US footwear company Crocs reported Q3 2025 revenue of $996m, down 6.2% from the previous year. Operating income decreased by 23% to $208m, with net income falling to $145.8m. Gross margin contracted to 58.5%. DTC revenue increased slightly, while wholesale revenue dropped. Crocs-branded revenue slipped, but international revenue grew.

HEYDUDE brand revenue dropped 21.6%, with DTC sales and wholesale revenue also declining. The company bought back 2.4 million shares and reduced debt by $63m in the quarter. For Q4 2025, Crocs anticipates an 8% decline in overall revenue, with Crocs-branded revenue down 3% and HEYDUDE revenue down in the mid-20% range.

Crocs CEO mentioned the company’s profitability and cash flow enabled share repurchases and debt reduction. They are focused on regaining momentum in the marketplace and driving operating leverage for 2026. Crocs has identified additional cost savings and is committed to maximizing value creation.

Read more at Yahoo Finance: Crocs Q3 revenue falls 6.2% as guidance points to softer Q4 2025