Columbia Sportswear breaks full-year record
Columbia Sportswear Company continued to report record-breaking sales on Thursday, announcing particularly strong sales increases in both its wholesale and DTC distribution channels.
For the full year 2018, net sales increased 14 percent (13 percent at constant-currency) to a record $2,802.3 million, compared to $2,466.1 million seen last year.
Net income increased 155 percent to $268.3 million, or $3.81 per diluted share, compared to $105.1 million, or $1.49 per diluted share, in the prior year.
In the fourth quarter, net sales equally reached a new record, jumping 18 percent (19 percent at constant-currency), to a record $917.6 million.
By brand, Columbia brand net sales increased 21 percent (22 percent at constant-currency) to $727.8 million, as did PrAna brand where net sales reached $36.7 million.
Meanwhile, Sorel brand net sales increased 11 percent (12 percent constant-currency) to $126.9 million, while Mountain Hardwear brand net sales decreased 8 percent (7 percent decrease constant-currency) to $26.1 million.
Net sales in the U.S., by far Columbia’s biggest market, increased 20 percent. The company’s Latin America Asia Pacific ("LAAP") net sales also posted a strong performance, increasing 16 percent (18 percent at constant-currency) driven by the new revenue accounting standard, as well as growth across Korea, Japan and China.
The company’s Europe, the Middle East and Africa (EMEA) region was also up 12 percent in net sales, as were Canada’s net sales increasing 21 percent (26 percent at constant-currency).
“We have kicked off 2019 with a continued focus on connecting active people with their passions. Our business momentum is broad-based across our brand portfolio and geographic regions including growth in both wholesale and DTC distribution channels. We continue to project profitable growth for 2019, even though record 2018 financial performance creates challenging comparisons and we face increasing global economic uncertainty and unresolved trade issues,” said President and CEO, Tim Boyle.
Looking ahead, the company currently expects full year 2019 net sales of approximately $2.97 to $3.03 billion, representing 6 to 8 percent net sales growth, compared with full year 2018 net sales of $2.80 billion.
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