Crocs CEO says consumer environment is 'concerning,' will reduce orders in the second half

In this articleCROX your favorite stocksCREATE FREE ACCOUNTInside a Crocs store at Queens Center in New York.Ryan Baker | CNBCCasual footwear company Crocs plans to reduce orders for the second half of the year amid what its CEO called a "concerning" environment for the consumer."We see the U.S. consumer behaving cautiously around discretionary spending

They are faced with current and implied future price increases, which we think has the potential to be a further drag on an already choiceful consumer

Against this backdrop, our retail partners are acting more carefully and reducing their open-to-buy dollars in future seasons," said CEO Andrew Rees on the company's second-quarter earnings call this week, according to a FactSet transcript."The current environment in the second half is concerning, and we see that ly reflected in retail order books

We strongly believe this is a time to make bold decisions for the future to sustain and advance a durable cash flow mode," Rees added.s of Crocs shed nearly 30% Thursday after the company issued the stark warnings and posted a weaker-than-expected forecast for the current quarter.Thursday's losses made for the stock's worst day since October 2011.Crocs imports most of its ducts from countries Vietnam, China, Indonesia and Cambodia that are now subject to steep import tariffs.Rees said the company is taking steps to tect fitability, including pulling back on motional activity across retailers and taking back some of its older inventory, specifically for its Heydude shoe brand, in order to "reset" retail partners with new stock."This will create further headwinds to sales volume over the next several quarters," Rees said on the earnings call.Rees said in an earnings release Crocs had previously implemented $50 million in cost savings."Although these actions will impact the topline of our in the short term, they will position our to win, drive margin dollars, and support continued cash flow generation longer term," he said in a release.The company is jecting third-quarter revenue well below Wall Street estimates

Analysts surveyed by LSEG expected revenue to be slightly higher over the year earlier.Crocs is also forecasting a third-quarter adjusted operating margin of around 18% to 19%, down from 25.4% in the third-quarter a year prior.The company declined to issue full-year guidance.For the second quarter, Crocs reported a net loss of $492.3 million, or $8.82 per , compared to a net income of $228.9 million, or $3.77 per , during the same period a year earlier

That loss was driven by a $737 million non-cash impairment charge related to its Heydude brand.Excluding that charge and accounting for other one-time items, the company posted adjusted earnings of $4.23 per , topping Wall Street expectation for $4.01 per , according to LSEG.Revenue came in at $1.15 billion, an increase of 3.4% over the year prior and in line with the LSEG estimate of $1.14 billion.— CNBC's Melissa Repko and Sara Salinas contributed to this report.