Crocs (NASDAQ: CROX) reported Q2 EPS of $0.20, $0.06 better than the analyst estimate of $0.14. Revenue for the quarter came in at $313.2 million versus the consensus estimate of $311.32 million.

GUIDANCE:

Crocs sees Q3 2017 revenue of $230-240 million, versus the consensus of $246.58 million.

Financial Outlook

Third Quarter 2017:

• The Company expects third quarter 2017 revenues to be between $230 and $240 million.
• The Company expects gross margin for the third quarter to be essentially flat to the third quarter of 2016. Our gross margin in the third quarter of 2016 included a benefit of more than 200 basis points due to a favorable inventory adjustment.
• The Company expects SG&A to be down approximately $3 million to last year, including approximately $2 million of charges associated with our SG&A reduction initiative.

Full Year 2017:

• The Company continues to expect 2017 revenues to be down low single digits compared to 2016. This is reflective of the various business model changes taking place throughout the year, and an accelerated pace of store closings.
• The Company continues to expect gross margin for 2017 to be approximately 50%.
• The Company now expects SG&A for 2017 to be between $490 and $495 million. This is down from our previous guidance, and $10 to $15 million below the 2016 SG&A of $506.3 million. This lower range reflects the improvement realized in the second quarter, as well as the accelerated pace at which we are reducing company-operated stores. Included in the range is $7 to $10 million of charges associated with our SG&A reduction plan.

For earnings history and earnings-related data on Crocs (CROX) click here.