Friday, March 20, 2009
Why are you not wearing a pair of Crocs?
According to financial experts Crocs Inc have been battered by falling sales and drop in share price. The company recently disclosed that its auditors had expressed "substantial doubt" about Crocs's ability to stay in business. Crocs grew quickly from its start in 2002 to the company's initial public offering in 2006, as its brightly colored clogs became ubiquitous, but the company posted a $184 million loss last year. Crocs has seen its share price plunge to $1.20 from nearly $75 in October 2007, posted a $184 million loss last year. Revenue fell 15% in 2008, including a 44% drop in the fourth quarter. Some observers believe the failing forunes of the plastic clog has less to do with the recession than with fading public interest in its signature footwear. Crocs have broadened their range to include sandals, loafers and even boots which has been successful but will it prove successful enough , only time will tell.