Crocs Investor Presentation — April 2023

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-Owner ofCrocs andHEYDUDE (acquired inApr/22for$2.3bn),casual

footwear brand .Brand isknown forcomfort andstyle .Present inover 85

countries through wholesale anddirect -to-consumer channels .Revenue is

roughly 60%Americas, 20%Asia Pacific and20%EMEA .3/4ofthesales

comes from theoriginal shoe (called clog shoe) .

-2022 revenues exceeded $3bn,making itoneoftheworld's 10largest

non-athletic footwear brands .Sells +100mmpairofshoes ayear.

-Founded in2002 with theintent ofcreating comfortable, safe shoes tobe

worn inboats byseamen .

-The stock iscurrently heavily shorted (~12%SIasofApril/ 23),even

though ithasshown eight consecutive quarters ofrevenue growth .

0%5%10%15%20%25%30%35%40%

1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22

Revenue EBITDA MgHEYDUDE Acquisition

-Former competing brand, 100%acquired inApr/22for$2.3bnindebt,

naturally increasing leverage .2Q22already accounts for~200mminextra

-ForFY22,HEYDUDE beat expectations bygenerating $1bninrevenue

(vs$700mmexpected) .Currently ~30%oftotal revenue .

-Company expects leverage togobelow 2bymid-2023 .Ithashaulted

stock buybacks until itachieves it,which issomething itdidregularly .Our

models shows thatsuch target isreasonable .

-The acquistion was initially taken bythemarket asvery negative, which

sent thestock prices plummeting .However, recent positive results have

reflected inprices recovering .851892495582.7042.582

1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22

Net debt Leverage-TheCrocs brand isenjoying aremarkable rennaiscence asmore andmore

young people feeldrawn towards it.

https ://www .channelnewsasia .com/singapore/crocs -ugly-chic-footwear -

comeback -popular -singapore -3133346

https ://www .dailymail .co.uk/femail/fashion/article -11514625 /The-rise-

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