There were few bright spots in Columbia Sportswear Co.’s second-quarter earnings, but the company still beat analyst expectations for the period.
Columbia reported a net loss of $9.9 million, or 29 cents a share, for the three months ended June 30, versus an expected earnings-per-share loss of 42 cents amongst analysts. The company’s net loss for the year-ago period totaled $1.8 million, or 5 cents a share.
Revenue at the Portland, Ore.-based company dropped 16 percent to $179.3 million, versus $213.1 million during last year’s second quarter.
Footwear sales fell 21 percent to $33.4 million for the period, which the company attributed primarily to shifts in ordering patterns in Europe, the Middle East and Africa, as well as a negative impact of foreign exchange. Outerwear sales declined by a lesser 16 percent to $35.1 million, and sportswear was down 15 percent to $98.4 million.
The company’s U.S. net sales were a lone standout in second-quarter earnings, as net sales increased 2 percent to $97.7 million, thanks to strength in retail and outlet stores.
“The global retail environment continued to provide significant headwinds, which we expect to persist through at least the remainder of 2009 and into 2010,” Columbia President and CEO Tim Boyle said in a statement.
For the first six months, Columbia’s net loss totaled $3 million, or 9 cents a share, versus a profit of $18.2 million, or 52 cents, in the first half of 2008. Sales decreased by 12 percent to $451.2 million.
The company also reaffirmed its earlier full-year guidance for revenues to decline in the low double digits. For the third quarter, Columbia expects a low double-digit decline because of a 15 percent drop in its global fall backlog.