ASICS hasnt delivered $200 million in sales in the U.S. in a decade, but the company blew past the mark again in 2004 on the growth of the running market in general and the strength of the brand at both specialty and sporting goods. ASICS America Corporation reported that sales increased 12.5% to $223.8 million in 2004. The company looks for another banner year in 2005, with future orders up 61% at year-end versus the year-ago period.
“ASICS has been an organization that has been extremely consistent over the years and that consistency within innovative technology, dedication to continuous product innovations and the desire to be the best athletic brand is paying off in large dividends,” said Rich Bourne, president of ASICS America, in a release.
Mr. Bourne told Sports Executive Weekly that they were particularly pleased with the brands growth in womens product, which increased 19.5% for the year. Mens also showed double-digit growth. Apparel was up 5.0%. Bourne said the second half of the year showed growing momentum as footwear sales increased 16% versus an 11% gain in the first half of the year. He said most of the apparel growth came in the back half.
Running still makes up about 82% of total product sales, but the Onitsuka Tiger collection, which is the companys sports lifestyle line sold through select retailers, grew to become the ASICS second largest category, with sales growing more than 134% versus 2003.
The company is particularly proud of the $200 million milestone because it was done this time with a strong bottom line as well. The company was bleeding red ink when it posted sales of $245 million in 1992, $238 million in 1993, and $203 million in 1994, and was headed for a major re-organization. Bourne said the company went from more than 200 employees to about 155 people when it started to clean up the operation in 1995. Sales that year fell to $138 million as ASICS made moves to right the ship. The company has now been profitable every year since 1996.
Looking ahead, Bourne told SEW that total current backlog is up 59.3% versus the same time last year, with footwear jumping more than 61% and apparel increasing nearly 26%. He said he fully expects that apparel will see double-digit growth this year.