Deckers Brands closed its fiscal year ended March 31, 2026 with revenue and earnings at all-time highs, powered above all by HOKA, which grew 16% to $2.59bn and now accounts for nearly half of the group’s total sales.

Deckers Brands closed fiscal year 2026 with group revenue up 10 percent to $5.47 billion: this has been the fourth straight year of record-setting results, with its performance running brand HOKA delivering the most important number in the report: 16 percent growth to $2.59 billion in annual net sales, cementing its position as the group’s primary growth engine.

 

Deckers Brands — Net sales by brand
Full year ended March 31 ($ billions)*
  FY2026 FY2025 Change
HOKA 2.587 2.233 15.9%
UGG 2.739 2.531 8.2%
Other brands† 0.146 0.221 -33.9%
Total net sales 5.472 4.986 9.8%

Source: Deckers Brands earnings release, May 21, 2026. All figures in $ billions. Net sales increased 9.0% on a constant currency basis. Other brands decline driven by the phase-out of Koolaburra standalone operations and the sale of the Sanuk brand.

The results for the fiscal year ended March 31, 2026, confirm a structural shift in the Deckers portfolio that has been building since HOKA first overtook UGG in quarterly contribution. HOKA now accounts for approximately 47 percent of total group revenue, up from 45 percent in the prior fiscal year. UGG, still the single largest brand by annual volume at $2.74 billion, grew 8 percent. That is solid performance for a heritage footwear label, but it has become a secondary story in this set of results.

Deckers Brands — Comprehensive income statement
Three months and full year ended March 31 ($ thousands, except per share data)*
  Q4 ended March 31   Full year ended March 31
  2026 2025 Change 2026 2025
Net sales 1,119,369 1,021,780 9.6% 5,472,296 4,985,612
Cost of sales 474,731 442,012 7.4% 2,314,570 2,099,949
Gross profit 644,638 579,768 11.2% 3,157,726 2,885,663
Selling, general and administrative expenses 487,909 405,843 20.2% 1,894,823 1,706,571
Income from operations 156,729 173,925 -9.9% 1,262,903 1,179,092
Total other income, net (17,292) (17,367) – (63,453) (64,207)
Income before income taxes 174,021 191,292 -9.0% 1,326,356 1,243,299
Income tax expense 38,450 39,881 -3.6% 302,285 277,208
Net income 135,571 151,411 -10.5% 1,024,071 966,091
Total other comprehensive income, net of tax 10,149 5,790 75.3% 13,735 1,079
Comprehensive income 145,720 157,201 -7.3% 1,037,806 967,170

Source: Deckers Brands earnings release, May 21, 2026. All figures in $ thousands unless stated.. “Total other income, net” change not shown (–) as the line represents income rather than expense and year-over-year movement is immaterial.

International momentum drives the headline number

International net sales rose 27 percent on the full year to $2.28 billion, while domestic revenue was essentially flat at $3.19 billion — a 0.2 percent gain year-over-year. HOKA’s global brand-building investment is generating returns outside the United States at a pace that the domestic market, where the brand is more established, cannot match.

 

Deckers Brands — Net sales by geography
Full year ended March 31 ($ billions)*
  FY2026 FY2025 Change
Domestic 3.192 3.187 0.2%
International 2.281 1.799 26.8%
Total net sales 5.472 4.986 9.8%

Source: Deckers Brands earnings release, May 21, 2026. All figures in $ billions.

 

In the fourth quarter alone, traditionally UGG’s strongest period, international revenue climbed 25 percent to $469.5 million, against a near-flat domestic result of $649.8 million. HOKA’s Q4 net sales came in at $671.2 million, up 14.5 percent versus the prior-year quarter and ahead of UGG’s $408.6 million for the same period.

Direct-to-consumer growth outpaces wholesale

Deckers’ direct-to-consumer business continued to pull ahead of wholesale in the quarter, with DTC net sales rising 13 percent to $464.4 million versus 7 percent wholesale growth. On a constant-currency basis, DTC comparable sales increased 8 percent.

 

Deckers Brands — Net sales by channel
Full year ended March 31 ($ billions)*
  FY2026 FY2025 Change
Wholesale 3.208 2.856 12.3%
Direct-to-consumer (DTC) 2.264 2.130 6.3%
Total net sales 5.472 4.986 9.8%

Source: Deckers Brands earnings release, May 21, 2026. All figures in $ billions. DTC comparable net sales increased 4.6% on a constant currency basis.

 

Across the full year, DTC revenue reached $2.26 billion, compared with $3.21 billion from wholesale. DTC grew 6 percent, while wholesale rose 12 percent, a gap partly explained by continued distribution expansion, especially outside the US as HOKA broadens its international partner network.

Margins steady as SG&A spending climbs

Deckers’ full-year gross margin held at 57.7 percent, little changed from 57.9 percent in fiscal 2025, a sign of resilience even as the company flagged tariff headwinds heading into fiscal 2027. At the same time, selling, general and administrative expenses increased to $1.895 billion from $1.707 billion, driven by heavier investment in marketing and global infrastructure. Operating income still rose, to $1.263 billion from $1.179 billion.

Deckers guides for continued growth, still with a tariff caveat

For fiscal year 2027 (ending March 31, 2027), Deckers Brands guides consolidated net sales of $5.86 billion to $5.91 billion. HOKA is still expected to grow at a low double-digit rate. Operating margin guidance of approximately 21.5 percent implies modest compression from the 23 percent recorded in fiscal 2026, reflecting anticipated cost pressure.

Beyond fiscal 2027, management provided a multi-year framework through fiscal 2030 projecting high single-digit annual revenue growth for the group, with HOKA growing at low double-digit rates and UGG at mid single digits. Management was explicit that the outlook does not assume any recovery of tariffs already paid, and that changes to global trade policy remain among the principal risk factors.

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