Shares of Crocs, Inc. (CROX) fell more than 18% Tuesday after the company's third-quarter earning🧸s beat was overshadowed by sales♛ weakness from its smaller Heydude brand.

The footwear company reported $1.06 billion in revenue, narrowly above estimates compiled by Visible Alpha, while profit of $199.8 million also beat estimates of $187.3 million.

Investor concerns seemed to stem from 澳洲幸运5官方开奖结果体彩网:sales of Heydude shoes—a company Crocs acquired in 2022. Heydude's revenue fell short of estimates atﷺ $204 millio❀n, and the company also updated full-year projections, expecting Heydude sales to fall by a larger margin than previously reported.

Heydude Sales Continue To Drag Earnings

澳洲幸运5官方开奖结果体彩网:Chief Executive Officer (CEO) Andrew Rees said Crocs has seen positive results from its investments in new 澳洲幸运5官方开奖结果体彩网:marketing for the brand, but noted that Heydude's "recent performance and the current operating environment are signaling it will take longer than we had initially planned for the brand to turn a corner."

The company said it expects fourth-quarter revenue to be roughly flat to up slightly year-over-year, as 2% growth in Crocs revenue will likely be offset by a 4% to 6% decline in Heydude sales. 澳洲幸运5官方开奖结果体彩网:Analysts expected Heydude revenue in the current quarter to rise to $251.3𝓡 million🎀 from $227.6 million a year ago.

Crocs also updated its full-year 澳洲幸运5官方开奖结果体彩网:revenue growth projections, expecting to come in at the low end of a previously forecast 3% to 5% range. Crocs revenue is projected at a midpoint of 8% growth, while Heydude revenue is now expecꩲted to fall 14.5% year-over-year, compared with the previous range of down 8% to 10%.

"While we are resetting our full-year outlook for HEYDUDE, I remain confident in the long-term trajectory of the brand," Rees said in a news release.

Crocs shaꩲres recently were down more than 18.5% Tuesday at ♏$112.49.