Crocs reported a net loss of $27.8 million for the third quarter, compared with net earnings of $12.0 million in the year-ago period. The loss came after non-recurring and special charges of $8.6 million in the latest period, compared with charges of $17.4 million a year earlier. Revenues declined by 9.4 percent to $274.1 million. On a currency-neutral basis, they dropped by 0.8 percent, but they increased by 7.2 percent in Europe and were up by 3.7 percent overall based on the company's new, adjusted business model. The gross margin slid by 7.6 percentage points to 44.1 percent, with 3.5 percentage points due to currencies, 3.0 points due to discounts for the liquidation of old inventory, and the rest due to supply chain issues. The management justified the poor results partly with a $4.0 million drop in sales to Chinese distributors to help balance inventories in the country. It reiterated its expectations for a turnaround in the first half of next year. More in Shoe Intelligence.

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