Author: SGB Executive

Yeti Holdings Inc. reported better-than-expected fourth-quarter earnings as the thirst for outdoor pursuits amid the pandemic continued. Officials are targeting mid-teens growth for the current year and expect to catch up to inventory shortages hampering wholesale growth by the second quarter.

Under Armour Inc. reported fourth-quarter results that blew past Wall Street estimates due to better-than-expected sell-throughs and full-price selling. However, officials provided a cautious sales outlook for 2021 as the company seeks to “constrain demand” to reestablish Under Armour’s position as a premium-priced brand.

HanesBrands reported a solid finish for the year with revenue, operating profits, EPS, and operating cash flow all coming in above expectations, led by double-digit growth for its Champion brand. Officials also detailed its Full Potential plan to drive growth and profitability in the years ahead that includes further steps to accelerate growth for the Champion brand globally.

Delta Apparel reported sales in its fiscal first quarter ended December 31 were well ahead of internal expectations for both sales and profitability. The company achieved nearly-flat sales despite notable headwinds from inventory constraints, hurricane-related disruptions in Central America and freight carrier limitations during the holiday season.

Buoyed by robust gains across its Fishing, Watercraft Recreation and Camping segments, Johnson Outdoors reported a significant hike in earnings in the first quarter ending January 1. Helen Johnson-Leipold, chairman and CEO, told analysts, “Consumer demand remained strong during the quarter and customers replenished their depleted inventory levels in anticipation of the upcoming warm weather recreation season.”

A report from The World Federation Sporting Goods Industry (WFSGI), in partnership with McKinsey & Company, identified eight key themes likely to define the industry’s evolution in the coming period. The report also found that despite the hype over interest in outdoor recreation and home fitness, the sporting goods industry contracted in 2020 for the first time since the financial crisis.

Peloton’s fiscal second-quarter earnings and sales trounced analysts’ estimates, but officials warned that near-term investments in its supply chain to speed deliveries will weigh on margins.

Columbia Sportswear reported a better-than-expected fourth-quarter due to continued robust e-commerce sales and a spike in wholesale reorders in December. Officials provided an upbeat outlook for 2021, projecting 18 percent to 20 percent net sales growth with growth across all four of its brands. On a call with analysts, Tim Boyle, CEO, said, “As we begin 2021, we’re encouraged by the building momentum across our brand portfolio.”

Shares of Canada Goose surged $7.73, or 22.0 percent, to $42.90 Thursday after the outerwear specialist delivered its first quarterly revenue increase since the onset of the pandemic. The gains were boosted by a 39.3 percent hike in global e-commerce revenue and a 41.7 percent DTC revenue gain in Mainland China.

Riding strong outdoor participation trends across its Shooting Sports and Outdoor Products segments, Vista Outdoor reported sales in the third quarter ended December 27 rose 35 percent and predicted sales in the current quarter would climb about 22 percent.

While the COVID-19 pandemic had a devastating impact on the racing industry, most runners are itching to get back to racing in person again this year, found Running USA’s 2020 Global Runner Survey. Survey analyst Ashlyn Modlin hosted a webinar providing optimism about a healthy return to racing events.

Golf rounds soared 13.9 percent and equipment sales 10.1 percent in 2020, according to Golf Datatech. The outsized growth comes as golf has been perceived as a near-ideal socially distant activity during the pandemic. SGB Executive talked to John Krzynowek, partner, Golf Datatech, about golf’s strong bounceback from the lockdowns that arrived in March 2020, the performance of major categories and how the sport may continue to benefit in the years ahead. 

Olin Corp. said Winchester delivered the best quarterly performance in its 155-year history in the fourth quarter ended December 31 due to outsized demand for ammunition, with even better quarters expected throughout 2021. Said Scott Sutton, Olin’s CEO, on a conference call with analysts, “We expect that elevated shooting sport participation is here to stay.”

Shares of VF Corp. fell $5.98, or 7 percent, to $85.13 on Wednesday after the company reported third-quarter results, apparently due to growth concerns at Vans. Analysts, however, were generally upbeat on the report given that VF was able to raise guidance for the full fiscal year despite the impact of the return of store closures that particularly impacted Vans.

VF Corp. reported sales dropped 5.8 percent in its fiscal third quarter ended December 26 and lowered its full-year revenue outlook on Vans. However, the company raised its outlook for The North Face, lifted its overall earnings and sales guidance for the year and predicted a return to positive growth in the current fourth quarter.