, the margin stabilizes within a narrow range, fluctuating slightly but maintaining levels between approximately 13% and 15% from 2019 to 2023. This steadiness in profit margin alongside rising sales and net income demonstrates effective control over expenses relative to revenue and sustained profitability.

Overall Insights

The analyzed financial data reveals a company with robust growth in both revenue and profitability over the six-year period. The strong increase in net income paired with expanding sales indicates successful business strategies and operational efficiency. The improvement and stabilization of profit margins further support the conclusion that the company has effectively managed its costs relative to its growing scale. The acceleration in sales growth in the most recent years suggests positive market conditions or successful new initiatives contributing to enhanced financial performance.

Net Income

Net income demonstrated a strong upward trend throughout the analyzed period. Starting from 114,394 thousand US dollars in 2018, it more than doubled by 2019, reaching 264,308 thousand US dollars. This positive growth continued, albeit at a somewhat moderated pace, culminating in a net income of 516,822 thousand US dollars by 2023. This consistent increase indicates improved profitability over the years.

Stockholders’ Equity

Stockholders' equity showed a steady and continuous growth over the six years. Beginning at 940,779 thousand US dollars in 2018, the equity increased annually, reaching 1,765,733 thousand US dollars in 2023. This progression suggests effective retention of earnings and possibly capital inflows, contributing to strengthening the company’s financial base.

Return on Equity (ROE)

Return on equity exhibited a notable improvement from 12.16% in 2018 to a peak of 29.37% in 2022, before stabilizing slightly at 29.27% in 2023. The significant rise in ROE over the period reflects enhanced efficiency in generating profits from shareholders’ investments, correlating with the rise in net income and the managed growth in equity.

Net Income

The net income shows a consistent upward trend over the six-year period. Starting at 114,394 thousand US dollars in the fiscal year ending March 31, 2018, it almost doubled by the next year to 264,308 thousand US dollars. The upward trajectory continued steadily through to March 31, 2023, reaching 516,822 thousand US dollars. This represents a strong and sustained growth in profitability.

Total Assets

Total assets increased steadily throughout the period under review. Beginning at 1,264,379 thousand US dollars in 2018, total assets grew significantly to 2,556,203 thousand US dollars by March 31, 2023. The growth rate of assets remained robust, reflecting potential investments or acquisitions contributing to the company’s expanded asset base.

Return on Assets (ROA)

Return on assets exhibited a generally positive trend. It rose sharply from 9.05% in 2018 to 18.52% in 2019, indicating a marked improvement in asset efficiency. Although there was a slight decline to 15.64% in 2020, ROA rebounded in subsequent years, reaching 20.22% by 2023. This progression suggests an increasing effectiveness in utilizing assets to generate profits.

Overall Insights

The data reveals a pattern of growth and enhanced efficiency. Net income and total assets more than doubled over the six years, while the improvement in ROA highlights the company's growing capability to convert its asset investments into earnings. The temporary dip in ROA in 2020 may warrant further examination, but the subsequent recovery indicates resilience and improved operational performance.