Author: SGB Executive

As COVID-19 cases decline and vaccination rates climb, Fleet Feet is positioned to benefit from the return of races to build on the momentum the sport of running gained over the last year. Joey Pointer, CEO and president, talks about Fleet Feet’s battle plan to manage the pandemic and the outlook for the sport of running and Fleet Feet.

Wedbush on Monday raised its price target on Dick’s Sporting Goods from $85 to $97 on the investment firm’s belief that sales trends have accelerated since the company’s 4Q20 earnings report.

Canadian Tire Corp. Ltd. reported first-quarter sales grew 7.2 percent at its SportChek segment with gains held back by pandemic-related store closures. Same-store sales were up 18.7 percent. Gregory Craig, EVP and CFO, said, “With the early arrival of spring, we saw record sales in cycling, as well as strong demand in fitness-related categories, such as athletic footwear and kid’s apparel.”

Boosted by triple-digit e-commerce growth, Canada Goose Inc.’s revenues rose 33.7 percent in the fourth quarter ended on March 28. Officials predicted sales would climb 11 percent for the current fiscal year.

Yeti Holdings Inc. sales raised its guidance for earnings and sales for the year after reporting sales catapulted 42 percent in the first quarter ended April 3. Matt Reintjes, Yeti’s president and CEO, on a conference call with analysts. “At the heart of this performance is exceptional demand for the Yeti brand, including momentum across our global digital businesses, and the strength of sell-through at wholesale.”

Wolverine World Wide raised its guidance for 2021 as its two largest brands, Saucony and Merrell, both returned to robust sales growth in the first quarter, overall online growth accelerated and wholesale backlogs continued strong for the second half. Said Blake Krueger, chairman and CEO, “As we look to the rest of the year, demand for our brands is very strong.”

Delta Apparel achieved second-quarter sales growth of 12 percent with double-digit growth in both its Delta Group and Salt Life Group segments. Significant earnings expansion benefited from manufacturing efficiencies and cost control.

With its Camping and Watercraft Recreation seeing the largest percentage gains, Johnson Outdoors Inc. reported sales jumped 26.4 percent in the second quarter ended April 2. Helen Johnson-Leipold, CEO, said, “The pandemic has been a catalyst for people to get outdoors.”

Adidas raised its 2021 sales outlook as it expects strong demand for its products and DTC growth momentum to help overcome a number of challenges, including continued lockdowns in Europe, supply chain hurdles and political tensions in China.

Vista Outdoor Inc.’s sales grew 40 percent in the fourth quarter ended March 31 with robust growth across its Outdoor Products and Shooting Sports segments. Management sees few signs of a slowdown in demand. Vista’s CEO Chris Metz told analysts, “The pandemic accelerated many of the consumer trends that were already in motion and we believe will help fuel our continued success and FY22 and beyond.”

Acushnet Holdings’ sales jumped 34 percent on a currency-neutral basis in the first quarter, paced by gains from Titleist Pro V1 and Pro V1x golf balls, TSi drivers, and FootJoy golf shoes. David Maher, Acushnet’s CEO, told analysts, “We remain enthused about strong demand for Acushnet products, healthy participation rates in most regions and the overall energy and interest for the men’s and women’s professional games across worldwide tours.”

Sturm, Ruger & Company’s sales jumped 49.2 percent in the first quarter. On a conference call with analysts, Chris Killoy, CEO, said the company still hadn’t been able to catch up to demand for firearms despite a 22 percent expansion of its workforce over the last twelve months.

Big 5 Sporting Goods reported its fourth consecutive quarter of record quarterly earnings as the pandemic continues to elevate demand for many fitness and outdoor products. Big 5 officials also expressed confidence they’ll be able to manage Nike’s pending exit from the chain. Steve Miller, Big 5’s CEO, told analysts, “Although we are disappointed by Nike’s decision, we are encouraged by the response of other vendors, both new and existing about the opportunity to expand their presence in our stores.”

Under Armour Inc. significantly increased its guidance for the year after reporting first-quarter results that came in well above expectations due to strong sell-throughs at both its wholesale and direct-to-consumer segments. Marketing investments will be ramped up in the second half to build on momentum seen in North America, China and Germany.

Newell Brands said strong sales of Coleman coolers, tents and stoves and improving trends at Marmot and ExOfficio helped drive a 9.4 percent sales gain for its Outdoor & Recreation Segment in the first quarter. The beverage business, including Bubba and Contigo, continued to face challenges due to stay-at-home trends.