Columbia Sportswear Co. today announced third-quarter sales results after the market close that missed market watchers’ forecasts, but its profits were in line with expectations.
The Portland, Ore.-based owner and maker of several active lifestyle brands said its Q3 revenues fell 3 percent year-over-year, to $745.7 million, missing expectations for sales of $770.5 million.
Net income declined 8 percent year-over-year, to $83.6 million, or $1.18 per diluted share, but was in line with what market watchers had predicted for the quarter.
Columbia CEO Tim Boyle said the Columbia, Prana and Sorel brands drove mid-teens-percent growth in the North American direct-to-consumer channel, high-20s-percent growth in Europe-direct markets and high-single-digit percent growth in China, partially offsetting the negative effects of sporting-goods retail bankruptcies and cautious inventory management by the firm’s North American wholesale customers, as well as ongoing challenges in Russia and Korea.
“During the third quarter, our go-to-market and operational teams around the world continued to execute well against a challenging consumer environment, setting the stage across the global retail landscape with innovative, trend-right fall-season products supported by compelling brand-marketing campaigns,” Boyle said in a release.
The company downward-adjusted its full-year guidance and now expects net sales growth of 4 percent, with net income after non-controlling interest forecast to rise 8 percent, to a range of $180 million to $187.5 million, or $2.55 to $2.65 per diluted share.