DECK · 10-Q · 2026Q3 · Full report

Trade Policy and Tariffs

DECKERS OUTDOOR CORP · 2026-10-29 · Importance 48 · Surprise 42 · In source text

Evolving trade policies, including tariffs and other import restrictions, continue to expose Deckers to sourcing and manufacturing concentration risks. The company had paid approximately $119,000 in gross IEEPA tariffs and recorded approximately $46,000 of net refunds during the three and six months ended September 30, 2026, plus approximately $3,000 of related interest income. By October 8, 2026, additional refunds had brought total net refunds received to approximately $87,900, with associated interest bringing the total to approximately $4,700; these amounts will be recognized in the third fiscal quarter. Deckers does not expect mitigation efforts to fully offset incremental tariff costs during the current fiscal year, excluding future IEEPA refunds, whose amount and timing remain uncertain.

Key facts

• From September 30 through October 8, 2026, Deckers received additional IEEPA tariff net refunds; combined with refunds previously received, the refunds total approximately $87,900, plus associated interest for a total of approximately $4,700. source
• During the three and six months ended September 30, 2026, Deckers recorded approximately $46,000 of IEEPA tariff net refunds as a reduction to cost of sales and approximately $3,000 of related interest as interest income. source
• Deckers previously paid approximately $119,000 in gross IEEPA tariffs. source

Impact estimates