If the shoe fits ... then so do Crocs shares
Shares of Crocs soared to a record high after the footwear retailer said it expects its revenue to climb to more than $5bn (R73bn) by 2026.
Crocs, which analysts project will post sales of $2.27bn this year, is forecasting an annual growth rate of more than 17% for the next four years.
The stock has advanced almost 140% this year.
The US-based company has seen its sales and stock skyrocket since the start of the pandemic, powered in part by high-profile collaborations with celebrities such as Justin Bieber and Bad Bunny.
The distinctive plastic shoes have also been buoyed by the trend towards comfortable, at-home footwear even though the overall category posted a decline in the past year.
They’re also popular with health-care workers who work long hours standing on their feet.
CEO Andrew Rees said that to combat manufacturing problems in Vietnam, the company has moved some of its production to other parts of the world and is using air freight to move products.
This more expensive mode of transport is gaining popularity in the world of apparel as shipping and port bottlenecks persist and hinder companies’ efforts to keep stores stocked amid rising demand.