Deckers Outdoor Corp., the maker of Ugg boots and Teva sandals, dropped the most in more than a year after forecasting an unexpected first-quarter loss.
The Goleta, California-based company projected a loss of 16 cents a share for the current quarter. Analysts had estimated a profit of 10 cents on average, according to data compiled by Bloomberg.
The operating expenses of opening 28 additional stores is weighing on profit, the company said yesterday in a statement. Revenue also will grow 6 percent in the period, Deckers said. That was half the 12 percent rate that analysts predicted.
Deckers fell 12 percent to $74.35 at the close in New York for the biggest one-day decline since Oct. 26, 2012. The shares have slid 12 percent this year, compared with a 0.2 percent drop for the Standard & Poor’s 500 Consumer Discretionary Index.
In the fourth quarter, Deckers reported a 44 percent jump in net income to $140.9 million, or $4.04 share, from $98.1 million, or $2.77, a year earlier. Revenue advanced 19 percent to $736 million.