Shoe maker Crocs (NASDAQ:CROX) reported a 32 percent spike in first-quarter profit on Wednesday, compared to the year-ago period, but shares quickly tanked on the company’s lowered outlook.
Crocs brought in a profit of $28.3 million, or 31 cents a share, in the January-March quarter, up from $21.5 million, or 24 cents a share, in the same period last year. Sales rose 19.9 percent to $271.8 million and gross margin increased to 53.3 percent from 52.6 percent. The company beat Wall Street’s forecast for a profit of 26 cents on revenue of $266.7 million, according to a FactSet analyst survey.
The shoe maker said quarterly results were helped by strong demand in Asia and the Americas. However, shares tumbled after Crocs issued a second-quarter outlook that fell short of consensus estimates. Still, shares are up 49 percent for the year, far outpacing the 9 percent gain for the S&P Small Cap 600 Index.