Oregon-based Columbia Sportwear said that its net sales increased 19 per cent to a record US $ 955 million from US $ 804.7 million as compared to the third quarter of 2021. The increase in sales reflected earlier shipments of higher fall 2022 wholesale orders and direct-to-consumer growth, said the US Owner of its namesake Columbia brand, as well as PrAna, Sorel and Mountain Hardwear brands.
The brand’s quarterly net income saw a rise of 11 per cent to US $ 111.8 million, or US $ 1.80 per diluted share, compared to net income of US $ 100.6 million, or US $ 1.52 per diluted share.
Likewise, revenues increased by 15 per cent to US $ 2.294 billion for the first nine months of the year, from US $ 2 billion last year. However, net income decreased by 6 per cent to US $ 185.8 million, or US $ 2.94 per diluted share, for the year-to-date period.
Inventories increased by 47 percent to US $ 1,056.9 million, compared to US $ 720.9 million as of 30th September 2021, indicating purchase of more goods than sold.
“Third quarter net sales and earnings growth reflect broad momentum across our business and the power of our collective brand portfolio. Net sales growth was led by the Sorel and Columbia brands, which increased 28 per cent and 19 per cent, respectively,” said Chairman, President and Chief Executive Officer, Tim Boyle.
He further added, “I’m excited about the iconic and innovative products we are delivering to consumers this fall, including Columbia’s expanded Omni-Heat Infinity collection and our new disruptive poly fleece innovation, Omni-Heat Helix.”
“Based on strong third quarter performance, we are reiterating our full-year net sales and diluted earnings per share financial outlook,” stated Boyle.
In the statement, Boyle was positive about the right strategies company has in place for growth opportunities and they will be investing in strategic priorities to create iconic products, amplify marketplace excellence with digitally-led and omnichannel global distribution, and accelerate growth.
Going ahead, the company expects fiscal 2023 net sales to be between US $ 3.44 to US $ 3.50 billion, representing net sales growth of 10 per cent to 12 per cent, compared to that in 2021. Diluted earnings per share are expected to be between US $ 5.00 and US $ 5.40, the company added.
